Starting your own enterprise can be an incredibly fulfilling feat, from a professional perspective. It is not easy to set out on your own and succeed in the business world, so it is understandable that you would feel a healthy level of pride in your business. If your business has managed to grow and be successful, you may also find yourself facing a series of new challenges. Perhaps you are looking to expand, or open a new location? Maybe your tax and liability needs have evolved and you are looking at forming a Limited Liability Company (LLC)? The latter is a very common situation for entrepreneurs to find themselves in, so it is really no wonder that you may be asking, how do I make my company an LLC?
LLCs are a frequent choice among business owners looking to give their organization a legal structure. Their general ease of creation and maintenance, coupled with a few major perks, make them essentially a no-brainer for many. At Corporation Center, we can walk you through how to create an LLC, as well as how to process your documents online.
Why You Should Consider a Limited Liability Company
There are a wide array of different ways in which you can structure a business. For some organizations, an S- or C-corporation can make the most sense (especially if raising capital is a point of emphasis). Others may find a general partnership or Limited Liability Partnership more suited to their needs. For many entrepreneurs, however, the Limited Liability Company is the most logical fit.
In an LLC, you and the other members are granted the concept of “limited liability”. This means that should your business face an expensive lawsuit or bankruptcy, you will not have to worry about losing your personal assets–they will be shielded, as your business is its own legal entity.
There are also tax considerations that can work in your favor with an LLC. The Internal Revenue Service (IRS) views this structure as a pass-through entity. In this scenario, profits generated by your business are not taxed until they pass through to the individual members of the LLC, who then pay taxes on their salaries.
LLCs also offer flexibility in how they can be managed. You also will not have to adhere to many reporting requirements. LLCs are available in all 50 states–you may want to check with your state on their individual rules for forming and operating an LLC.
How Do I Make My Company an LLC? Use Our Web Forms
To form your LLC, you will need to complete your Articles of Organization and submit them to your state’s Secretary of State office. This document should include the name and location of your business, information concerning the members of your LLC, and the contact information for your registered agent (the person charged with handling all legal, tax, and government correspondence).
By working with us, you can complete your Articles of Organization online in just moments. Simply find the form you need from our side navigation and follow our easy-to-understand prompts. If you have any questions, please contact us by phone or email today.