News & Advice

The best business structure for a roofing company depends on various factors, but many opt for an LLC for liability protection and tax benefits.

Two common options are…

1. Single-Member LLC (SMLLC)
   • A single-member LLC is owned and operated by one individual.
   • It offers liability protection, separating personal assets from business debts and liabilities.
   • SMLLCs are taxed as pass-through entities, meaning profits and losses are reported on the owner’s tax return.
   • This structure is straightforward and offers flexibility in management and decision-making.
2. Multi-Member LLC (MMLLC)
   • A multi-member LLC has two or more owners, providing shared ownership and management responsibilities.
   • Like SMLLCs, MMLLCs offer liability protection for members’ assets.
   • MMLLCs are also taxed as pass-through entities, with profits and losses flowing through to the members’ tax returns.
   • This structure allows for shared decision-making and can provide additional resources and expertise.

Both SMLLCs and MMLLCs offer liability protection and pass-through taxation, making them attractive options for roofing companies.