A limited liability company (LLC) with one owner can engage staff, expanding its operations beyond the capacity of the sole proprietor. This involves standard employment procedures, including payroll setup, tax withholding, and compliance with labor laws. For example, a freelance graphic designer operating as a single-owner LLC might hire an assistant to manage client communication and scheduling.
Bringing employees on board allows a single-member LLC to scale its business, delegate tasks, and potentially increase revenue. It also provides opportunities for specialization and increased efficiency. Historically, incorporating as an LLC provided a liability shield for the owner, and the ability to hire staff further solidified the business structure, enabling growth and development. The development of this business structure reflects the evolving needs of entrepreneurs and small business owners.
