Effective July 1, 2026, amendments to Florida’s Limited Liability Company Act will authorize protected series LLCs under Florida law. The law also recognizes the structure of existing foreign protected series LLCs qualifying to do business in Florida.
Why It May Appeal to Businesses
For businesses with distinct operations or holdings, the new law may provide an alternative to forming separate LLCs for each venture or line of business. A protected series structure can offer administrative efficiencies while allowing separate series to hold their own assets, liabilities, members, managers, and business purposes.
What to Keep in Mind
The availability of liability segregation will depend on strict compliance with the statute’s requirements. Proper filings, required naming conventions, and separate records, assets, and liabilities for each series will be critical to supporting the protections the law is intended to provide. As Florida joins the series, businesses should look beyond the structure itself and assess whether they are prepared for the compliance demands that come with it.
How We Can Help
Capitol Services is available to assist with formation, qualification, and related filing requirements for protected series LLCs in Florida. Questions about whether this structure is appropriate for a particular business should be directed to legal and business advisors. As of this writing, Florida has yet to release the new forms.