Yorkville LLC Business Formation Attorney

Business Formation Lawyer for Limited Liability Companies in Kendall County

There a variety of asset protection strategies that a family may use to preserve wealth and ensure that it can be passed on to future generations while minimizing the taxes that may apply. One way of doing so is to place assets in a business that is owned by multiple family members. This will protect assets from creditors, ensure that they can be invested in a way that will allow them to grow, and allow a family to maintain control over how assets will be used. While multiple different types of business structures may be available for these purposes, an LLC can offer an ideal way to transfer ownership of assets and realize tax benefits.

In matters related to asset protection, Gateville Law Firm provides experienced guidance to family members and business owners, and we work to ensure that our clients can preserve their wealth and use their assets properly. We understand the legal and financial concerns that may affect a family, and we can help them take the correct steps to protect against liability, taxes, or other issues that may lead to financial losses. Our goal is to help your family prepare for the future and avoid any unnecessary risks.

Creating an Asset Protection LLC

An LLC, or limited liability company, is a business structure that can offer some protection for the owners' personal assets. This is because an LLC provides a separation between the business and its owners, so that the business debts and liabilities are not the responsibility of the individual members. This can be beneficial for a family business, as it can help to protect the personal assets of the family members who are involved in the company. In addition, an LLC can offer some tax benefits, as it allows business income to be passed through to the owners and taxed at their individual rates.

When creating a family LLC, parents, grandparents, or others who are looking to transfer assets to family members will be members who will have control over the management of the business. Children, grandchildren, or other heirs will be members with an ownership share, but they typically will not have management rights. Multiple types of assets can be transferred into the control of the LLC, including financial funds, stocks, investments, real estate, vehicles, artwork, or other valuable possessions.

Shares of the LLC may be transferred to heirs, allowing them to assume ownership and control of certain assets. When doing so, gift taxes may apply. However, when these gifts are made through an LLC, the value of shares may be discounted, allowing more assets to be passed without exceeding the annual gift tax limit. These gifts will also reduce the value of the original owner's estate, which may help reduce estate taxes that will apply after their death.

The procedures that must be followed when creating an LLC can be complex, and owners will be required to pay ongoing fees to ensure that the company can continue operating. However, the benefits of an LLC may greatly outweigh any drawbacks. An LLC's operating agreement may also detail how ownership of a person's share in the company will be passed to others in the event of their death, which will often allow for an easier transfer of assets in these situations.

Contact a Kendall County Asset Protection and LLC Formation Lawyer

If you are interested in creating an LLC or determining what other asset protection strategies may benefit your family, Gateville Law Firm can advise you of your options. We will work with you to complete all of the requirements for forming and operating an LLC, and we can ensure that you understand the best ways to transfer assets while minimizing taxes and avoiding other complications. To learn more about how we can help address your needs, please contact us at 630-780-1034 to schedule a free consultation.