Limited Liability Protection

Limited liability protection is a legal concept that shields business owners from being personally responsible for the company's debts and liabilities. This means that if the business faces financial trouble or legal issues, the owners’ personal assets—such as their home or savings—are generally protected. The protection applies only to the business entity, like a corporation or LLC, not to the owner personally. This helps entrepreneurs take risks and invest in their business with reduced personal financial exposure, fostering enterprise growth while limiting their potential losses.