A Series LLC is a unique form of LLC that offers its owners and members specific liability and tax advantages. Below is a guide on how to start a Series LLC in Indiana and covers frequently asked questions.
How to Start a Series LLC in Indiana
- Name Your Series LLC
- Hire a Registered Agent
- File the Articles of Organization
- Draft Your Operating Agreement
- Get an EIN for Each Series
- Open Separate Bank Accounts
- Follow Formalities
Remember to keep proper records of documents related to your series LLC to ensure compliance with regulations for your entity type. Also, it’s crucial for each series to have its own bank account to preserve limited liability protections.
Series LLC vs. Standard LLC
What differentiates a series LLC from a standard LLC is that with a series LLC, you can create many subdivisions, known as "children". Each division can have its own management structure, assets, accounts, liabilities, etc., all while being part of a single legal entity.
A series LLC can hold multiple businesses under a single umbrella while protecting each business’s assets from the liabilities of the others. This separation provides an added layer of protection compared to a regular LLC. However, it’s important to note that series LLCs are more complex and may involve more paperwork, and they are not recognized in all US states.