LLCs – Limited Liability Companies in Kansas and Missouri
LLCs, or Limited Liability Companies, are business structures controlled by state law. In Kansas, they are governed by the Kansas Revised Limited Liability Company Act, which is found in chapter 17 of the Kansas Statutes Annotated as K.S.A. 17-7662, et seq. In Missouri, they are governed by the Missouri Limited Liability Company Act, which is found in the Missouri Revised Statutes as Section 347.010, et seq.
In a corporation, the owners are called stockholders. The stockholders elect a board of directors, which, in turn, oversees the corporation’s executive leadership. In an LLC, by comparison, the owners are called members, and the leadership are designated as managers. Frequently, an LLC’s managers are also members, and they appropriately tend to be called managing members.
LLCs were conceived as hybrid business form combining some of the best benefits of corporations and partnerships. For example, LLC members share the same protection from personal liability as corporate stockholders–thus the two Ls of LLC: limited liability. And the primary benefit that LLCs take from partnerships is the simple–and oftentimes informal–management and ownership structure.
To consult with lawyer specializing in transactional business law, including whether an LLC is the right business structure for you, contact The Flynn Law Firm today.