1. What Is an LLC?
LLC, short for limited liability company, is a separate form of business entity. In contrast to sole proprietorship, according to our understanding, the main purpose of forming an LLC is to protect members from personal liability in the event of legal action or financial challenges, such as such as the inability to settle debts. This protection is intended to protect personal assets, even if an individual is the sole member of the LLC.
Another factor contributing to the widespread popularity of the LLC business structure is its associated tax advantages. As an LLC member, you have the flexibility to choose whether to be taxed as a business or an individual. Choosing the second option requires reporting income derived from the LLC as self-employment income. Additionally, electing entity tax will result in the LLC being taxed as an S corporation, allowing for potential savings on Medicare and Social Security taxes.
2. How To Start an LLC
This is the guide we offer if you are preparing to form an LLC. Hope it can help you!
- Choose a business name: Choose an appropriate name for your business, making sure it is unique in your state. Conduct a name search on the website of the state agency responsible for business records to verify its availability.
- Designate a Registered Agent: Designate a registered agent who receives official documents on behalf of your LLC. Options include yourself, an employee, or any individual in your state over the age of 18 who is available during regular business hours. Alternatively, you can use a registered agent service. If you act as a registered agent, your name and address will be published.
- Obtain Your State’s LLC Articles of Organization form: Obtain your Articles of Organization form, which may have a different name depending on your state. This form allows you to form your LLC as an entity legally. You can find the form on the same state website where you conduct your business name search.
- Complete and submit Articles of Organization: Fill in the form, providing basic information such as the business name, address, purpose, and contact details of your registered agent. In some states like New York, you may need to announce your intention to form an LLC in the newspaper before filing.
- Draft Operating Agreement: Create an operating agreement to govern the terms of your LLC. Make sure it includes the necessary details about your business, member information, management structure, tax treatment preferences, and liability statements. You can draft it yourself or seek help from an online service or specialist.
While it is possible to begin the LLC formation process independently, it can be laborious and time-consuming. Using an LLC service proves beneficial because it can manage the process on your behalf, saving you time and money.
3. How does an LLC service work?
LLC Services primarily assists individuals in establishing a new Limited Liability Company (LLC). Typically, such services perform the following tasks:
- Collect necessary information about the LLC and its owners as required by the state.
- Collect application service fees.
- Submit relevant forms to the Secretary of State.
- Receive feedback confirming successful company establishment or provide information if company establishment is unsuccessful.
- Notify the business owner of the successful establishment and send the charter of the organization or other official documents issued by the state to the limited liability company.
If you want to form an LLC but are having difficulty, these services will help solve the problem. In addition, LLC Services also has many different service packages that include additional services.
4. Why Use an LLC Service?
If you don’t use the LLC Service, what problems might you encounter?
- Potentially missed learning opportunities: Handling the process yourself can yield new insights into your business and contribute to a valuable learning experience.
- Legal advisor considerations: If your business operates in a high-risk industry or involves developing a new product, hiring an attorney may be a wiser choice.
- Limited Personalization: Depending on the LLC service you have chosen, you may not receive the level of personalized support you desire, which requires additional knowledge or insight to get started. Activate your business.
Here are the reasons you should use LLC Services:
- No Specialized Knowledge Needed: Extensive expertise in LLC formation is unnecessary; the service will take care of the process for you.
- Stay Informed about Future Requirements: A reputable service will keep you informed about any future actions your state may necessitate, helping you steer clear of unwanted consequences.
- Access to Supplementary Services: Depending on the chosen LLC service, you can avail yourself of additional services such as web design, marketing, and compliance reporting.
Please consider and give your own answer for yourself/your business!
5. 10 Best LLC Services Of 2024
1. LegalZoom: Best Variety of Services
LegalZoom commenced operations in 2001 and has since facilitated the formation of over 2 million business entities. The company boasts significant brand power, attributed to its consistent advertising efforts and extensive experience. Presently, LegalZoom is offering free LLC formations (plus state fees), but charges $199 per year for its registered agent service.
