Mr. LLC has many per­son­al­i­ties depend­ing on the num­ber of own­ers, man­age­ment, and taxation.

If you plan on hav­ing one owner in your busi­ness, then you’re a single-member LLC. If you plan on hav­ing more than one owner, then you’re a multi-member LLC.

If you plan on hav­ing all the own­ers involved in the day-to-day man­age­ment of your busi­ness, then you’re a member-managed LLC. If not, then you need to select your man­ager and your LLC will be manager-managed.

If you plan on hav­ing assets or employ­ees that make you money, then you’ll want to work with your CPA and prob­a­bly elect to be taxed as an S Cor­po­ra­tion to save on social secu­rity and medicare taxes. In some cases you may still elect to be taxed as a part­ner­ship, but you can arrange things to min­i­mize these taxes. Oth­er­wise you’ll want to be taxed as a dis­re­garded entity if you’re a sin­gle mem­ber LLC or as a part­ner­ship if you’re a multi-member LLC.

Once you’ve answered these ques­tions, you’ll want to draft an oper­at­ing agreement.