Freestone Resources Inc. (fka FSNR)

[RedShoulder]

Quote (Dad): "Some companies like the advantage of showing no profit and a loss for tax purposes"

That is not true for a LLC, since a LLC does not pay taxes. Taxes are paid on profit distributions to partners. The partners are responsible for paying the taxes on profits via filed IRS required K-1 distribution to the partners.

If a LLC doesn't distribute profits through a IRS required K-1, the money does not disappear. At some point you do distribute to get the invested partners paid.