More About Forming an LLC
The following steps are to form a limited liability
company ( llc) in your state:
Fill out an
Articles of Organization form.
1. Name: Unless
you are forming an llc in CA, the name of a limited
liability company must contain
"limited liability company" or "limited company" or the abbreviation "L.L.C.", "LLC", "L.C.", or "LC".
"Limited" may be
abbreviated as "Ltd.", and "company" may be
abbreviated as "Co."
2. Registered
Agent: A Registered Agent, is the person designated
by your LLC to receive
documents and to be served
should the LLC is sued.
3. Manager: If
you are running the LLC yourself, then select
"Member" or "Manager"
since you are both a member
and the manager.
4. LLC
Organizer: Person who is filling out the Articles of
Organization form.
LLCs
1. What is a
Limited Liability Company?
A Limited Liability Company ("LLC") is a separate
State Created legal entity created
by filing a
certificate and executing an llc agreement.
2. What is an
LLC?
An LLC is owned
by its members holding membership certificates.
Members of an
LLC are like shareholders of a corporation.
3. What are the
Advantages of an LLC?
You can treat it
as a sole proprietorship, partnership or corporation
which has many tax advantages.
Limited
Liability:
The
member?s liability is generally limited to the
amount of
money
which the member invested in the LLC.
4. What are the
Disadvantages of an LLC?
Does not have
disadvantages.
5. Do I need an
Attorney to form an LLC?
It is
recommended but not necessary
6. How many
people are needed to form an LLC?
An LLC must have
at least one member.
7. How is an LLC
Managed?
An LLC is
managed by its members or by managers.
If a manager is
not designated, all members manage it.
8. What is a
Registered Agent and is one needed?
A person to
receive mail and to be served in case of a law suit.
A member can be the agent.
9. Should I
choose an LLC or an S Corporation?
The status of an
S Corporation provides the elimination of double
taxation.
However, the S Corporation does not have the
flexibility of an LLC in regard to the allocation of
income to its members.
An s corporation
is limited as to the number and type of members. For
example, it can only have 75 shareholders.
However, an llc can have unlimited members and can
be foreigners or other business entities such as
corporations.
10. How can I
structure an LLC to do my taxes thru myself?
Normally, if you
are the only member, you can do that.
However, if there is another manager managing and
you have free transferability of membership, you may
not be able to do that.
11. What
documents do I need to set up my llc?
Operating
Agreement
Membership
Certificates, if more members are included.
12. Do I Need a
Federal Employer Identification Number?
If you are the
only member, you may not need it. In all other
cases, you need a fed tax id.
13. How do I
begin forming an LLC?
After you submit
you business information, we will prepare and file
all required documents and mail them to you.
Free LLC Formation
All businesses need a LLC License, though it can be the same as a Business tax Registration -
however, you need a business name certificate and you can form an llc to
Register Your Business instead of getting a Assumed Business Name business trade name certificate.
Your corporation name is the same as the Assumed Business Name business name.
This is a general Business Registration that allows you, as the Business owner, the freedom of
operating a registered corporate business.
Here is how to get a Free Business Registration :