A Limited Liability Company (LLC) is a hybrid business entity that has certain characteristics of both a corporation and a partnership or sole proprietorship. The primary characteristic an LLC shares with a corporation is limited liability, where a persona’s financial liability is limited to a fixed sum, most commonly the value of a person’s investment in a company or partnerships with limited liability. If a company with limited liability is sued, then the plaintiffs are suing the company, not its owners or investors. The primary characteristic it shares with a partnership is the availability of pass-through income taxation. An LLC is often more flexible than a corporation and well-suited for companies with a single owner.