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Member (of an LLC)

A Member is an owner of a Limited Liability Company (LLC). LLCs can have one or more members, depending on their structure (e.g., Single-Member LLC or Multi-Member LLC). A member can be an individual, another company, or even a foreign entity.

Members typically hold:

  • Ownership interest (expressed as a percentage or unit)
  • Voting rights and authority in decision-making
  • Rights to receive profits and distributions
  • Responsibilities as defined in the Operating Agreement

Members may choose to manage the LLC themselves (member-managed) or appoint one or more managers (manager-managed) to run daily operations.

Why is it important?
Understanding the role of a member is key to defining ownership, control, and financial entitlements in an LLC. For legal and tax purposes, being listed as a member may trigger reporting requirements (e.g., IRS filings such as Form 5472 for foreign-owned LLCs).

Who is it for?
Anyone who owns part (or all) of an LLC—whether U.S.-based or international—is considered a member. Even foreign individuals and entities can legally be LLC members in the United States.

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