How to Set Up an LLC in Washington 

How to Set Up an LLC in Washington 

We’ve put together a free step-by-step guide on how to set up an LLC in Washington. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has instructions and links to the sites for you to fill out the forms in the correct order. So, let’s set up your Washington LLC right now! 

A few points to remember before setting up your LLC in Washington 

When you set up an LLC in Washington, you’ll need a few things before you get started. This section will help you get your checklist in order.

A Unique Business Name 

Every business in the state must be unique. You’ll need to search for a Washington LLC name. Go to Advanced Business Search to make sure yours is not taken. 

An LLC Designator 

You must have an LLC designator in your name in one of the following formats. 

  • LLC (most common) 
  • L.L.C. 
  • Limited Liability Co. 
  • Limited Liability Company 

Now that you have your unique business name, it’s time to register it with the state of Washington. Let’s get down to business. 

A Registered Agent 

In most states, a registered agent is a person or a company that accepts “Service of Process” for your Washington LLC. A registered agent will receive any subpoenas, notices, and other legal, and tax documents sent to your business by the Washington Department of Revenue. 

If you’re opening a business in Washington but you aren’t a resident, you’ll need to get a registered agent in that state.  The requirements for a registered agent are as follows: 

An Individual: 

  • Must be 18 and be a resident of the state 
  • Must be authorized to do business in the state. 
  • Must have a physical street address located in Washington 

A Company 

  • Must be authorized to do business in the state 

If you meet the above criteria, you can be your own registered agent. Or you can set up a friend or family member to be your registered agent. 

You can also hire a commercial Registered Agent. A company that provides their name and address to receive legal documents from the state. 

Hot Tip

The nice part of using a company is that their address is used instead of yours. As the business address will be public knowledge. By using a registered agent, you can protect and secure your own address. 

Step 1: Register Your Business Name 

To set up an LLC in Washington you need to reserve your business name.  This way during the process no one can steal the name of your company. 

You’ll need to reserve your name by mail. You can print out the Name Reservation form and send it to the Secretary of State’s Office. 

Your name reservation will be for up to 180 days and the filing fee is $30 but only $20 for nonprofits. 

Step 2: File Your Certificate of Formation in Washington 

Setting up an LLC in Washington is easy, especially for single-member LLCs. Just go and sign up for the Washington Corporations and Charities Filing System. Or you can go here. 

You can just directly file the Certificate of Formation even without a reservation.  Easy peasy. 

If you don’t want to file online, you can download and fill out the Certificate of Formation form and send it to the Secretary of State’s Office.  

Fees: In Washington, the cost of setting up your LLC and filing the Certificate of Formation is $200 for online filing and $180 for mail filing. It takes 2-3 business days to be processed. 

Hot Tip

File your Washington LLC Initial Report along with the Certificate of Formation to save additional fees. 

Step 3: Complete Your Washington LLC Operating Agreement 

 

An operating agreement is a key document used by LLCs and partnerships. It outlines the business’ financial and functional decisions including rules, regulations, and provisions. This describes how your LLC will operate internally. For more information on operating agreements, you can check out the Small Business Administration’s article on basic operating agreements. 

Hot Tip

You are not required to file an Operating Agreement with your state. But it may be vital to have it, especially if there are multiple members of your LLC.

Step 4: Get Your Federal Tax ID Number (EIN) 

Once your Washington LLC has been approved it’s time to get your Federal Tax ID Number from the IRS.   

Your EIN is the social security number of your business.  Keep it well protected.  You’ll use this number to open bank accounts, file tax documents, apply for loans, and many other uses.  It also protects your social security number when doing business with other businesses like merchant accounts, 1099s received, etc. 

To apply for your EIN you can go to IRS EIN/Tax ID Application.  Make sure you pick the correct Business Entity Type.   

Quick Note

You can only file online if you have a Social Security Number (SSN) or Taxpayer ID (ITIN).  Otherwise, you’ll have to mail in the forms and wait for the response. If you don’t have an SSN, on Form SS-4, where it asks for your SSN, ITIN, or EIN (line 7b), write “Foreign”. Your EIN application will then be approved without the need for having an SSN.

