How to set up an LLC? First we must address what an LLC is and why set one up. An limited liability company (LLC) is a business structure that offers its members, shareholders and directors several benefits. Compared to sole traders or partnerships, it’s more tax efficient, personal liability is limited for all members, and it portrays a professional image. There are many reasons to choose to set up a limited liability company (LLC), but it all depends on your particular circumstances. How to set up an LLC infograph is embedded below (NOTE: This is not formal legal advice on how to set up an LLC or any other legal issue).