How Fast Can LLCs Be Set Up?
There are many reasons someone would want to launch their LLC as soon as possible, everything from being able to open a business bank account to hiring employees. And, of course, the sooner your LLC is formed, the less time you’ll be vulnerable to liability and focus on building your company.
State by State Filing Times
Depending on the state you file your LLC in, the filing time can vary by a few business days to several weeks. Luckily most states have the option to file your Articles of Organization (common name for the paperwork for forming an LLC) online through their respective Secretary of State website. This will usually be the fastest method to file, however certain states might require you to fax, go in person, or even mail the paperwork!
Thankfully, a majority of the states have an option to pay to expedite the filing speed. Unlike other competitors, we don’t charge or delay your filing to up sell on rush fees. We file your paperwork as soon as we can and for certain states we can have your LLC formed within 1 business day!
For a complete list of times by state visit our state by state listing
What You’ll Need
Aside from the State filing time differences, you want to make sure you have provided all the necessary information required by each state to avoid unnecessary approval delays.
Again, states vary in what information they require from you in the LLC formation process, but here are some of the most common things they’ll want to know:
- The final company name and principal address of your business. The name will have to be unique from any other existing LLC in the state that you file in. Check here to see if your company name is available in your state.
- The name and address of your registered agent. You need to have determined who will serve as the official contact between the government and your LLC. The registered agent must live in the state you wish to file your LLC in.
- The names and addresses of the LLC members/organizers.
- Whether the LLC will be member-managed or manager-managed. Many states will ask you if the LLC will be managed primarily by the members of the LLC (member-managed) or by one or more appointed managers (manager-managed). An LLC with a small number of members who wish to be more involved with the daily operations of the business will often choose member-managed, while an LLC with many members who don’t want to be as involved in the day-to-day decisions often choose someone else to manage the LLC under the manager-managed option.
- The purpose of your company and/or the professional services it will provide (if any).
- How the LLC will be treated for federal taxes. An LLC has options as to how it will be taxed; some opt to be taxed as a sole proprietor, partnership, or a corporation. Some states will want to know how you intend to be taxed at the time of formation.
Other Things To Look Out For
Here are a couple other things to remember when you’re getting ready to form your company:
- Typically the beginning and end of the year is busy season when it comes to company filings, and there are often delays.
- Make sure you fill out the entire form and provide any and all attachments and documentation the state requests. Using a business formation service like Embark can help you dot all the i’s and cross all the t’s so you avoid unnecessary delays.
Even after you see that checkered flag and have your LLC officially filed with the state, there’s more to do to keep you from being disqualified. You’ll need to think about an operating agreement, EIN, tax registrations, permits, and licenses.
Let us worry about the bureaucracy and paperwork so you can focus on and continue grow your business!
For a more detailed discussion about how to set up a LLC feel free to schedule a free no-obligation call with one of our Lawyers or CPAs here