Creating a limited liability corporation (LLC) is one of the first steps you must do if you want to launch a business in Michigan. An LLC is a type of business organization that provides its owners with some restricted liability protection as well as certain managerial and tax flexibility. A step-by-step tutorial for forming an LLC in Michigan is provided below:
Choose a name for your LLC as the first step. To create an LLC in Michigan, you must first decide on a name for your company. The name must be original and unclaimed by another company operating in the state. The website of the Michigan Department of Licensing and Regulatory Affairs (LARA) allows you to look up names that are currently available.
Choosing a registered agent is step two. Additionally, you must designate a registered agent for your LLC. This is the person or organization who will receive legal paperwork on your company’s behalf. The registered agent must reside in Michigan and have a physical address.
Step 3: Submit Articles of Incorporation The Articles of Organization must then be submitted to the Michigan Department of Licensing and Regulatory Affairs. Your LLC is formally created in this document, which also contains information about your company’s name, the location of your registered agent, and the names and addresses of the LLC’s owners.
Step 4: Draft an Operating Agreement
An Operating Agreement is strongly advised even though it is not necessary in Michigan. This agreement spells out how your company will operate, including how earnings will be allocated, decisions will be made, and disagreements will be settled.
Step 5: Acquire all required licenses and permits You might need to apply for licenses and permissions from the state of Michigan or your local government, depending on the nature of your business. The website of the Michigan government has more details.
Before moving forward, you might want to confirm that the Michigan company you wish to do business with is still in operation. Here is how to do so:
Visit the Michigan LARA website as a first step. The organization in charge of state business registration is the Michigan Department of Licensing and Regulatory Affairs (LARA). To look for a company, go to their website.
Step 2: Look for the company You can type the name of the company you’re interested in into the website’s search box. You ought to be able to locate the company’s registration details if it’s still operating.
Step 3: Confirm the status of the business Once you’ve located the company, you may confirm its status by looking up its registration details. This should contain the company’s name, registered agent’s name, and registration date. You can move forward with confidence if the information is current and the company is identified as active.
A name must be selected, a registered agent must be named, articles of organization must be filed, an operating agreement must be made, and all required licenses and permits must be obtained before an LLC may be formed in Michigan. You may position your company for success in the Great Lakes State by taking the actions listed below. Additionally, you may quickly check a Michigan company’s status on the Michigan LARA website if you’re looking to partner with one.