Sign Legal Oregon Corporations And LLC Forms For Free

The biggest difference is that corporations have ?shareholders? and LLCs have ?members.? Corporations tend to have many owners, while LLCs are now the most common small business entity type.

The state of Oregon does not require an LLC to have an operating agreement. Nonetheless, it is highly advisable that an LLC create this document because it can protect its members from being held personally liable if it is sued.

Business Overview The limited liability company name must contain the entity identifier ?LLC? or ?Limited Liability Company? without abbreviation. You may do a preliminary search to determine availability of the name. Regardless, the name will be checked by Oregon Corporation Division staff before approval. (

In addition, LLCs can be managed by the members or by managers. Corporations are managed by a board of directors. Shareholders do not manage the business and affairs of corporations. Another advantage of the LLC is that there is greater flexibility in splitting up financial interests.

LLCs can have an unlimited number of members; S corps can have no more than 100 shareholders (owners). Non-U.S. citizens/residents can be members of LLCs; S corps may not have non-U.S. citizens/residents as shareholders.

If there will be multiple people involved in running the company, an S-Corp would be better than an LLC since there would be oversight via the board of directors. Also, members can be employees, and an S-Corp allows the members to receive cash dividends from company profits, which can be a great employee perk.