A huge mistake

25 Sept 2025 · 1 min

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In this short presentation, the speaker warns that individuals who are listed as the member (owner) of an LLC at the time of their death will cause the LLC to be subject to probate, delaying transfer to beneficiaries. To prevent this, the speaker advises creating a revocable living trust and formally assigning the LLC membership to the trust via an assignment document, making the trust the 100% owner of the LLC and avoiding probate complications.

Chapters

This is a huge mistake that I see people make. If you die with yourself listed as the member of your LLC, that LLC is going to have to go through probate before it can be transferred to your beneficiaries. There is an easy way to avoid that hassle. Create a revocable living trust and assign your LLC to the trust. The trust is then the member of the LLC. It's done through an assignment document. After I've executed this document, my trust will be 100% owner of my LLC. Follow me