The California legislature is considering a bill that would expand the permissible uses of LLCs. Presently, the California LLC Act allows LLCs to engage in any lawful business except banking, insurance, trust company business, or the offering of professional services for which a license, certification or registration is required, unless expressly authorized under other statutory provisions. The bill under consideration would allow an individual or a business providing services as a contractor to form and operate as an LLC. In addition, this bill would authorize the State Contractors’ License Board to issue a contractor’s license to an LLC. More information can be found on the California Franchise Tax Board’s website.
Posted by Donald Scotten