Any "L" Entity Has One Payment Limit for FBA
It is just not LLC's that has one payment limit
In our post yesterday we were discussing the one payment limit on LLCs and S-corporations, and we had a reader ask about LLP’s which appear to be fairly common in certain states such as Minnesota.
The bottom line is that any entity with an “L” as the first letter such as Limited Liability Company (LLC), Limited Liability Partnership (LLP), Limited Limited Liability Company (LLLP, Limited Partnership (LP), etc. are all treated the same for FBA payment limit purposes. They only get one.
In order to get more than one payment limit, there must be joint liability for all partners and none of these entities meet that requirement.
Therefore, the bottom line is all “L” entities only get one payment limit for FBA.