In terms of experience and brand recognition, LegalZoom stands out with millions of satisfied business customers. The company provides a 100% money-back satisfaction guarantee, allowing customers to avail themselves of a refund within 60 days of their purchase—a policy closely resembling the one offered by ZenBusiness.
LegalZoom extends its customer service hours until 10 p.m. ET on weekdays and 7 p.m. ET on weekends, ensuring accessibility for its clientele. Beyond LLC formation, LegalZoom offers a diverse range of business and personal services, surpassing many competitors in terms of service variety.
While LegalZoom provides a $0 (+ state fee) LLC formation package, it does have elevated prices for certain services. For instance, the registered agent service costs $199/year. Moreover, if opting to form a corporation instead of an LLC, LegalZoom charges a minimum of $149, whereas ZenBusiness continues to offer this service for free, with the requirement to cover only the state’s fee.
Services:
- Establish an LLC (Limited Liability Company): Navigate the process of forming a legal entity with limited liability protection for its members.
- Register a “Doing Business As” (DBA) Name: File the necessary paperwork to operate the business under an alternative name, also known as a “Doing Business As” or DBA name.
- Reserve a Business Name: Secure the selected business name by completing the reservation process to prevent others from using it during the formation period.
- Obtain a Federal Tax ID (EIN – Employer Identification Number): Apply for a unique identification number assigned by the IRS for tax purposes and to establish the business as a legal entity.
- Obtain a State Tax ID: Acquire a state-specific identification number required for tax compliance and other regulatory purposes within the state of operation.
2. Incfile: Best for Basic Legal Needs
Incfile began operations in 2004 and has since successfully formed more than 1 million LLCs and corporations. In 2018, Entrepreneur magazine recognized them as one of the 360 best startups in America.
One thing that surprised us is that they offer free LLC formation services, requiring only payment of state fees. With a wealth of experience, Incfile has formed more than 1 million businesses since its founding. Incfile offers a free formation package, an impressive feature since some competitors charge substantial fees for comparable services. Every LLC formation package from Incfile includes one year of registered agent service, a prerequisite for all LLCs. According to our research, Incfile has positive customer feedback, maintaining a high average review score with over 50,000 reviews available online.
While Incfile’s free LLC service is convenient, users may encounter more upsells and the overall price may be higher. For a simpler offering, ZenBusiness offers a free LLC formation service (with payment of state-mandated fees) with no recurring fees. It’s worth noting that Incfile’s customer support system isn’t always the most responsive, especially via email, with some support requests reportedly going unanswered.
Services:
- Form an LLC (Limited Liability Company): Navigate the process of establishing a legal entity with limited liability.
- Establish a C-Corp (C-Corporation): Organize the formation of a C-Corporation, a distinct legal and tax entity.
- Organize a Nonprofit: Structure the establishment of a nonprofit organization with specific tax-exempt goals.
- Establish an S-Corp (S-Corporation): Set up the formation of an S-Corporation, a tax election with specific requirements.
- Amend Organizational Documents: Make changes or updates to key organizational paperwork.
- Change Company Name: Navigate the process of altering the legal name of the company.
- Appoint a Registered Agent: Designate an individual or service responsible for receiving legal documents on behalf of the company.
- Obtain a Virtual Address: Secure a virtual business address for official communications.
- Acquire an Employer Identification Number (EIN): Acquire a distinctive identification number for tax-related purposes.
- Obtain a Certificate of Good Standing: Secure a document verifying the company’s legal standing and compliance.
- Register a “Doing Business As” (DBA) Name: File the necessary paperwork to operate under an assumed name.
- Qualify as a Foreign Entity: Register the company to do business in a state other than its state of formation.
- Change Registered Agent: Modify the designated individual or service responsible for receiving legal documents.
- Obtain Business License or Permit: Acquire the necessary licenses or permits for legal operation.
- Submit Annual Report: Fulfill the requirement of submitting an annual report to maintain compliance.
