I was wondering what my title should be registered as in a single person LLC? As of now I registered myself as "Owner" with the state. But after listening to Podcast 105 on asset protection I'm thinking it's better to "control" the LLC rather than "own". For legal purposes if I get sued for something outside of my LLC, would they be able to come after my LLC since I own it? Would love to hear an attorney or anyone else with some advice.
I'm not an attorney, but in general an LLC or corporate structure protects you individually from liability arising from what the LLC does in the course of business If you get a judgment against you personally, however, your LLC is not a protected asset. It you want to make it judgment-proof, I'd look into trusts as a possible vehicle to accomplish that goal.
Well, the answer is complicated. It's of course going to depend on your state's laws and interpretations. As a general overview, Florida treats the powers of creditors liberally through the Olmstead doctrine, which held that a judgment creditor is entitled to all the rights of the LLC owner which he/she may freely assign. In a single-member LLC, that's the entire package of management rights, not just the right to distributions and profits. Other states treat creditors with a more restrictive hand, with some states allowing their rights to attach to distributions that you elect to make.
I should add that a court probably isn't going to look at the owner's title on their business card, unless they decide that you're trying to commit fraud by using a certain title.
It doesn't matter. If you are the owner of the LLC it doesn't matter what you call yourself, You are the owner by law. Actually in most states the "owners" of the LLC are called "Members" You can also have a title like president or head janitor if you like but you are still the owner.
As @Christian Carson said it is complicated. Not the part I talked bout above but the protections you get from an LLC.
Ned Carey, Crab Properties LLC | http://baltimorerealestateinvestingblog.com/
Thanks everyone for the responses! That gives me a good idea of what I need to do.
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