Step 5: File Your Washington LLC Annual Report 

Your Washington LLC is required to file an annual report to keep your business compliant and in good standing. To file the annual report online, go to Washington Corporations and Charities Filing System. 

If you want to file it by mail, download and fill out the Annual Report form and send it to the Secretary of State’s office.  

Fees: The filing fee is $60. Late filing will result in a $25 penalty. And failure to file may dissolve your business. 

Taxes, Permits, and Licensing in Washington 

To do business in Washington you will need to file tax returns, and hold permits and licenses in your county or city. 

Washington LLC must apply for the necessary business licenses and or permits.  This depends a lot on the type of business and the location of your business. 

Aside from business licenses and permits, all LLCs must also pay appropriate taxes and meet obligations with the Washington Department of Revenue. 

Never miss a deadline

Not sure which forms to file with the IRS and your State after you set up your new business? 

Sign Up to Simply Tax Compliant.  File the right forms and the right time to avoid penalties and interest.

Putting it All Together

Now that you can set up an LLC in Washington online it shouldn’t take more than an hour or two to get up and running.  The Washington Secretary of State’s website is very easy to navigate and following the five steps above will help you get your talents and ideas to market faster. 

 

How to Set Up an LLC in Washington 

How to Set Up an LLC in Washington 

We’ve put together a free step-by-step guide on how to set up an LLC in Washington. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Washington DC

How to Set Up an LLC in Washington DC

We’ve put together a free step-by-step guide on how to set up an LLC in Washington DC. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step...

How to Set Up an LLC in Vermont

How to Set Up an LLC in Vermont

We’ve put together a free step-by-step guide on how to set up an LLC in Vermont. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Washington DC

How to Set Up an LLC in Washington DC

We’ve put together a free step-by-step guide on how to set up an LLC in Washington DC. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has instructions and links to the sites for you to fill out the forms in the correct order. So, let’s set up your Washington DC LLC right now! 

A few points to remember before setting up your LLC in Washington DC 

When you set up an LLC in Washington DC, you’ll need a few things before you get started. This section will help you get your checklist in order.

A Unique Business Name 

Every business in the state must be unique. You’ll need to search for a Washington DC LLC name. Go and register an account to Access DC to make sure yours is not taken. 

An LLC Designator 

You must have an LLC designator in your name in one of the following formats. 

  • LLC (most common) 
  • L.L.C. 
  • LC 
  • L.C. 
  • Ltd. Co. 
  • Ltd. Company 
  • Limited Co. 
  • Limited Company 
  • Limited Liability Company 

Now that you have your unique business name, it’s time to register it with the state of Washington DC. Let’s get down to business. 

A Registered Agent 

In most states, a registered agent is a person or a company that accepts “Service of Process” for your Washington DC LLC. A registered agent will receive any subpoenas, notices, and other legal, and tax documents sent to your business by the Washington DC Office of Tax and Revenue. 

If you’re opening a business in Washington DC but you aren’t a resident, you’ll need to get a registered agent in that state.  The requirements for a registered agent are as follows: 

An Individual: 

  • Must be 18 and be a resident of the state 
  • Must be authorized to do business in the state. 
  • Must have a physical street address located in Washington DC 

A Company 

  • Must be authorized to do business in the state 

If you meet the above criteria, you can be your own registered agent. Or you can set up a friend or family member to be your registered agent. 

You can also hire a commercial Registered Agent. A company that provides their name and address to receive legal documents from the state. 

Hot Tip

The nice part of using a company is that their address is used instead of yours. As the business address will be public knowledge. By using a registered agent, you can protect and secure your own address.

Step 1: Register Your Business Name 

To set up an LLC in Washington DC you need to reserve your business name.  This way during the process no one can steal the name of your company. 

You’ll need to reserve your name by mail. You can print out the Application for Reservation of Name and send it to the Department of Consumer and Regulatory Affairs office. 

Your name reservation will be for up to 60 days and the filing fee is $200. 