- Receive a Free Tax Consultation: Access a complimentary consultation to address tax-related queries or concerns.
- File an S-Corp Election: Complete the necessary documentation to elect S-Corporation tax status.
- Apply for a Trademark: Initiate the process of securing legal protection for the company’s intellectual property.
- Order a Corporate or LLC Kit: Procure a comprehensive kit containing essential documents and materials for corporate or LLC compliance.
- Manage Finances and Accounting: Implement systems for financial tracking and accounting procedures.
- Dissolve the Company: Navigate the formal process of closing down the business entity.
- Reinstate the Company: Undertake the necessary steps to revive a dissolved company and restore its legal status.
3. ZenBusiness: Best for New Business
In our perspective, ZenBusiness emerges as the optimal choice for entrepreneurs and small business proprietors seeking effective LLC services. The company ardently dedicates itself to streamlining the intricate process of business initiation, placing a strong emphasis on expediency and simplicity. What sets ZenBusiness apart is the myriad of subscription options it provides, delivering an unprecedented level of flexibility in the dynamic market landscape. A notable facet of the company lies in its unwavering commitment to social impact, actively championing businesses in historically underserved communities. For entrepreneurs on the lookout for a dependable and socially conscious LLC formation service, ZenBusiness unfurls itself as an exceedingly compelling choice.
ZenBusiness unfolds three distinctive plans crafted to cater comprehensively to a spectrum of business needs: Starter, Pro, and Premium. Each plan is intricately equipped with a unique array of features meticulously designed to provide indispensable assistance to entrepreneurs traversing different stages of their business journey.
ZenBusiness stands distinctly apart from its competitors by seamlessly fusing professionalism, reliability, and an inherently socially responsible approach. The company orchestrates a streamlined and hassle-free experience throughout the LLC formation process. The adaptive subscription options offered by ZenBusiness ensure a personalized and tailor-made experience that resonates uniquely with each entrepreneur.
Services:
- Formation of businesses (LLC, corporation, etc.)
- Service for reserving business names (includes availability search)
- “Worry-free” compliance services
- Preparation of operating agreements
- Services for registered agents
- Registration of EIN (Employer Identification Number)
- Library of business document templates
- Accelerated filing speeds
- Reports on business licenses
- Filings for amendments
- Issuance of Certificates of Good Standing
4. Rocket Lawyer: Best for Usability
Rocket Lawyer has been in operation since 2008, serving over 25 million customers to date, although the breakdown between business clients and individual customers is unclear. Nevertheless, it stands as the largest entity in the online legal services industry.
An interesting aspect of Rocket Lawyer’s business model revolves around its legal services subscription plan, priced at $39.99 per month. This plan encompasses access to a comprehensive legal document library, consultations with business attorneys, a complimentary formation service for new members, and additional discounts.
Rocket Lawyer garners positive feedback from its clients, with numerous favorable reviews available online.
They provide a legal services subscription covering various document filings, including LLC formation service at no extra cost for new members, coupled with access to attorney consultations and more.
Having amassed over 25 million customers since its inception in 2008, Rocket Lawyer stands out as the foremost online business services provider in the United States, surpassing even LegalZoom in customer volume.
Rocket Lawyer boasts extended customer support hours, available 12 hours every weekday, with service agents demonstrating helpfulness in our experience.
They offer a satisfaction guarantee that covers 100% of all fees paid to Rocket Lawyer if you contact them within 30 days of purchase. The resolution may involve resolving the issue, crediting your account for other purchases, or providing a full refund.
Opting out of Rocket Lawyer’s $39.99/month legal services program results in relatively high pricing for the services provided. Their $99.99 package for non-members offers fewer features compared to other LLC services that charge less. For instance, ZenBusiness provides free LLC formation; you only need to cover the state filing fee.
