Legal Question in Business Law in New York
I'm going into a business venture with a partner which will become an llc, but i don't want to use my name on any document. is there any way to go about not putting your name on ownership documentation?
2 Answers from Attorneys
Yes and maybe. A LLC can be formed without identifying its owners, just by having someone be the forming contact, like an attorney. However, to become a member the members need be identified, at least for tax purposes, as a LLC is a pass-through entity, or one that does not stand alone tax wise, but passes its income or loss through to its members who report same in their personal returns. However, a LLC member can be something other than an individual, such as another LLC, corporation, etc. At some point, to be a recognized owner, you name has to be someplace, even if only on the operating agreement of some entity (the actual one or the entity that is a member).
In addition, to what my colleague noted, keep in mind that one has to enter into a LLC membership agreement within 90 days of formation of the company. That document will have your name as the member of the company.
One other possible option is to form a single member LLC which will be a member in the venture (instead of a person being a member, the new single member LLC will be the member in the venture).
You should consult with an experienced startup attorney to determine the options that may be appropriate for you.
Feel free to contact my office at your earliest convenience.
Roman R. Fichman, Esq.
www.TheLegalist.com │ @TheLegalist
email: Info (@) TheLegalist (dot) com
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Disclaimer: This post has been written for educational purposes only and was not meant to be legal advice and should not be construed as legal advice or be relied upon. The post may contain errors, inaccuracies and/or omissions. You should always consult an attorney admitted to practice in your jurisdiction for specific advice. This post may be deemed as Attorney Advertising.
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