Are most domain name companies LLC...?

[ivey]

I was wondering what are most domain name companies registered legally as?
When I make a purchase on Godaddy, the email always list them as LLC, so why?

Is LLC the best business model for this kind of business? What are the pros and cons?

Does any other models work apart from LLC?

Does anyone here on namePros have their domain business registered and as what/why?

 

[mad409]

My primary business is a LLC and my domains are owned by that business too etc..

A LLC basically protects your personal assets from the business itself. Let's say someone tried to sue my business, they can't include my personal stuff too, like my home etc..

That's kind of a short explanation...

 

[ivey]

My primary business is a LLC and my domains are owned by that business too etc..

A LLC basically protects your personal assets from the business itself. Let's say someone tried to sue my business, they can't include my personal stuff too, like my home etc..

That's kind of a short explanation...

So, does that mean you can list your business name instead of your real name as registrant? on whois..
So the money you make from domaining would be protected if someone sued you?

 

[mad409]

So, does that mean you can list your business name instead of your real name as registrant? on whois..
So the money you make from domaining would be protected if someone sued you?

If you are an LLC you can list your name, or business name when registering as long as you're a managing member of the LLC.

The money you make from a sale would go to the business. But you pull a salary from your business and that's protected.

I'm not an attorney, or CPA but this is my understanding of how it works, with me at least.

 

[mhdoc]

The primary purpose is to protect the owners from legal liability. A C-corporation, LLC or other format does this. There are some differences in tax treatment, record keeping requirements & and other fine points but they are basically the same.

Anyone starting a business who doesn't want their entire net worth exposed if there are problems is going to want this kind of structure. IF the business is profitable they also provide some creative ways to shelter the income from taxes.

 

[FPForum]

It would really be best to go out and read more specific details about each type to see what would be best for you. It also doesn't hurt to consult a lawyer and tell them what you are wanting to do. They can offer the best advice. For myself and my partner we found an LLC was best for our needs.