LLC versus S-Corp?
S corporations and limited liability companies both permit pass-through taxation, when properly structured and the proper tax forms are filed, but a limited liability company is more flexible in allocating income amongst the members: (1) a limited liability company may offer several classes of interest while an S corporation may only have one class of stock, and (2) the interest in a limited liability company may be owned by any number of individuals or entities whereas ownership interest in an S corporation is limited both in number and in the entities which may participate.
