True! California has placed a limit on what businesses can be operated out of an LLC. The general rule is no professionals, and though typically the rules point to any professional named in California’s Business and Professions Code, there are some exceptions. One exception is licensed contractors; additionally, some “professions” that don’t require testing, experience, or certain skills may also be exempt.
I’ve heard that California has limitations on what type of business can be operated through an LLC. Is that true?
About the Author: David Herzog
Since 1993, I have represented hundreds of businesses and individuals in a variety of industries. Small business legal advising . . . that's my thing.
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