Step 2: File Your Articles of Organization in Washington DC 

Setting up an LLC in Washington DC is easy, especially for single-member LLCs. Just go and log in to  CorpOnline 

You can just directly file the Articles of Organization even without a reservation.  Easy peasy. 

If you don’t want to file online, you can download and fill out the Articles of Organization form and send it to the Department of Consumer and Regulatory Affairs office.  

Fees: In Washington DC, the cost of setting up your LLC and filing the Articles of Organization is $220 both online and by mail. It is $320 if walk in or in person. 

Step 3: Complete Your Washington DC LLC Operating Agreement 

 

An operating agreement is a key document used by LLCs and partnerships. It outlines the business’ financial and functional decisions including rules, regulations, and provisions. This describes how your LLC will operate internally. For more information on operating agreements, you can check out the Small Business Administration’s article on basic operating agreements. 

Hot Tip

You are not required to file an Operating Agreement with your state. But it may be vital to have it, especially if there are multiple members of your LLC.  

Step 4: Get Your Federal Tax ID Number (EIN) 

Once your Washington DC LLC has been approved it’s time to get your Federal Tax ID Number from the IRS.   

Your EIN is the social security number of your business.  Keep it well protected.  You’ll use this number to open bank accounts, file tax documents, apply for loans, and many other uses.  It also protects your social security number when doing business with other businesses like merchant accounts, 1099s received, etc. 

To apply for your EIN you can go to IRS EIN/Tax ID Application.  Make sure you pick the correct Business Entity Type.   

Quick Note

You can only file online if you have a Social Security Number (SSN) or Taxpayer ID (ITIN).  Otherwise, you’ll have to mail in the forms and wait for the response. If you don’t have an SSN, on Form SS-4, where it asks for your SSN, ITIN, or EIN (line 7b), write “Foreign”. Your EIN application will then be approved without the need for having an SSN.

Step 5: File Your Washington DC LLC Biennial Report 

Your Washington DC LLC is required to file a Biennial report to keep your business compliant and in good standing. To file the Biennial report online, go to CorpOnline. 

If you want to file it by mail, download and fill out the Biennial Report form and send it to the Department of Consumer and Regulatory Affairs office.  

Fees: The filing fee is $300 for online and mail filings and $400 for in-person. The report is due by April 1st of every second year. A penalty of $100 is charged for late filing. 

Taxes, Permits, and Licensing in Washington DC 

To do business in Washington DC you will need to file tax returns, and hold permits and licenses in your county or city. 

Washington DC LLC must apply for the necessary business licenses and or permits.  This depends a lot on the type of business and the location of your business. 

Aside from business licenses and permits, all LLCs must also pay appropriate taxes and meet obligations with the Washington DC Office of Tax and Revenue. 

Never miss a deadline

Not sure which forms to file with the IRS and your State after you set up your new business? 

Sign Up to Simply Tax Compliant.  File the right forms and the right time to avoid penalties and interest.

Putting it All Together

Now that you can set up an LLC in Washington DC online it shouldn’t take more than an hour or two to get up and running.  The Washington DC Department of Consumer and Regulatory Affairs’ website is very easy to navigate and following the five steps above will help you get your talents and ideas to market faster. 

 

How to Set Up an LLC in Washington 

How to Set Up an LLC in Washington 

We’ve put together a free step-by-step guide on how to set up an LLC in Washington. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Washington DC

How to Set Up an LLC in Washington DC

We’ve put together a free step-by-step guide on how to set up an LLC in Washington DC. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step...

How to Set Up an LLC in Vermont

How to Set Up an LLC in Vermont

We’ve put together a free step-by-step guide on how to set up an LLC in Vermont. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Vermont

How to Set Up an LLC in Vermont

We’ve put together a free step-by-step guide on how to set up an LLC in Vermont. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has instructions and links to the sites for you to fill out the forms in the correct order. So, let’s set up your Vermont LLC right now! 

A few points to remember before setting up your LLC in Vermont 

When you set up an LLC in Vermont, you’ll need a few things before you get started. This section will help you get your checklist in order.

