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S-Corporation vs LLC

Both S-Corporations and LLC are known as flow-thorough entities.

What are some differences between S-Corporations and LLC's?

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Please see attached for better-formatted answer.

Ownership Differences:
- LLC have unlimited amount of owners / S-Corps are restricted to a maximum of 100 owners.
- LLC are authorized to have non-US citizen/resident owners / S-Corp shareholders (owners) must be US citzens/residents
- LLC may be owned by parent corporations-C-Corps, S-Corps, partnerships, trusts, etc... / S-Corps cannot and must stand alone
- LLC ownership may not be freely transferred (it is subject to the approval of other members) / S-Corp shares are freely tradable.

Formalities and Requirements:
- S-Corps are required by law to to: Adopt bylaws, issue stock, hold initial and annual director and shareholder meetings, and keep ...

Solution Summary

Explains primary differences between LLC and S-Corporation organizations. Microsoft Word format, APA style, References included.