Can an LLC actually become a PLLC, though? The process can be difficult and differs depending on the state you’re in, but the answer is yes. You might have to dissolve your LLC and create a new PLLC from scratch in some states. In some states, you might be able to change your LLC into a PLLC by making a few straightforward filings.
A Series LLC is not an ignored entity in this regard. It is a kind of LLC that enables the creation of various “series” inside the same LLC. For companies that desire to keep their operations separate, each series can have its own assets, liabilities, and members.
So a Series LLC is comparable to a Series Partnership, but a Series Partnership is a different legal entity. It enables you to establish up various “series” with their own partners, assets, and liabilities within the same partnership.
So how does one convert an LLC into a Series LLC? The procedure is comparable to becoming a PLLC. To create the series, you might need to file a new Certificate of Formation or Articles of Organization, depending on the state you’re in. For each series, you might be required to submit a separate Operating Agreement in some states.
In this regard, a subsidiary LLC that is owned by another LLC is referred to as a Sub LLC. It is a distinct legal entity that is capable of having its own resources, obligations, and members. Businesses that seek to segregate their operations or protect specific assets from liability may find this handy.
To sum up, changing an LLC to a PLLC or Series LLC can be a difficult procedure with different state-specific criteria. It’s crucial to seek advice from an experienced lawyer or accountant who can walk you through the procedure and make sure you’re complying with all legal requirements.