Low-Profit Limited Liability Companies: High-Risk Tax Fad or Legitimate Social Investment Planning Opportunity?

10 Pages Posted: 21 Jan 2014  

Jamie Patrick Hopkins

The American College

Date Written: January 20, 2014

Abstract

Any entrepreneur starting a new venture will inevitably have to address issues of entity formation as well as fundamental tax and legal planning. Prior to existence of the Low-Profit Limited Liability Company, commonly referred to as the “L3C,” entrepreneurs with social objectives seeking to formalize their businesses legally were limited in choice between either nonprofit or for-profit private company structures. While each of these organizational structures has their own benefits and drawbacks, social entrepreneurs are often left without a business form designed for their unique business models. In order to address this dilemma, the L3C is designed to combine benefits of both the non-profit and for-profit business structure into one single entity.

Keywords: law, legal, L3C, low profit, social, entrepreneurs, LLC, Company

Suggested Citation

Hopkins, Jamie Patrick, Low-Profit Limited Liability Companies: High-Risk Tax Fad or Legitimate Social Investment Planning Opportunity? (January 20, 2014). 2014 Cardozo L. Rev. de novo 35.. Available at SSRN: https://ssrn.com/abstract=2382142

Jamie Patrick Hopkins (Contact Author)

The American College ( email )

Bryn Mawr, PA 19010
United States
610-526-1441 (Phone)

HOME PAGE: http://www.theamericancollege.edu/why-us/faculty/jamie-patrick-hopkins-esq.-j.d.-m.b.a

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