If you own a rental property, you can transfer it to a limited liability company (LLC). You may already have an LLC or need to start one, but either ...
Filing typically involves a fee that varies and depends on the state.
Written by: Carolyn Young
Carolyn Young has over 25 years of experience in business in various roles, including bank management, marketing management, and business education.
Reviewed by: Sarah Ruddle
For over 15 years, Sarah Ruddle has been a noteworthy leader in the business and nonprofit world.
Updated on December 12, 2022
If you’d like to make your new business a limited liability company (LLC), one of your first tasks is to file articles of organization with the state.
The articles of organization, known as a certification or organization or certificate of formation in some states, is a legal document filed with the state to form an LLC. It includes details about your company and establishes your LLC as a registered business entity in that state.
The articles of organization are akin to the articles of incorporation business files to form a corporation. An LLC is an entity type that provides business owners with liability protection and pass-through taxation, similar to a sole proprietorship.
A quick visit to your secretary of state’s website should direct you to your state’s articles of organization form. In most states, you can fill the form out online and submit it electronically.
Filing typically involves a fee that varies and depends on the state.
Articles of organization forms differ in every state, and the information you need to supply may vary. But they all generally require the following details.
Be sure to have all the above information on hand when filling out your articles of organization. Then, after you’ve submitted your LLC’s articles of organization and the state has approved your entity, you are officially a registered business in your state!
It’s worth noting that occasionally a state will deny an LLC’s submitted articles of organization. This is not uncommon, and some reasons include the following:
Once your LLC is formed, you’re not finished with the paperwork. Subsequent steps you’ll want to complete before conducting business include:
If you plan to conduct business in states other than where you initially registered your LLC, you’ll need to register as a foreign LLC. For example, if your LLC is registered in Alabama but does business in Georgia, you’ll need to register a foreign LLC in Georgia.
Note that each state has different definitions for doing business in their state. We strongly recommend checking with the secretary of state to see if you qualify.
But generally, you are seen as doing business in a state if you:
Remember that if you have an online business registered in one state but make a lot of sales in another state, you likely won’t be required to register as a foreign LLC.
Starting your own business is exhilarating, but all the red tape and paperwork can be overwhelming. Fortunately, the first task for creating an LLC is simple enough: filing the articles of organization with your state.
But if you’re unsure whether an LLC is right for you, you might want to consult with an attorney and tax advisor. It’s crucial to make the best decision for you and your business.
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