A Limited Liability Company (LLC) is a business structure allowed by state statute. Each state may use different regulations, so you should read the relevant state statutes if you are interested in forming an LLC.

Owners of an LLC are called members. Most states do not restrict ownership, so members may include individuals, corporations, other LLCs and foreign entities. There is no maximum number of members. Most states also permit single-member LLCs—those having only one owner.

A few types of businesses generally cannot be LLCs, such as banks and insurance companies. Check your state’s requirements and the federal tax regulations for additional information. There are special rules for foreign LLCs.

In Georgia, a Limited Liability Company (LLC) is a popular business structure due to its flexibility and protection for its members against personal liability for business debts. The Georgia Limited Liability Company Act governs the formation, operation, and dissolution of LLCs in the state. Members can include individuals, corporations, other LLCs, and foreign entities, with no restrictions on the number of members, allowing for single-member LLCs as well. While most businesses can be structured as an LLC, certain regulated industries such as banks and insurance companies may be prohibited from forming an LLC in Georgia. Those interested in forming an LLC in Georgia should file the necessary documents with the Secretary of State, comply with state-specific requirements, and also consider federal tax regulations, which may affect the classification and taxation of the LLC. Additionally, foreign LLCs that wish to operate in Georgia must register and comply with state regulations applicable to foreign business entities.