LLC State Costs

How to Start an LLC: Step-by-Step Checklist

The same seven steps apply in every state; the fees, forms and deadlines are what change.

  1. Choose the state. For most small businesses that is the state where you live and work. Why forming elsewhere often costs more.
  2. Choose and check the name. Search the state's business records and add an LLC designator as the state requires.
  3. Appoint a registered agent. What an agent does and who can be one.
  4. File the formation document (called articles of organization or a certificate of formation) and pay the state fee. Fees by state.
  5. Write an operating agreement. Basics.
  6. Get an EIN from the IRS for free: IRS online application.
  7. Stay compliant. File annual or biennial reports on time. Annual reports explained. Check city and county license requirements and, for regulated professions, state licensing rules.

The U.S. Small Business Administration also has a register-your-business overview and a business structure guide.

Frequently asked questions

How long does it take to form an LLC?

It depends on the state and whether you file online. Many states process online filings quickly and paper filings more slowly; check the state's current processing times.

Can I form an LLC without a lawyer?

Yes. Filing is a form and a fee. A lawyer or CPA is worth considering for multi-owner LLCs, regulated professions or complicated tax situations.

Want someone else to handle the filing?

A formation service files the paperwork for a fee on top of the state fee and often includes a first year of registered agent service. It saves time, but you can file directly with the state for the state fee alone. Compare DIY and services.

Related

General information, not legal or tax advice. See our methodology and disclosure.