Key Takeaways

  • The individual in charge of an LLC is typically referred to as a “Member” (if owner-managed) or “Manager” (if manager-managed), depending on the structure.
  • LLCs offer flexibility in title selection; common titles include Managing Member, CEO, President, and Owner.
  • Using clear and professional titles helps convey authority to outsiders and is important when signing contracts or legal documents.
  • Avoid titles like “Partner” or “Proprietor” that suggest a different business structure, as well as informal or humorous titles that may diminish credibility.
  • Titles should align with the LLC’s operating agreement to prevent legal confusion and demonstrate consistency in authority.
  • Choosing the right title can influence brand perception, client trust, and the ease of conducting business operations.
  • While “Owner” is an accurate descriptor, it is not an official legal title—“Member” is the formal designation in most states.
  • You can consult a business attorney through UpCounsel to ensure your title choices are legally appropriate and reflect your intended role.

What is the head of an LLC called? LLC owners (called members) are not confined to the same rigid management structure as a corporation. Members can create member titles at their discretion. However, members must remember stakeholders, like their customers and vendors, when selecting a title, especially for those who can close deals on the LLC's behalf.

What Is a Limited Liability Company (LLC)

A limited liability company (LLC) is a hybrid business structure that is appealing to small business owners. The LLC business structure offers liability protection to its members while allowing members to have flexibility in how they run their business.

Flexibility Benefits

LLCs give small business owners a legal way to determine how they run their businesses. An LLC affords its members flexibility in the following areas:

  • Business operational structure
  • Member roles
  • Member titles

Use your operating agreements to specify your operational procedures, functions, and title. Though there are no legal mandates that require an LLC do to so, having a clear description of how your business runs, as well as policies and guidelines, will save you from unnecessary issues in the future. Additionally, if you do not have an operating agreement, then your state business office will follow their guidelines, and it may not have a positive result for you our fellow members.

LLC Management Structure

An LLC's management structure options are member-managed or manager managed. In a member-managed LLC, all members participate in directing the daily business operations. On the other hand, if at least one member is not involved in managing the business (called a passive member), the LLC is manager-managed. A manager-managed LLC can also include a non-member.

Member-Managed vs. Manager-Managed Titles

In a member-managed LLC, all owners (called members) share responsibility for running the business. Each member may use the title “Managing Member” or simply “Member,” depending on their role and level of authority.

In a manager-managed LLC, only designated individuals—who may or may not be members—are tasked with running day-to-day operations. These individuals often use titles such as “Manager,” “General Manager,” “President,” or “CEO.” The LLC operating agreement should specify these roles to avoid confusion.

Regardless of management structure, the key is ensuring the title clearly conveys the individual’s decision-making authority to third parties such as banks, clients, or government agencies.

Official Names for LLC Owners and Managers

When you set up your business operating agreement, add the management titles for anyone who is on the management team. Decision-making executives need to use their legal title when signing any legal documents for the LLC. Titles such as member, manager, or member-manager do not usually signify executive-level positions to outsiders. When you choose a title, keep the following two guidelines in mind:

  1. Your title should communicate to outsiders that you are an authority figure in the business.
  2. The title you use is clear and relates to your role in the company.

Good Choices for Titles

The title you select does not have to be unique. For example, here are some commonly used titles:

  • Owner. If you are the sole member, owner is clear and concise.
  • Managing member. If you want to use “member” in the title, managing member is more authoritative.
  • CEO or President. These are commonly used executive titles.
  • Principal. This title is typically used in consulting and service-oriented firms.

Creative firms, like graphic design companies and advertising companies, prefer to use titles like creative director or technical director. You can also use industry-specific titles. You can check online for job postings to review common executive titles for your business line.

How to Choose the Right Title for Your Role

Selecting a title for the head of an LLC isn’t just a branding decision—it also has legal and practical implications:

  • External Communication: Titles like “President” or “CEO” convey a level of authority that “Member” may not, especially when interacting with banks, vendors, or legal documents.
  • Legal Authority: Using a recognized executive title can help validate your authority when signing contracts or applying for credit.
  • Professional Appearance: Avoid generic or unclear titles that may make your leadership role ambiguous.

Before finalizing a title, consider what will make the most sense to customers and stakeholders while staying consistent with your LLC’s operating agreement.

Titles to Avoid or Use With Caution

There are some titles you should avoid. For instance, using either managing partner or proprietor is confusing and may mislead people. Partnerships and sole proprietorships are two business types and are different from an LLC. Additionally, these business types do not offer liability protection. Using either of these titles can increase your risk for a liability suit.

Furthermore, resist the urge to invent titles that are misleading. Titles like "lead coordinator" or "administrator" do not help outsiders understand your role. It also devalues your position. Furthermore, do not combine unusual titles with traditional ones, like "lead coordinator/president."

Lastly, resist the urge to use humor in your business name. Titles like Head Honcho, Rockstar, Boss Lady, and Fearless Leader may be funny among your peers, but it will not serve you well when brokering business deals.

You want to garner respect and trustworthiness from people inside and outside your organization. Your role as an executive is an extension of your LLC's brand. Furthermore, align your name so that it is in context with your interactions with customers. For instance, if you own a retail shop and you interact with customers, owner may be a better title than CEO. Your title does not need to be fancy — just well thought out.

Legal Considerations for LLC Titles

There are no federal or state laws requiring LLC heads to use specific titles, but there are still best practices to follow:

  • Avoid Corporate Terms if Inaccurate: Using titles like “President” or “CEO” is acceptable, but avoid using “Partner” or “Shareholder,” which imply different business structures.
  • Operating Agreement Alignment: The titles listed in your operating agreement should match those used in daily business. This helps prevent disputes and confusion.
  • Legal Documentation: For documents filed with the state or signed on behalf of the LLC, use the title that accurately reflects your role and authority.

Misusing titles can lead to unintended legal consequences, especially in contract disputes or when demonstrating your authority on behalf of the LLC.

Frequently Asked Questions

  1. What is the head of an LLC called?
    The head is typically called a “Member” or “Manager,” depending on the management structure. Other titles like “CEO” or “Managing Member” may also be used.
  2. Can I call myself CEO if I own an LLC?
    Yes, you can use executive titles like “CEO,” but ensure it aligns with your operating agreement and the authority you exercise.
  3. Is “Owner” an official LLC title?
    “Owner” is commonly used informally but isn’t a legal title. The legal term is “Member.”
  4. Should my title be listed in the operating agreement?
    Yes. Including your title in the operating agreement helps clarify your role and authority within the LLC.
  5. Are there titles I should avoid in an LLC?
    Avoid using titles associated with other entity types (like “Partner” or “Proprietor”) and overly casual titles that may diminish professional credibility.

If you need help forming an LLC, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.