Can an llc be sold?
– Sam, Illinois
A limited liability company absolutely can be sold. A member can sell his or her membership interest, or, all the members can sell their interests to a single buyer, or all the members can agree to sell all the assets of the LLC to a buyer.
Some LLCs will place clauses in their Operating Agreement preventing members from selling their interests to outsides without first offering existing members the opportunity to purchase. This is a relatively common provision, but it is not mandatory, and your LLC could permit free exchange of membership interests.
A “membership interest” is similar to the concept of “shares” in a corporation. If you own 40% of the membership interest in an LLC, it’s like owning 40% of the stock in a corporation (LLCs have many similar concepts as corporations, but different terminology).
These transfers of LLC interests involve contracts and paperwork, of course.
If you have a particularly complicated transaction, you ought to have a lawyer take a look at it. However, providing your lawyer with form documents to begin from will make their job easier, faster and likely result in a lower legal bill (sometimes substantially lower).