Corporations and LLCs have their own legal existence. It is the corporation or LLC that owns the business, its assets, debts, and liabilities. … (It is also generally referred to as piercing the corporate veil. But because it applies to LLCs as well we will refer to it as piercing the veil or veil piercing.)
Keeping this in view, can you protect yourself with a single member LLC?
A single–member LLC “may” act as a shield to protect your personal assets from the liabilities associated with the business conducted by the LLC. … The same protection applies to protect the owner from any debts of the LLC. Disregarded Entity Tax Status.
In this regard, is a single member LLC worth it?
An LLC can offer a bridge between operating as a sole proprietorship and acting as a corporation for tax purposes. And for individuals who are also their whole business, a single–member LLC (SMLLC) is a great place to start.
