Limited Liability
No
Yes
Pass-through Tax Treatment 3
Generally yes
Difficult to Form/Maintain
Not very
Continuity of Life
Centralized Management
Generally no, but partners can elect a committee of managers
Interests Freely Sold/Transferred
Yes 5
Generally no
Available in All States
Minimum Number of Owners
One
Two
S Corporation
Limited Liability Company (LLC) 1
Limited Liability Partnership (LLP)
Somewhat
State law may limit LLC life to a set number of years 4
Generally yes, since members can elect a committee of managers
The partnership agreement can centralize management
Not to ineligible S shareholders
Yes, but transferee often has more limited rights unless all other members approve of a sale/transfer
Generally two