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- A low-profit limited liability company, known as an L3C, is essentially a combination of a limited liability company (LLC) and a non-profit. The goal of an L3C is to make money alongside a social purpose or public benefit, such as fighting climate change.
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A low-profit limited liability company (L3C) is a legal form of business entity in the United States. Commonly referred to as a hybrid structure, it has characteristics of both for-profit and non-profit entities.
Mar 3, 2020 · What is an L3C (Low-Profit Limited Liability Company)? Learn more about L3Cs from CT Corp — a business that benefits society and generates profits for its owners.
Feb 15, 2022 · If you’re thinking of starting a business, and you want it to be for-profit but you also have a social purpose in mind, you may want to choose a low-profit limited liability company (L3C). L3Cs are designed for exactly what you have in mind, and are essentially a combination of an LLC and a non-profit.
An L3C is new variation of the limited liability company (LLC). It is also known as a low-profit, limited liability company. What sets it apart from regular LLCs and other for-profit entities (i.e. corporations, partnership, etc.) is its ability to pursue charitable, educational or socially beneficial objectives as its primary motive.
An L3C (low-profit limited liability company) is a for-profit LLC that satisfies three requirements: 1. It significantly furthers the accomplishment of one or more charitable or educational purposes within the meaning of Sec. 170(c)(2)(b) of the Internal Revenue Code and would not have been formed but for the company’s relationship to the ...
Jun 1, 2017 · Well, what is a Low-Profit Limited Liability Company (L3C)? An L3C is a variation of a limited liability company (LLC), which is a private organization where the owners actively participate in management and don’t face personal liability for the organization’s debts and obligations.
low-profit limited liability company ("L 3C") was designed to create a legally recognized entity that accounts for the best aspects of the for-profit and nonprofit sectors by balancing a charitable purpose with an adequate capitalization structure. By doing so, consumers may benefit from a benevolent organization
