Benefits of a Wyoming Close LLC
- The Close LLC is designed for small businesses. The Wyoming LLC Act allows close companies to avoid formalities while keeping LLC benefits.
- The designation suits single-member LLCs and when members are close, like families.
- The Close LLC works for asset protection and estate planning.
What Are the Benefits of a Wyoming Close LLC?
- The Close LLC is designed for small businesses.
- The Wyoming LLC Act allows close companies to avoid formalities while keeping LLC benefits.
- The designation suits single-member LLCs and when members are close, like families.
- The Close LLC works for asset protection and estate planning.
Legal Basis and Special Action for Close Corporation Law
- Legal basis — Wyoming Statutory Close Corporation Supplement to the Wyoming Business Corporation Act, W.S. 17-17-101 et seq.
- Special action necessary — the Close Corporation law became effective on January 1, 1990. If you were incorporated before that date and you wish to transform your corporation to a close corporation, all shareholders must agree.
Difference Between a Close LLC and Regular LLC
- The main difference between a regular LLC and a Close LLC is the restriction on the selling of a member’s shares.
- A member must offer to sell his/her shares to the other member(s) of the Close LLC before they can be sold to anyone else.
- Also, all members must approve of the sale of shares.
Comparison of Wyoming and Delaware LLC
- Delaware LLCs offer exceptional flexibility but can be complicated and costly to maintain.
- Wyoming has no franchise tax.
- Delaware’s laws provide the strongest shield of any state.
In this article, we compare Wyoming and Delaware LLC to help you choose the state that offers better benefits to business owners….
Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles and has authored several entrepreneurship textbooks. Edited by: David Lepeska.