United States LLC vs SP
Legal Entity Comparison
Time of Update: 2026-03-31
LLC is a common form of legal entity in the United States, and its full name is Limited Liability Company, meaning limited liability company. The ownership of an LLC is a combined ownership, with multiple shareholders jointly owning the company. Unlike other forms of companies, the shareholders of an LLC enjoy limited liability, meaning their personal assets are not affected by the company's debts. An LLC does not require public participation in the market, nor the appointment of a statutory representative, directors, or company secretary. The minimum registered capital for an LLC is 1 US dollar, and there is no need for capital verification. Therefore, an LLC is a flexible, simple, and low-cost legal entity form, suitable for small businesses and individual entrepreneurs.
United States Legal Entity Comparison
United States Legal Entity Comparison
Basic Information
LLC
SP
Ownership:
Consolidated Ownership
Ownership:
Private Ownership
Limited Liability:
Positive
Limited Liability:
Negative
Publicly Participates In Capital Market:
Negative
Publicly Participates In Capital Market:
Negative
Shareholder / Director / Secretary Requirements
LLC
SP
Requirements For Shareholders:
At least one
Requirements For Shareholders:
At least one
Requirements For Directors ::
At least one
Requirements For Directors ::
At least one
Legal Representative Not Mandatory:
Positive
Legal Representative Not Mandatory:
Positive
Local Directors Not Mandatory:
Positive
Local Directors Not Mandatory:
See Memo
Local Secretaries Not Mandatory:
Positive
Local Secretaries Not Mandatory:
See Memo
Registered Capital Requirement
LLC
SP
Minimum Registered Capital Requirement:
1 US dollar
Minimum Registered Capital Requirement:
Depends on the specific state
Capital Injection Not Required:
Positive
Capital Injection Not Required:
Positive
Capital Injection Requirement:
N/A
Capital Injection Requirement:
N/A
Memo
LLC
SP
Memo:
N/A
Memo:
In the United States, the laws vary from state to state, so the corresponding minimum registered capital, whether local residents are required to serve as directors, and the requirement for nominating a secretary also vary.