Services:
- Additional Information
- Standard LLC Filing Details
- Further Details
- 100% Accuracy Guarantee Information
- Additional Information
- Assurance of Worry-Free Compliance
- More Information on the Operating Agreement
- Additional Details on Our Fastest Filing Speed
- EIN (Employer Identification Number) Information
- More Details on Business Documents
- Information on Business Website Builder
- Details on Domain Name with Privacy
- Information on Business Email Addresses
5. Active Filings: Best for International Entrepreneurs
Active Filings operates as an online business incorporation service, providing a range of LLC formation packages priced from $0 to $250, exclusive of state fees.
Their complimentary name search service is included in each plan, with all packages incorporating the filing of Articles of Organization or Incorporation and registered agent services. However, beyond the initial year, a fee of $99 is applicable to maintain the registered agent service in addition to the annual plan cost.
Active Filings covers essential requirements, including a preliminary name check to ensure state approval of the desired business name, preparation of Articles of Formation filed with the Secretary of State, creation of the LLC’s Operating Agreement, and obtaining an EIN.
LLC formation attorney Zac Copp identifies these steps as core formation requirements for a new LLC. While Active Filings fulfills these essential steps, it is relatively basic compared to other LLC formation services. Notably, it lacks access to legal or tax experts, online chat support, and a domain name, even in the highest-paid plan. These additional services can prove invaluable, particularly for first-time business owners.
Services:
- Incorporation Service.
- Registered Agent Services.
- Annual Report Compliance.
- Privacy Protection.
- Business Address.
- EIN – Federal Tax ID Number.
- Corporate Book.
- Expedited Service.
- Corporate Seal.
6. Northwest Registered Agent: Best for Affordability
Northwest earns our top recommendation as the premier LLC service. Recognized for their highly knowledgeable customer service, their team of dedicated Corporate Guides® provides personalized assistance throughout the LLC formation process. This platform is especially well-suited for entrepreneurs who prioritize expert support tailored to their needs and seek budget-friendly pricing.
Northwest distinguishes itself with a clear and cost-effective business formation package. For just $29 (plus state fees), you’ll enjoy the following benefits:
- One year of complimentary registered agent services
- Privacy by default — ensuring your data remains off public records
- Customizable operating agreement
- Free VoIP phone service for 60 days
- Free annual report reminders
- Accessible online dashboard for convenient retrieval of important documents
Northwest achieves an unparalleled balance between affordability and high-quality service, leveraging their experienced corporate guides and a commitment to customer privacy. While they may lack some additional features like EIN registration and advanced legal services, their cost-effectiveness and the comprehensiveness of their core offerings position them as a formidable contender in the realm of LLC formation services.
Services:
- Service for the Formation of LLCs
- Provision of Registered Agent Services
- Privacy for Address (ensuring your address remains off public records)
- Lifetime Customer Support
- Reminders for Annual Reports
- Online Document Dashboard
7. Swyft Filings: Best Value for Basic Plan
Established in 2015, Swyft Filings operates as an incorporation service company with its headquarters located in Houston, Texas. Since its inception, the company has successfully served over 250,000 businesses, striving to simplify business compliance by assisting owners in the formation of companies and organizing all necessary paperwork. While lacking accreditation from the Better Business Bureau (BBB), Swyft Filings has garnered a noteworthy reputation, earning a commendable 4.42-star rating based on 347 customer reviews on the BBB and an impressive 4.8-star rating from 5,866 Trustpilot reviews.
Swyft Filings is well-regarded for its incorporation service, boasting a standout mid-tier plan in the competitive landscape. Despite the absence of BBB accreditation, the company has earned a stellar 4.8-star rating from over 6,400 Trustpilot reviews and a commendable 4.21-star rating from over 330 customer reviews on the BBB.
Services:
- Federal Tax Identification Number
- Minutes of Organization
- LLC Filing with Same-Day Processing
- Legal and Business Documentation
- Business Domain and Website
- Compliance Assistance Tools (including annual report filing support)
8. BetterLegal: Best for A’ la Carte Options
BetterLegal is an online service designed for forming limited liability companies (LLCs) or corporations, providing a simple and efficient process. Guiding you through every step, BetterLegal takes the hassle out of providing a transparent, all-inclusive pricing structure without upselling or distracting ads.