A Unique Business Name 

Every business in the state must be unique. You’ll need to search for a Vermont LLC name. Go to Business Search to make sure yours is not taken. 

An LLC Designator 

You must have an LLC designator in your name in one of the following formats. 

  • LLC (most common) 
  • L.L.C. 
  • LC 
  • L.C. 
  • Ltd. Liability Co. 
  • Ltd. Liability Company 
  • Limited Liability Co. 
  • Limited Liability Company 

Now that you have your unique business name, it’s time to register it with the state of Vermont. Let’s get down to business. 

A Registered Agent 

In most states, a registered agent is a person or a company that accepts “Service of Process” for your Vermont LLC. A registered agent will receive any subpoenas, notices, and other legal, and tax documents sent to your business by the Vermont Department of Taxes. 

If you’re opening a business in Vermont but you aren’t a resident, you’ll need to get a registered agent in that state.  The requirements for a registered agent are as follows: 

An Individual: 

  • Must be 18 and be a resident of the state 
  • Must be authorized to do business in the state. 
  • Must have a physical street address located in Vermont 

A Company 

  • Must be authorized to do business in the state 

If you meet the above criteria, you can be your own registered agent. Or you can set up a friend or family member to be your registered agent. 

You can also hire a commercial Registered Agent. A company that provides their name and address to receive legal documents from the state. 

Hot Tip

The nice part of using a company is that their address is used instead of yours. As the business address will be public knowledge. By using a registered agent, you can protect and secure your own address.

Step 1: Register Your Business Name 

To set up an LLC in Vermont you need to reserve your business name.  This way during the process no one can steal the name of your company. 

You’ll need to reserve your name online, or you can print out the name reservation form after you fill it out online and send it by mail. 

Your name reservation will be up to 120 days and the filing fee is $20. 

Step 2: File Your Articles of Organization in Vermont 

Setting up an LLC in Vermont is easy, especially for single-member LLCs. Just go and sign up for the Vermont BizFilings 

You can just directly file the Articles of Organization even without a reservation.  Easy peasy. 

If you don’t want to file online, you will have to submit a form request for the Articles of Organization to the Secretary of State’s Office.  

Fees: In Vermont, the cost of setting up your LLC and filing the Articles of Organization is $125. It takes 24 hours to get approval for online filing. While it takes 7-10 business days for mail filing. 

Step 3: Complete Your Vermont LLC Operating Agreement 

 

An operating agreement is a key document used by LLCs and partnerships. It outlines the business’ financial and functional decisions including rules, regulations, and provisions. This describes how your LLC will operate internally. For more information on operating agreements, you can check out the Small Business Administration’s article on basic operating agreements. 

Hot Tip

You are not required to file an Operating Agreement with your state. But it may be vital to have it, especially if there are multiple members of your LLC.

Step 4: Get Your Federal Tax ID Number (EIN) 

Once your Vermont LLC has been approved it’s time to get your Federal Tax ID Number from the IRS.   

Your EIN is the social security number of your business.  Keep it well protected.  You’ll use this number to open bank accounts, file tax documents, apply for loans, and many other uses.  It also protects your social security number when doing business with other businesses like merchant accounts, 1099s received, etc. 

To apply for your EIN you can go to IRS EIN/Tax ID Application.  Make sure you pick the correct Business Entity Type.   

Quick Note

You can only file online if you have a Social Security Number (SSN) or Taxpayer ID (ITIN).  Otherwise, you’ll have to mail in the forms and wait for the response. If you don’t have an SSN, on Form SS-4, where it asks for your SSN, ITIN, or EIN (line 7b), write “Foreign”. Your EIN application will then be approved without the need for having an SSN. 

Step 5: File Your LLC Annual Report 

Your Vermont LLC is required to file an annual report on whether your LLC does nothing or makes no money at all. To file the annual report online, go to Annual/Biennial Report Filing. 

Fees: The filing fee is $35. There is a $25 late filing fee when you fail to file after March 1st. 

The report is due between January 1st and March 1st of each year. If you fail to file on time, your LLC will be marked as terminated. 

