True or False: LLCs are well-suited for companies with a single owner.

The assertion that LLCs are not well-suited for companies with a single owner is inaccurate. In fact, Limited Liability Companies (LLCs) are particularly advantageous for sole proprietors due to their flexibility and protection features. An LLC can be formed by a single person, known as a single-member LLC, which allows the owner to benefit from personal liability protection while enjoying pass-through taxation.

A single-member LLC still provides the owner with the liability protection that is a hallmark of LLCs, safeguarding personal assets from business debts and lawsuits. Additionally, it allows the owner to manage the business without the complexities often associated with other business structures like corporations.

Thus, the nature of LLCs makes them highly suitable for companies with a single owner, providing a beneficial combination of personal asset protection and operational flexibility.