A Limited Liability Company (LLC) is a type of business structure that provides limited liability to its owners in many jurisdictions. LLCs are a popular choice among small business owners because they offer liability protection, management flexibility, and tax advantages. Here are some key features of LLCs:

• Limited Liability: LLCs protect their owners from being personally responsible for the business debts and liabilities. In bankruptcy or a legal dispute with the business, LLCs protect owners personal assets like bank accounts, homes, and cars.

• Pass-through Taxation: LLCs do not pay taxes on their profits directly. Instead, their profits and losses are passed through to members, who report them on their individual tax returns. LLCs can elect to be taxed as a sole proprietor, partnership, S corporation, or C corporation, providing for a great deal of flexibility.

• Flexibility: LLCs are a hybrid legal entity having certain characteristics of both a corporation and a partnership or sole proprietorship (depending on how many owners there are). LLCs are often more flexible than a corporation and may be well-suited for companies with a single owner.

• Ownership: Any entity or individual can be a member of an LLC with the notable exceptions of banks and insurance companies. Ownership in an LLC is often harder to transfer than with a corporation.

• Compliance Requirements: LLCs face fewer state-imposed compliance requirements and ongoing formalities than sole proprietorships, general partnerships, or corporations.

Overall, LLCs are a popular choice for small business owners because they offer liability protection, management flexibility, and tax advantages.