Kristin Hetzer is a Certified Financial Planner (CFP) and an IMCA Certified Investment Management Analyst certificant from the Wharton School of the University of Pennsylvania. Kristin Hetzer serves as a senior portfolio manager and principal with Royal Palms Capital LLC located in Rolling Hills Estates, California. The principal and the president of a limited liability company (LLC) both work to make an organization successful. Although the two positions appear similar, they do have notable differences. The LLC Principal The principal of an LLC is often the owner of the company. If the LLC has more than one owner, the person holding the largest interest in the business becomes the principal. The principal may or may not be directly involved in the operations of the company. Sometimes, the principal is also referred to as an LLC member to prevent legal confusion. The LLC President While the president of an LLC can be the founder of the company, this is often not the case. The president is in most cases an appointed person who has been tasked to act in the best interest of the business. This person is also typically the CEO. They guide all business operations and are responsible for managing employees. Unlike in a corporation, it’s not a requirement for an LLC to have a president. However, the members of the LLC can agree to an organizational structure that has a president as one of the senior executives.