what is the difference between an llc and an llp

what is the difference between an llc and an llp is a question often asked by new business owners deciding on a legal structure. LLC stands for Limited Liability Company, offering personal asset protection and flexible management. LLP, or Limited Liability Partnership, is usually used by professional service firms and provides liability protection for partners. Understanding what is the difference between an llc and an llp helps entrepreneurs choose the structure that best fits their business goals, liability concerns, and taxation preferences. Factors such as number of owners, industry type, and state regulations all influence the right choice.