Upon receipt of your order, BetterLegal will promptly submit your business formation documents to the state, ensuring same-day processing for all business formation entities. Once the state approves these documents, BetterLegal will proceed to obtain your Employer Identification Number (EIN), draft your operating agreement, and submit all required documents, including additional information, via email.
What makes us appreciate BetterLegal over its competitors is its unique approach of offering a single fixed pricing plan. This approach aims to simplify the process, providing every customer with comprehensive services at the click of a button, without unnecessary upsells or confusing options. This makes BetterLegal an ideal choice for those looking for an affordable solution without having to independently navigate state filings or encounter complicated options and add-ons.
Services:
- State Incorporation Filing: Official establishment of your LLC as a separate legal entity in your state.
- EIN: Provision of an Employer Identification Number (EIN) from the IRS for business banking and employee purposes.
- Operating or Regulatory Agreements: Furnishing essential documents outlining organizational rules for your business.
- Bank Resolution: Official authorization document for LLC or corporation to open a bank account, specifying account access.
- Website: Complimentary website services by Square for creating a free website or online store with growth options.
- Tax Analysis: Complimentary Tax Analysis service by Taxfyle, a partner of BetterLegal.
- Insurance Review: Business insurance powered by Chubb is offered through a partnership with Sure.
- Fast Processing: Quick submission and processing of business establishment documents within two working days.
- Search for Name Availability: Access to a name search link on BetterLegal’s website for checking availability in the intended state.
- State Compliance Services: Additional service for processing state compliance reports at $90 per year or $10 per month.
- Registered Agent Services: Optional service for BetterLegal to act as your registered agent at $90 per year or $10 per month.
- Business Forms, Including S Corporation (S-corp) Election Forms: Inclusion of various business forms such as office designation changes, meeting minutes, and S-corp election instructions.
- Business Inspections: Inspection service provided by Mercury, BetterLegal’s partner, with no minimum balance or deposit requirements.
- Payroll and HR Benefits Platform: Service by Square, a BetterLegal partner, covering payroll, HR, invoicing, website/e-commerce, email marketing, and proactive credit lines.
9. Filenow: Best for Fast Processing
Established in 2018 with its headquarters in New York, Filenow is a provider of business development services, specializing in LLC filings. Behind the scenes, a collaborative team of tax experts, lawyers, entrepreneurs, and business professionals work together to expedite the process of helping customers establish their ventures promptly.
While the company has maintained an A rating with the Better Business Bureau since March 2019, it is notable that it only has three reviews on the site. Sparse customer feedback is also evident across reputable review platforms such as Trustpilot and G2, where competitors boast thousands of reviews.
Filenow distinguishes itself through a competitive premium LLC filing plan that surpasses the offerings of many competitors’ higher-tier plans. Noteworthy features include responsive customer service and an impressive 24-hour order processing time.
However, it’s important to note that the company’s basic plan comes at a cost of $49 per year, whereas other companies provide the same services covered in this plan for free. Additionally, the base plan’s features are somewhat limited, and the online educational resources for customers are not as comprehensive as those offered by some competitors.
Services:
- Registered agent service.
- Employer identification number/Tax ID.
- Operating Agreement.
- Banking resolution.
- Business contract templates.
- Same-day expedited filing.
10. Inc Authority: Best for Free LLC Formation
Headquartered in Reno, Nevada, Inc Authority brings over 30 years of business expertise to the table. Going beyond just LLC filing services, the company offers an extensive range of startup business services tailored to guide first-time entrepreneurs through the process of launching, managing, and expanding their businesses.
In our selection of the top 10 LLC services, Inc Authority stands out as one of the four that provide free LLC paperwork filing. Notably, smaller services such as Filenow and MyCorporation do not offer this feature, while Incfile, LegalZoom, and ZenBusiness do.
