Hawaii Minutes of a Special Meeting of the Members of a Limited Liability Company Authorizing Redemption of Member's Interest in Limited Liability
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Summary. This is a template for a membership interest redemption agreement that is a short form agreement that sets forth the terms and conditions by which a member of a limited liability company will sell its membership interest back to the company.
LLC stands for limited liability company, which means its members are not personally liable for the company's debts. LLCs are taxed on a ?pass-through? basis ? all profits and losses are filed through the member's personal tax return. Generally, LLCs are required to pay a one-time filing fee as well as an annual fee.
A membership interest represents an investor's ownership stake in an LLC. Each investor in an LLC is called a ?member.? A person who holds a membership interest has a profit and voting interest in the LLC (although these may be amended by contract).
Definition of Equity Interest Equity interest can mean any of the following: The partnership interests in a partnership company. The membership interests in a limited liability company. The shares or stock interests in a corporation, including the preferred and common stocks of the company.
form agreement for the redemption of a minority membership interest in a limited liability company (LLC). This Standard Document assumes that the redeeming member is selling its entire membership interest back to the LLC at the closing of the redemption.
Generally, a ?stockholder? or ?shareholder? is an owner of stock or shares in a private or public corporation, while a ?member? is an owner of an interest in a limited liability company (an ?LLC?).