How To Set Up Your Own LLC
Becoming a business owner is easier now more than ever. There is so much free information out there, there is no need to pay someone. One of the first steps to becoming an official business owner is setting up a limited liability company, also referred to as an LLC. An LLC helps protect you as a business owner from personal liability protection. Here is a simple way to set up your own LLC. Of course, you can always outsource this stuff or at least have a Boulder Legal Group attorney help guide you along the process.
Get A Copy Of Your State’s LLC Articles Of Organization
You can obtain this form online. All you have to do is go to your state’s secretary of state website. From there, you will be able to find out if the state or country you are setting up your LLC requires that you post a notice in the newspaper. This would also be a good time to find out other specifics like business names.
Pick A Name For Your Business
Choosing a name can be the fun part. You just have to make sure that the name is not already taken by another organization. You also have to make sure that the business name follows your state’s name for LLC rules. There may be prohibited words like “corporation,” “incorporated,” “insurance,” or “city” just to name a few, that cannot be used in the name of your business. Another thing to note is that the legal name of your business has to end with LLC.
Complete The LLC Articles Of Organization Form
This notifies the state of your LLC’s name, the reason for going into business, the principal address, the registered agent who is to receive any legal documents pertaining to the business and the names of the initial members of the business. Keep in mind that giving them the names of the initial members does not mean that you have to specify who runs which part of the business, but they do have to have the names.
Publish A Notice In The Paper
This step depends on what is required in your state you filed your LLC. Some states do not require this, but if you are in a state that requires this the purpose of publishing a notice in the paper is to state your intent for forming an LLC. Remember that this step has to be completed before filing your articles of organization. As of now, this step is only required in states like New York and Arizona.
Submit Your Articles Of Organization
Once you complete filling out the form, you have to send it to your state’s secretary of state. There is also a filing fee you will have to pay. The price on that varies from state to state. Some fees can be as low as $40, while other fees can be as high as $900. Whatever you do, make sure you fully understand the tax fee. You may only have to pay a certain amount when you file, but there is also an annual fee you will have to pay.