Possible Disadvantages of forming an LLC for a Small Club:

   A small club LLC might face disadvantages related to cost, compliance, and
   potential limited liability issues. While LLCs offer liability protection, they also come with expenses
   like formation fees, annual reports, and potential franchise taxes. Furthermore,the LLC structure
   can be more complex than a sole proprietorship or partnership, requiring ongoing compliance
   and record-keeping.

   Here's a more detailed look at the potential disadvantages:
    Cost and Maintenance:    LLCs often incur higher formation fees and ongoing annual
    reports and franchise tax fees compared to simpler non-LLC entities.

   Compliance Requirements:
   LLCs have ongoing compliance obligations,including maintaining a registered agent, filing annual reports,
   and potentially complying with federal obligations.

   Limited Liability Protection:
   While LLCs offer protection from personal liability, this    protection isn't absolute. In some cases, creditors might
   "pierce the corporate veil" and pursue the owner's personal assets, especially if there's commingling
   of personal and business assets.

   Self-Employment Taxes:
   LLC members are generally considered self-employed and may be responsible for paying self-employment
   taxes, including Social Security and Medicare, on their share of the entity's profits.

   Transferability of Ownership:
   Transferring ownership in an LLC can be more complex than with private entities, as all members typically
   need to agree to new additions or changes in ownership percentages.

   Tax Considerations:
   While LLCs offer pass-through taxation, meaning profits and losses are passed down to the members,
   this can also lead to a higher member tax burden.

   Limited Life:
   In some states, if a member of the LLC dies or leaves, the LLC might need to dissolve or reform,
   which could disrupt continuity. (May apply to New York?)

   Some Risks Remain with the LLC Entity Owner:
   Business owners should be aware that forming an LLC will not necessarily protect the owner from liability related
   to personal injury or other harms caused by business activities. Although ownership by itself generally will not
   render the LLC's owner(s) personally liable for these harms, the mere fact that the LLC exists does not always
   shield the owner from personal liability if the owner is personally involved with the activity that causes
   injury. For example: if the owner of an LLC drives a company car to a business meeting and negligently causes
   an accident along the way, both the business and the owner are likely to be liable. The owner will not be
   able to claim that the LLC's existence absolves them from personal liability because the owner was
   personally negligent in their operation of the company car. The injured party will likely sue both
   the company and LLC owner for damages.

   This is one reason why we caution entrepreneurs whose business is almost entirely
   delivered by the owner's personal efforts. The limited liability aspect of an LLC offers
   little protection to owners personally deliver the services their business sells.
   A contractor who causes damage to a home will not be protected; an Uber driver who causes an
   accident will not be protected. As such, it's important for an entrepreneur to thoroughly
   consider what risks are inherent to his or her business as well as what his or her
   personal relationship to those activities will be. Even if the owner plans to have no direct
   involvement with business activities that carry obvious risks of injury to others, there
   will still likely be some residual risk of personal liability, particularly for start-ups
   that often rely on its owners to wear many different hats.