Went to a co-working space and saw 3 startups sharing one LLC

Stopped by The Hive in Austin yesterday and overheard the owner telling a new group they could all operate under his single LLC to save on filing fees, which sounds like a liability nightmare waiting to happen for everyone involved once someone sues.

3 comments

3 Comments

adamk9515h ago

Man, that brings me back to this food truck pod I used to work near in Portland. There was this one guy who let like five different taco trucks use his business license and insurance, and when somebody got salmonella from one truck they all got shut down by the health department. The city came in and impounded every single truck because they were all tangled up in the same LLC. The owner tried to say it was just one truck's fault but the lawyers didn't care, they went after everybody with that shared LLC. So yeah, that co-working space setup sounds like a time bomb waiting to go off the second someone slips and breaks their laptop or worse.

wendyg4315h ago

Does that mean I should finally clean out my shared office fridge, @adamk95, before it becomes a health hazard lawsuit waiting to happen?

ivanross15h ago

Is it bad that I'm sitting here wondering if my desk drawer granola bar stash is technically a safety hazard too? Because I've got some stuff in there from 2019 that I'm pretty sure has evolved into its own ecosystem at this point. But you know what they say, shared responsibility is nobody's responsibility, right? I think we all just keep hoping the intern will eventually crack and handle it.