How to Form a Limited Liability Company
So, you’ve decided to open a new Arizona business. Congratulations! Before you sell your first widget or help your first customer, though, you need to jump through some hoops. For example, you’ll need to decide which type of business entity you’ll operate. Will it be a sole proprietorship or a corporation? A partnership or a limited liability company? The last option – the limited liability company – has become a popular option for many good reasons. If you decide this is the best business type for your situation, you’ll need to know how to form a limited liability company.
You’ve made the huge decision. Now, let’s begin.
- Choose Your LLC’s Name. Check the Arizona Corporation Commission’s database to make sure the name you want is available.
- Save Your LLC’s Name.
- Reserve the name on the ACC’s website. This is only a hold for 120 days.
- Register the name as a trade name on the Secretary of State’s website azsos.gov. Talk to an attorney about the pros and cons of registering a trade name before taking this step.
- File paperwork to form the LLC.
- Prepare and File Articles of Organization. This can be done online or by filing paper copies of the documents. To form an LLC, check out the forms and instructions on the ACC’s webpage for creating a new entity.
- Review the Commission’s Response. You’ll receive a notice from the ACC approving or rejecting your Articles of Organization. If rejected, you’ll receive instructions for resubmitting your paperwork.
- Pay the Arizona Corporation Commission Filing Fee. At the time this blog is being written, the document filing fee is $50. Looking for speedy service? You can pay an optional expedite fee of $35.
- Check the Arizona Department of Revenue website. You may need to complete a transaction privilege tax
- Register Taxes and Business Licenses. Register your business with the city where it’s located. If it’s not located within city limits, register with the county instead. Some business may need to obtain a business license. Research your business to see if this is necessary.
- Get a Federal EIN or TIN. Instructions and forms can be found on the IRS
- Open a Business Bank Account. The bank you choose should have options for opening your business account.
Ready to Open Your Arizona Limited Liability Company?
The steps to starting a business may seem simple, but there are consequences to every action.
Before filing your paperwork, talk to a qualified attorney. Give us a call at (480) 418-8448 or check out our website.
Serving the greater Chandler area, including Ahwatukee, Gilbert, Sun Lakes, and Tempe.