Taxes, Permits, and Licensing in Vermont 

To do business in Vermont you will need to file tax returns, and hold permits and licenses in your county or city. 

Vermont LLC must apply for the necessary business licenses and or permits.  This depends a lot on the type of business and the location of your business. 

Aside from business licenses and permits, all LLCs must also pay appropriate taxes and meet obligations with the Vermont Department of Taxes. 

Never miss a deadline

Not sure which forms to file with the IRS and your State after you set up your new business? 

Sign Up to Simply Tax Compliant.  File the right forms and the right time to avoid penalties and interest.

Putting it All Together

Now that you can set up an LLC in Vermont online it shouldn’t take more than a day or two to get up and running.  The Vermont Secretary of State’s website is very easy to navigate and following the five steps above will help you get your talents and ideas to market faster. 

 

How to Set Up an LLC in Washington 

How to Set Up an LLC in Washington 

We’ve put together a free step-by-step guide on how to set up an LLC in Washington. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Washington DC

How to Set Up an LLC in Washington DC

We’ve put together a free step-by-step guide on how to set up an LLC in Washington DC. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step...

How to Set Up an LLC in Vermont

How to Set Up an LLC in Vermont

We’ve put together a free step-by-step guide on how to set up an LLC in Vermont. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Utah

How to Set Up an LLC in Utah

We’ve put together a free step-by-step guide on how to set up an LLC in Utah. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has instructions and links to the sites for you to fill out the forms in the correct order. So, let’s set up your Utah LLC right now! 

A few points to remember before setting up your LLC in Utah

When you set up an LLC in Utah, you’ll need a few things before you get started. This section will help you get your checklist in order.

A Unique Business Name 

Every business in the state must be unique. You’ll need to search for a Utah LLC name. Go to Business Name Search to make sure yours is not taken. 

An LLC Designator 

You must have an LLC designator in your name in one of the following formats. 

  • LLC (most common) 
  • L.L.C. 
  • LC 
  • L.C. 
  • Limited Company 
  • Limited Liability Company 

Now that you have your unique business name, it’s time to register it with the state of Utah. Let’s get down to business. 

A Registered Agent 

In most states, a registered agent is a person or a company that accepts “Service of Process” for your Utah LLC. A registered agent will receive any subpoenas, notices, and other legal, and tax documents sent to your business by the Utah State Tax Commission. 

If you’re opening a business in Utah but you aren’t a resident, you’ll need to get a registered agent in that state.  The requirements for a registered agent are as follows: 

An Individual: 

  • Must be 18 and be a resident of the state 
  • Must be authorized to do business in the state. 
  • Must have a physical street address located in Utah 

A Company 

  • Must be authorized to do business in the state 

If you meet the above criteria, you can be your own registered agent. Or you can set up a friend or family member to be your registered agent. 

You can also hire a commercial Registered Agent. A company that provides their name and address to receive legal documents from the state. 

Hot Tip

The nice part of using a company is that their address is used instead of yours. As the business address will be public knowledge. By using a registered agent, you can protect and secure your own address.

Step 1: Register Your Business Name 

To set up an LLC in Utah you need to reserve your business name.  This way during the process no one can steal the name of your company. 

You’ll need to reserve your name online, or you can print out the name reservation form and send it by mail. 

Your name reservation will be up to 120 days and the filing fee is $22. 

Step 2: File Your Certificate of Organization in Utah 

Setting up an LLC in Utah is easy, especially for single-member LLCs. Just go and sign up for the OneStop Online Business Registration 

You can just directly file the Certificate of Organization even without a reservation.  Easy peasy. 

If you don’t want to file online, you can download and print out the Certificate of Organization form and send it to the Utah Secretary of State. 

Fees: In Utah, the cost of setting up your LLC and filing the Certificate of Organization is $70. 

Step 3: Complete Your Utah LLC Operating Agreement 

 

An operating agreement is a key document used by LLCs and partnerships. It outlines the business’ financial and functional decisions including rules, regulations, and provisions. This describes how your LLC will operate internally. For more information on operating agreements, you can check out the Small Business Administration’s article on basic operating agreements. 

