The Llc : Flash Presentation
In 1977, Wyoming was the first state to pass a Limited Liability Act. This was the first time the Limited Liability Company (LLC) was introduced to American business. Once the IRS recognized the LLC can be taxed as a partnership (that is, as a pass-through entity), all 50 states passed statutes creating their own version of the LLC.
Nevada and Delaware followed Wyoming by filing their own limited liability act. Why is it that Delaware LLC’s and Nevada LLC’s are more popular?
It’s simple. Nevada and Delaware possess more incorporators and have proven themselves more adept at marketing. Also, Wyoming has a population of only 500,000 people. As a result, it only makes sense that there aren’t so many people marketing incorporation services in Wyoming.
So, in which state do you form the LLC? We care about effectiveness and cost, not marketing or sales. We found that Nevada and Wyoming offer the best LLC’s– and Wyoming costs much less.
Wyoming’s LLC act spells out the charging order protection in very strong language: