A Limited Liability Company, or LLC, is a 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 makes it an attractive option for small business owners. Additionally, an LLC offers flexibility in management and taxation. Members can choose how they want the business to be taxed, either as a corporation or as a pass-through entity, where profits are reported on their personal tax returns. This can lead to potential tax savings for the members.