What’s a Single-Member LLC? How Do I Pay Myself as the Owner of One?

A single-member limited liability company (LLC) is a type of business structure that’s an alternative to being a sole proprietorship — and there are both benefits and drawbacks to registering as one.

Watch Head Ambassador Will Lopez break down what this business structure entails, and what to consider when you're deciding if this is the right business structure for you.

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Many years ago when I bought an airplane with another pilot, we consulted with two lawyers about forming an LLC to own the airplane. The idea was to minimize liability. Both lawyers told us we were better off simply buying more liability insurance. Both said that most of our personal assets, home, retirement plans, etc., were already immune from judgement and that the “corporate veil” could be pierced in a number of ways in regard to liability. They said it was simpler and typically better to just buy an umbrella liability policy.