n. (context legal English) A type or form of for-profit incorporated company where ownership is divided into shares, and where the governing rules are set forth in a contract entered into by all of the initial shareholders. The name derives from the fact that regardless of potential losses or even bankruptcy of the corporation, individual shareholders will bear a maximum liability of the price they paid for their shares.
A limited liability company (LLC) is the United States-specific form of a private limited company. It is a business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation. An LLC is not a corporation; it is a legal form of a company that provides limited liability to its owners in many jurisdictions. LLCs do not need to be organized for profit. In certain U.S. states (for example, Texas), businesses that provide professional services requiring a state professional license, such as legal or medical services, may not be allowed to form an LLC but may be required to form a very similar entity called a professional limited liability company (PLLC).
Usage examples of "limited liability company".
Yemen is one of the few countries to implement traditional Sunni shari'a law and a limited liability company scam at the same time.
Pure zero-sum mercantilism, red in tooth and nail, in an environment where they have barely invented banking, never mind the limited liability company.
The case was that of a newspaper which had published the account of a swindle arranged by a director of a limited liability company.
Every limited liability company is run by a small number of self-appointed or co-opted directors.