How can a member quit a limited liability company?

Answer by  MILLENNIUM (89)

A limited liability company is an entity created to provide some of the benefits of a partnership while limiting the liability of the owners. You can exit a limited liability company by selling your interest to another person or withdrawing from the partnership. Most llc's have a partnership agreement that deals with how a member can quit the partnership.

Answer by  Hewitt302 (1720)

Quitting can be tricky and you can lose out in the end. Make sure to explore all your options, and be sure to have a back up plan.

Answer by  tamarawilhite (17883)

If you own a "share" or percentage of the business, you can sell it to one or all of the remaining partners. If the shares are trade-able, you can sell the shares to someone else, such as a private investor. You can also ask for a reorganization of the business with your share bought out.

Answer by  Danielle2480 (247)

A member can quit a limited liability company as freely as they entered. The remaining members should rewrite any agreements to exclude this individual.

Answer by  tamarawilhite (17883)

You select to resign. You sell stock to the remaining members or your ownership percentage. You update the paperwork to state you no longer have liability in the company or any rights to its profits or any obligations for its debts after your date of departure. An attorney can help ensure all paperwork is filed.

Answer by  Brit7any (115)

The best way to do this is just to submit the paperwork to the state showing the list of current members of the LLC

Answer by  happytimes63 (865)

If you signed an agreement or contract then read the specifics carefully. Limited liability is just a protection of the company in case of a lawsuit.

Answer by  gleverance (720)

It's as simple as selling your share of the business, either to the remaining shareholders or to an outside investor. Once you've sold your shares, you're no longer an owner. If you are listed on the incorporation paperwork, you'll need to file the correct forms with the state to get your name removed.

Answer by  worker2592 (117)

The member dissolves his portion is the LLC by legally selling assets he/she owns and getting the past of the capital owned to that person.