LLCs are a bit of a hybrid of other forms of business. Like C corporations and S corporations, LLCs can provide you with some protection against personal liability. But for tax purposes, LLCs are treated more like partnerships.

In the world of corporate entities, where not a lot tends to change from year to year, Limited Liability Companies (LLCs) are hip. I know – saying a particular form of business is "hip" is kind of like saying a certain legal text is "way cool."...