ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Limited liability companies (LLCs) are one of the most flexible types of businesses. LLCs combine aspects of both partnerships and corporations. They retain the tax benefits of sole proprietorships and the limited liability of corporations.

Detailed explanation-2: -In India, LLCs can be registered as Limited Liability Partnerships (LLPs) and Private or Public Limited Companies. LLCs can be defined as legal entities where the investors/ owners are protected against business debts, as it is treated as separate entity.

Detailed explanation-3: -LLP is an alternative corporate business form that gives the benefits of limited liability of a company and the flexibility of a partnership. The LLP can continue its existence irrespective of changes in partners. It is capable of entering into contracts and holding property in its own name.

Detailed explanation-4: -Limited Liability Company (LLC) An LLC is a hybrid between a partnership and a corporation. Members of an LLC have operational flexibility and income benefits similar to a partnership but also have limited liability exposure.

Detailed explanation-5: -What is a business legal structure? A business legal structure, also known as a business entity, is a government classification that regulates certain aspects of your business. On a federal level, your business legal structure determines your tax burden. On a state level, it can have liability ramifications.