Inc Authority typically does not offer prepackaged plans unless you engage with a sales representative. Caution is advised with these plans due to their elevated price tag. Instead, the usual process involves navigating through Inc Authority’s sales pathway, allowing you to selectively choose the services you wish to acquire.
Despite lacking Better Business Bureau accreditation, Inc Authority boasts an impressive 93% approval rating from over 20,000 Trustpilot reviews. Customers consistently commend the company for its exceptional customer service and straightforward, hassle-free filing and preparation process.
Services:
- Verification of Business Name Availability in Your State
- Consultation with a Tax Planning Expert to Maximize Savings
- One Year of Registered Agent Services
- Acquisition of a Tax Identification Number (TIN)
- Access to a Private Banking Specialist
- Tailored Business Advice
- Accelerated Company Formation Filing
6. How To Choose the Best LLC Service
While forming an LLC is a straightforward process in many states and can be done without utilizing a service, there are often additional advantages to opting for an LLC service. Here are some key benefits to consider when refining your choices:
- Registered Agent Services:
These services, often available separately from an LLC filing service, can safeguard personal information by preventing its online exposure or public availability. Outsourcing paperwork filing not only saves time but also spares you the research effort required to navigate the process. - Operating Agreements:
Some filing packages include operating agreements, relieving you of the time and effort needed to create your own version or customize a template. - Multistate Availability:
This feature may be essential, particularly if you reside near a state border or anticipate living in one state while operating your LLC in another. - Tax Planning Consultations and Analysis:
These services can guide you in determining the most effective strategies to minimize taxes.
Essential Features and Services
These features and services often justify the use of an LLC service.
- Articles of Organization:
Required in most states for LLC formation, these documents are frequently included in filing packages offered by many LLC services. It’s essential to ensure they are not subject to additional fees. - Operating Agreements:
Provided as part of a filing package by some services, operating agreements save you the time and effort of creating your own or customizing a template. - Multistate Availability:
Especially valuable if you reside near a state border or plan to live in one state while operating your LLC in another. - Registered Agent Services:
Often available separately, registered agent services protect personal information from online exposure. Additionally, having someone else handle paperwork filing saves time in both the filing process and the necessary research.
Add-on Services
Some LLC services go beyond the basics and provide additional services, such as registered agent services and business licensing. Other supplementary offerings may encompass finance, marketing and branding, web design, and compliance reporting.
Choose a service that offers add-ons aligned with your priorities. For instance, if you’re a startup aiming to enhance visibility and attract new customers, marketing and branding services may be crucial. If managing finances in-house is a challenge and you prefer to alleviate that responsibility, finance and accounting services could prove valuable.
Evaluate which aspects of your business could benefit from external assistance. Then, seek out LLC services that offer add-on services catering to your specific needs.
Package Options
Certain LLC services provide flexibility for selecting the package or plan that aligns best with your specific budget and requirements. Some may even offer a free or remarkably inexpensive option. Conversely, other LLC services present a singular package that may or may not suit your distinct circumstances.
For instance, BetterLegal offers a single package but allows customization through a variety of a la carte options. On the other hand, FileNow provides the option to choose from several state-specific packages, including the Starter package and Premium package.
The Starter package encompasses fundamental features such as articles of organization filing and unlimited name searches. In contrast, the Premium package, although priced at more than triple the cost, includes valuable additions like an operating agreement, banking resolution, business contract templates, and expedited 24-hour order processing.
