Start your LLC with confidence
Only articles of organization filed with the state.
Includes:
Best for those planning to start and operate a business or side hustle.
Recommended
Includes Basic package, plus:
Best for those who want an experienced attorney to ensure they get everything right.
Includes Pro package, plus:
What you need to know about forming an LLC
What is an LLC?
A limited liability company (LLC) is a type of business entity you can register in your state. The primary goal of an LLC is to protect its owners from personal liability, similar to a C or S corporation. However, it also offers the advantage of simpler regulations and more flexible tax options for the business.
Do I need an LLC?
While an LLC isn’t mandatory, many small business owners opt to form one for personal liability protection. Establishing an LLC can also simplify opening bank accounts, signing contracts, hiring employees, and obtaining the necessary business licenses and permits.
What does LLC formation mean?
When you create an LLC, you file a set of required business forms with the state where you plan to establish your new business entity. Once approved, you can use this separate entity to track business expenses, assume business debts, file taxes, acquire business licenses, and more—providing you with liability protection.
How easy is it to form an LLC?
Forming a legal entity like an LLC might seem intimidating, especially if it’s your first time. However, all you need is a clear understanding of your business’s activities, your plans for running it, and the LLC filing fees in your state. Even if your business requires a physical retail location, you don’t need to have an address in place to start the LLC formation process.
LLC vs. corporation:
What’s the difference?
There are several important differences between an LLC and a corporation:?
LLC
Corporation
How to start an LLC
Choose & reserve a name
It’s a good idea to verify that your LLC name isn’t already in use by similar businesses in your area. Our formation services include a business name check, and we can also reserve your preferred name for you.
Pick a registered agent
Also known as a statutory agent or resident agent, a registered agent receives your LLC’s legal notices and documents during regular business hours. Most states require one, and we can provide this service for you.
File articles of organization
Also known as a certificate of formation, this official document includes all the essential details about your new business. When we file it on your behalf, it is typically submitted to your Secretary of State.
Determine licenses needed
You’ll also need to apply for any necessary business licenses or permits to ensure compliance, though it’s best to wait until your LLC’s formation documents are approved.
Craft operating agreement
This document outlines your LLC’s guidelines, covering everything from business structure to profit distribution. Our templates simplify the process, helping LLC owners define their rights and minimize potential disputes.
Get an EIN (federal tax ID)
Most businesses require a federal tax ID to open a business bank account, file taxes, and begin hiring. It helps protect your identity by keeping your personal and business finances distinct.
Frequently asked questions
LLC stands for “limited liability company.” It refers to the ways in which you can use an LLC to protect your personal assets.
It’s not necessary to form an LLC in order to start a business. Also, an LLC is only one of several ways to structure a business. Other possibilities include: C corporation, S corporation, nonprofit, sole proprietorship, general partnership, limited partnership, and limited liability partnership.
Both LLCs and corporations protect owners’ personal assets from business liabilities or debts. But they have some key differences, including:
How they’re owned. LLCs have one or more individual members, but corporations have shareholders.
How they’re maintained. LLCs generally have less formal record-keeping and reporting requirements.
How they’re taxed. LLC profits usually pass through to members before taxes, while profits for some corporations are taxed at the company level first.
An LLC is a type of business entity while an S corporation is a corporation with a special federal tax election. Either an LLC or a C corporation that meets certain requirements can apply to be treated as an S corporation for tax purposes. An S corp is similar to an LLC in that it can help its owners avoid double taxation.
Yes, but it’s not all that common. Certain requirements must be met, and it can be a little confusing to understand all of the legalities. It’s always wise to seek advice from a legal professional and/or tax advisor to determine whether to take your business in this direction.
Yes. Generally speaking, an S corp can be a member of an LLC.
It depends. Our LLC plans start at $0 plus filing fees, and you can add more services as your business needs them. LLC filing fees also vary by state. However, all of these costs are often tax-deductible.
Our do-it-yourself packages (Basic, Pro) don’t include access to an attorney—but our attorney-assisted package (Premium) includes unlimited 30-minute consultations with independent attorneys from our network, with each consultation focused on a new legal topic or issue related to the formation and launch of your LLC.