How do I form a LLC in PA?

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I am filling out the Certificate of Organization Domestic Limited Liability Company (DSCB:15-8913-2) form and am stuck on questions 4 & 5 "Strike out if inapplicable term: A members interest in the company is to be evidenced by a certificate of membership interest" and "Strike out if inapplicable: Management of the company is vested in a manager or managers" I am unclear what exactly is meant by these statements and am therefore unsure if they apply to my situation. Could you please provide further explanation on these topics?

Attorney Answers

2
Nancy Lanard ·
In my opinion, it is important to retain counsel to handle the formation of the entity for the business. So many individuals try to do it online and end up filling out forms that are unnecessary and, in the end, cost them a great deal more than if they retained an attorney. Even the decision on whether to have an LLC or a corporation should be discussed with both an attorney and an accountant. With that said, the question about a certificate is asking if you will have your interest in the LLC shown by a certificate (like a stock certificate). Chances are, if you are doing this yourself online, that you will not have Membership Interest certificates. As far as vesting the management of the company in a manager or managers, I would suspect that you will likely be managing the business yourself and therefore this will be "Member Managed", not managed by a non-member. I hope this helps. Please feel free to call me (215-525-1165 x101) if you would like further assistance with this or any other aspect of your new business.
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John Corrigan ·
Owners of an LLC are called Members. An LLC does not have to have it's Members run the management aspects of the LLC business. The party who runs the dat to day operations of an LLC is called a "Manager" and if the person is also a Member then such party is called a "Managing Member". So the concept of Member-Managed vs. Manager is based on such facts.
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