7. How Much Does an LLC Service Cost?
Service Provider | Annual Subscription Starting Price | Free Option | Registered Agent Services |
---|---|---|---|
ZenBusiness | $199 | Free, plus state fees | N/A |
LegalZoom | $249 | Free, plus state fees | N/A |
Incfile | State-specific package pricing | Free, plus state fees | N/A |
Rocket Lawyer | $239.99 | Free, plus state fees | Yes |
Active Filings | Packages starting at $100 | Free, plus state fee | N/A |
Swyft Filings | Packages starting at $199 | Free, plus state fees | N/A |
Northwest Registered Agent | One package for $225 | Free, plus state fees | N/A |
BetterLegal | One package for $299 | $299, plus state fees | N/A |
Filenow | State-specific package pricing | $49 plus state fee | N/A |
Inc Authority | Pricing not listed on the website | Free, plus state fees | N/A |
8. Frequently Asked Questions (FAQs)
1. What is an LLC?
An LLC, or limited liability company, offers protection to its members from personal liability, safeguarding personal assets even if you are the sole member. Additionally, the LLC structure provides tax flexibility, allowing members to choose between self-employed income reporting or S-corporation taxation for potential savings on Medicare and Social Security taxes. The choice depends on what best suits your business needs.
2. Why do I need an LLC formation company?
Considering the initiation of an LLC may lead to the question of why an LLC service is necessary. While managing the day-to-day operations and ensuring legal compliance in registering an LLC are essential tasks, opting for the best LLC services can save you valuable time and energy in getting your business established. Though it’s possible to handle this process independently, utilizing top-notch LLC services can streamline the journey of getting your business off the ground.
3. What does an LLC service help with?
While LLC services may vary in their offerings, all the services listed on Forbes Advisor provide key features, including a name availability search, online document access, the option for a registered agent add-on, and the creation of articles of organization. Additional legal services are also included in the offerings. It’s worth noting that some, if not most, of these services might be accessible only through add-on fees or the more expensive packages, depending on the service provider.
4. What other legal classifications are there for my business?
Various legal classifications are available for companies seeking protection from liabilities. For instance, opting for a corporation can be beneficial if you desire partial ownership by external shareholders, a preferred arrangement for many business owners. For further insights, explore our comparison of LLCs and corporations.
5. What is an LLC operating agreement?
The LLC operating agreement is a crucial document outlining the functional and financial management of your business. It encompasses a set of rules, regulations, and provisions.
6. How long does it take to get an LLC?
The timeframe for LLC creation varies by state. Generally, the process takes between one week to 10 business days, with potential delays during the beginning and end of the year.
7. How much do LLC filing companies cost?
Numerous flexible options are at your disposal, and prices will differ based on the services required and your willingness to undertake tasks yourself. Every state mandates a filing fee at the minimum. With paid LLC services like ZenBusiness, there’s an “only pay for what you need” choice, allowing you to seek assistance when necessary. Some services provide extensive add-on options, enabling professionals to handle the work for you. It’s crucial never to assume that a package includes all the services you require.
8. Do I need an LLC service?
Every task that an LLC service performs can be undertaken by a business owner without incurring service fees (though fees must still be paid to the state or other entities for filing, and additional costs may arise). While opting for an LLC service may provide value for business owners who prefer not to handle the filing themselves and desire access to other legal services, a local business lawyer is also an option. Although this may involve higher costs compared to an online service, a lawyer can offer a personal relationship and assistance with various legal questions and issues.
9. Do I need an EIN for my LLC?
The necessity of obtaining an EIN for your LLC depends on the nature of your business and whether you have employees. In numerous instances, acquiring an EIN is advisable, particularly if you have plans for future business expansion.
10. Do I need a registered agent to start an LLC?
When registering your business as an LLC, a registered agent is a necessity. This individual or service is designated to receive all official and legal documents pertaining to your organization. You have the option to appoint yourself, as an employee, or choose a registered agent service.
11. Is an LLC the same thing as a corporation?
An LLC and a corporation provide certain benefits unique to each other, but they are distinct business entities and not interchangeable. Explore the differences between LLCs and corporations to identify the most suitable structure for your business.
12. Is it possible to set up an LLC for free?
The registration cost for an LLC varies across states, and registration in each state incurs a fee. While some companies promote “free” LLC formation, this typically means they will assist in completing the paperwork at no charge. However, you are still obligated to cover the state’s filing fee.
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