A Limited Liability Company, or LLC, is a popular business structure that combines the benefits of both a corporation and a partnership. It provides personal liability protection to its owners, known as members, meaning their personal assets are generally safe from business debts and lawsuits. This structure is flexible, allowing for various management styles and tax options, making it suitable for many small businesses. In an LLC, profits and losses can be passed through to members' personal tax returns, avoiding double taxation that corporations often face. Additionally, forming an LLC is relatively straightforward, with fewer formalities and ongoing compliance requirements compared to traditional corporations.