Hot Tip

You are not required to file an Operating Agreement with your state. But it may be vital to have it, especially if there are multiple members of your LLC.

Step 4: Get Your Federal Tax ID Number (EIN) 

Once your Utah LLC has been approved it’s time to get your Federal Tax ID Number from the IRS.   

Your EIN is the social security number of your business.  Keep it well protected.  You’ll use this number to open bank accounts, file tax documents, apply for loans, and many other uses.  It also protects your social security number when doing business with other businesses like merchant accounts, 1099s received, etc. 

To apply for your EIN you can go to IRS EIN/Tax ID Application.  Make sure you pick the correct Business Entity Type. 

Quick Note

You can only file online if you have a Social Security Number (SSN) or Taxpayer ID (ITIN).  Otherwise, you’ll have to mail in the forms and wait for the response. If you don’t have an SSN, on Form SS-4, where it asks for your SSN, ITIN, or EIN (line 7b), write “Foreign”. Your EIN application will then be approved without the need for having an SSN.

Step 5: File Your LLC Annual Renewal 

Your Utah LLC is required to file an Annual Renewal to keep your business going. To file the Annual Renewal online, go to Renewal Process. 

If you want to file by mail, print out the annual renewal form and send it to the Utah Division of Corporations.  

Fees: The filing fee is $20. 

Taxes, Permits, and Licensing in Utah 

To do business in Utah you will need to file tax returns, and hold permits and licenses in your county or city. 

Utah LLC must apply for the necessary business licenses and or permits.  This depends a lot on the type of business and the location of your business. 

Aside from business licenses and permits, all LLCs must also pay appropriate taxes and meet obligations with the Utah State Tax Commission. 

Never miss a deadline

Not sure which forms to file with the IRS and your State after you set up your new business? 

Sign Up to Simply Tax Compliant.  File the right forms and the right time to avoid penalties and interest.

Putting it All Together

Now that you can set up an LLC in Utah online it shouldn’t take more than a day or two to get up and running. The Utah Secretary of State’s website is very easy to navigate and following the five steps above will help you get your talents and ideas to market faster. 

 

How to Set Up an LLC in Washington 

How to Set Up an LLC in Washington 

We’ve put together a free step-by-step guide on how to set up an LLC in Washington. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Washington DC

How to Set Up an LLC in Washington DC

We’ve put together a free step-by-step guide on how to set up an LLC in Washington DC. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step...

How to Set Up an LLC in Vermont

How to Set Up an LLC in Vermont

We’ve put together a free step-by-step guide on how to set up an LLC in Vermont. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has...

How to Set Up an LLC in Texas

How to Set Up an LLC in Texas

We’ve put together a free step-by-step guide on how to set up an LLC in Texas. We want you to have a clear idea of how to set up and manage an LLC for your state. We’ve tried to make sure you have the information you need right at your fingertips. Each step has instructions and links to the sites for you to fill out the forms in the correct order. So, let’s set up your Texas LLC right now! 

A few points to remember before setting up your LLC in Texas 

When you set up an LLC in Texas, you’ll need a few things before you get started. This section will help you get your checklist in order.

A Unique Business Name 

Every business in the state must be unique. You’ll need to search for a Texas LLC name. Go to Taxable Entity Search to make sure yours is not taken. 

An LLC Designator 

You must have an LLC designator in your name in one of the following formats. 

  • LLC (most common) 
  • L.L.C. 
  • LC 
  • L.C. 
  • Ltd. Co. 
  • Ltd. Company 
  • Limited Company 
  • Limited Liability Company 

Now that you have your unique business name, it’s time to register it with the state of Texas. Let’s get down to business. 

A Registered Agent 

In most states, a registered agent is a person or a company that accepts “Service of Process” for your Texas LLC. A registered agent will receive any subpoenas, notices, and other legal, and tax documents sent to your business by the Texas Comptroller. 

