(561) 935-9763
Maura Curran, Attorney
Jupiter, FL 33458

The Limited Liability Company as an Estate Planning Tool

Look around and you’ll likely notice LLC after LLC in your community. Why? Because the limited liability company (LLC) is a popular entity in the estate planning and business worlds.

In the estate planning world, LLCs are commonly used in high net worth families to:

  • Pass family business assets to the next generation at a discounted value, thus reducing transfer taxes, while maintaining management control in the parental generation.
  • Provide organization and consolidation of assets.
  • Provide management and control succession in case of disability or retirement.
  • Prevent family assets from being lost in divorce.
  • Isolate liability stemming from the business so personal assets can’t be seized – and vice versa – isolate liability stemming from a personal matter from affecting business assets.

The limited liability company is also commonly used in the business world to create asset protection. For example, a real estate investor would own an apartment building in an LLC, not her individual name. This keeps any liability arising from within the LLC such as a tenant claim from affecting personal assets – and vice versa.