How to Start an LLC in Your State (Step-by-Step Guide)

Thinking about starting your own business? One of the first — and smartest — steps is forming an LLC. It protects your personal assets and gives your business credibility. Here's the path, step by step.

1. Choose your LLC name

Pick a distinctive name that meets your state's requirements, and confirm it's available through the state's business registry.

2. Appoint a registered agent

This is the person or business that receives legal documents on behalf of your LLC. In many states you can be your own agent.

3. File your articles of organization

Submit your formation documents with the Secretary of State. Filing fees vary by state.

4. Create an operating agreement

This spells out how the business will run — especially useful if you have partners.

5. Get your EIN

You'll need an Employer Identification Number from the IRS for taxes, hiring, and opening a business bank account.

6. Set up a business bank account

Keeping personal and business finances separate simplifies your bookkeeping and helps you build business credit.

One last tip

Forming an LLC is manageable on your own — but a little professional guidance helps you avoid the oversights that cost time and money later.