If you’re opening a business in Texas but you aren’t a resident, you’ll need to get a registered agent in that state.  The requirements for a registered agent are as follows: 

An Individual: 

  • Must be 18 and be a resident of the state 
  • Must be authorized to do business in the state. 
  • Must have a physical street address located in Texas 

A Company 

  • Must be authorized to do business in the state 

If you meet the above criteria, you can be your own registered agent. Or you can set up a friend or family member to be your registered agent. 

You can also hire a commercial Registered Agent. A company that provides their name and address to receive legal documents from the state. 

Hot Tip

The nice part of using a company is that their address is used instead of yours. As the business address will be public knowledge. By using a registered agent, you can protect and secure your own address.

Step 1: Register Your Business Name 

To set up an LLC in Texas you need to reserve your business name.  This way during the process no one can steal the name of your company. 

You’ll need to reserve your name online, or you can print out the name reservation form and send it by mail. 

Your name reservation will be up to 120 days and the filing fee is $40. 

Step 2: File Your Articles of Organization in Texas 

Setting up an LLC in Texas is easy, especially for single-member LLCs. Just go and sign up for the SOSDirect 

You can just directly file the Articles of Organization even without a reservation.  Easy peasy. 

If you don’t want to file online, you can download and print out the Articles of Organization form and follow the instructions 

Fees: In Texas, the cost of setting up your LLC and filing the Articles of Organization is $300. It takes 2-3 business days to get approval for online filing. While it takes 5-7 business days for mail filing. 

Step 3: Complete Your Texas LLC Operating Agreement 

 

An operating agreement is a key document used by LLCs and partnerships. It outlines the business’ financial and functional decisions including rules, regulations, and provisions. This describes how your LLC will operate internally. For more information on operating agreements, you can check out the Small Business Administration’s article on basic operating agreements. 

Hot Tip

You are not required to file an Operating Agreement with your state. But it may be vital to have it, especially if there are multiple members of your LLC.

Step 4: Get Your Federal Tax ID Number (EIN) 

Once your Texas LLC has been approved it’s time to get your Federal Tax ID Number from the IRS.   

Your EIN is the social security number of your business.  Keep it well protected.  You’ll use this number to open bank accounts, file tax documents, apply for loans, and many other uses.  It also protects your social security number when doing business with other businesses like merchant accounts, 1099s received, etc. 

To apply for your EIN you can go to IRS EIN/Tax ID Application.  Make sure you pick the correct Business Entity Type.   

Quick Note

You can only file online if you have a Social Security Number (SSN) or Taxpayer ID (ITIN).  Otherwise, you’ll have to mail in the forms and wait for the response. If you don’t have an SSN, on Form SS-4, where it asks for your SSN, ITIN, or EIN (line 7b), write “Foreign”. Your EIN application will then be approved without the need for having an SSN. 

Step 5: File Your Texas LLC Franchise Tax Report and Public Information Report 

Your Texas LLC is required to file a Franchise Tax Report and Public Information Report on whether or not your LLC has tax due. It can only be filed online at the Texas Comptroller’s website. 

To file the Franchise Tax Report, go to eSystems. 

Fees: You are to file a NO TAX DUE REPORT if your annual revenue does not exceed $1,230,000. Use the graduated tax schedule if you exceed the threshold amount. 

Your report is due on May 15th of each year. Late filings will result in a $50 charge plus a penalty of 5% or 10% of your tax due if you file more than a month late from the due date. 

Taxes, Permits, and Licensing in Texas 

To do business in Texas you will need to file tax returns, and hold permits and licenses in your county or city. 

Texas LLC must apply for the necessary business licenses and or permits.  This depends a lot on the type of business and the location of your business. 

Aside from business licenses and permits, all LLCs must also pay appropriate taxes and meet obligations with the Texas Comptroller. 

Never miss a deadline

Not sure which forms to file with the IRS and your State after you set up your new business? 

Sign Up to Simply Tax Compliant.  File the right forms and the right time to avoid penalties and interest.

Putting it All Together

Now that you can set up an LLC in Texas online it shouldn’t take more than a day or two to get up and running.  The Texas Secretary of State’s website is very easy to navigate and following the five steps above will help you get your talents and ideas to market faster.

 

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