How to Set Up an LLC in Arizona

We’ve put together a free step-by-step guide on how to set up an LLC in Arizona. 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 Arizona LLC right now! 

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

When you set up an LLC in Arizona 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 an Arizona LLC name. Go to the Arizona Corporation Commission to make sure yours is not taken. 

An LLC Designator 

Every LLC in Arizona has to include a LLC designator. Choose the one you like best below. 

• LLC (most common) 
• LC 
• L.C. 
• L.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 Arizona. Let’s get down to business. 

A Statutory Agent 

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

If you’re opening a business in Arizona but you aren’t a resident, you’ll need to get a Statutory agent in that state.  The requirements for a Statutory 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 Arizona 

 A Company 

• Must be registered to do business in the state 
• Must have a place of business in Arizona 

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

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

Step 1: File Your Articles of Organization in Arizona 

Setting up an LLC in Arizona is easy, especially for single-member LLCs. Just go directly to the Arizona Corporation Commission: eCorp registration.  

You can do the name reservation and the Articles of Organization at the same time.  Easy peasy.  

If you don’t want to file online, you can download and fill out the Articles of Organization here.   

Fees: In Arizona, the cost of setting up your LLC and filing the Articles of Organization is $50.00.  Both methods had an approval time of 14 – 16 business days. But if you pay $85, approval time will be 7- 9 business days. 

Step 2: Complete Your Arizona 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. 

Step 3: Get Your Federal Tax ID Number (EIN) 

Once your Arizona 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.   

Step 4: Apply for Arizona LLC Business License 

In Arizona, there are 3 types of business licenses that may or may not apply to your LLC. 

• Transaction Privilege Tax (TPT)  
• Local Business License 
• Regulatory (Professional/Special) Licensing/Permits 

 You need to check each type so you will know what license to apply for your LLC. 

Taxes, Permits, and Licensing in Alaska

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

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

 There are no annual reports and fees required in Arizona Corporation Commission for Arizona LLC. But remember that you still need to pay your taxes and meet obligations with the Arizona Department of Revenue. 

Putting it All Together

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