Originally Posted by
sailingfun
If you form a LLC you have to incorporate in a state. You normally need a agent to do that. You also have to file annual reports with that state and pay a annual fee to maintain the LLC. The intent of the LLC can not be only avoiding legal exposure. It has to have a business aspect to pass that test or it could be voided.
You can contruct and LLC and "shelf" it for later use....just b/c you have one, it does not have to be up/running/sustained just b/c it has been established. You are correct on holding it as a sole intent to avoid legal exposure, but believe me, this is a small obsticle and extremely easy to "construct" around....I have seen it first hand in motion.
All in all....LLC's are a great vehicle to midigate the risk, hands down.