A: Hi there,
Generally speaking, "limited liability" of LLC means that no member will be personally liable for the LLC's obligations in excess of the amount that he or she contributed, or is otherwise obligated to contribute, to the LLC.
In order to enjoy this liability protection, you want to make sure that you respect the boundaries and formalities of your business by:
1. Keeping your business capitalized enough to carry out its normal business functions and meet its reasonably anticipated obligations;
2. Keeping your business assets separate from your personal assets (like not using company truck to run personal errands);
3. Having separate bank accounts;
4. and following corporate formalities like keeping records of meetings, documenting important business actions, and having an operating agreement.
