A single-member LLC, commonly referred to as a sole proprietorship, is a common corporate form used by business owners who want to reduce their personal responsibility while still maintaining total control over their company. In this post, we’ll go over the procedures for creating a single-member LLC and respond to some frequently asked questions about the process.
Selecting a Name and Registered Agent is the first step. To create a single-member LLC, you must first decide on a name for your company. The name must be original and unclaimed by another company operating in your state. After deciding on a name, you must choose a registered agent. This is the person or organization assigned the responsibility of receiving legal correspondence on your LLC’s behalf.
Step 2: Submit Articles of Incorporation Articles of Organization must then be submitted to the Secretary of State of your state. This legal document creates the legal existence of your LLC. Include details such the LLC’s name, registered agent information, the reason for the LLC, and the names of the members.
Obtain an EIN in Step 3 The IRS issues your LLC with a special nine-digit number known as an EIN, or employer identification number. Your company can create bank accounts and submit tax returns using this number, which is utilized for tax purposes. Through the IRS website, you can get an EIN without paying anything.
Step 4: Create an Operating Agreement
Although not needed by all states, creating an Operating Agreement for your single-member LLC is highly advised. This is a legal document that describes who owns, who manages, and how your LLC operates. Is ZenBusiness a Good Company? ZenBusiness is a well-known online tool that supports business owners in creating LLCs and other legal entities. They provide a variety of services, such as help with filing, registered agent services, and name availability searches. The majority of client testimonials for ZenBusiness are favorable, and many of them highlight their competitive pricing and friendly support.
Is Georgia a Reliable State to Create an LLC? Due to its welcoming business environment, Georgia is a favorite state for business owners to create LLCs. The state provides diverse resources for small enterprises, cheap taxes, and a robust economy. Additionally, Georgia offers a quick and easy online LLC formation process. In Georgia, how much does an EIN cost? Like in every other state, getting an EIN in Georgia is free. On the IRS website, you can submit an online application for an EIN. What exactly is an article amendment? To make modifications to your LLC’s Articles of Organization, you must file an Article Amendment with the state. Changes to the LLC’s name, registered agent, or ownership composition may be included in this. Your Articles of Organization must be kept current in order for your LLC to continue to operate in accordance with state regulations.
The processing period in Georgia for forming an LLC is normally 5-7 business days. However, there is an extra charge for expedited processing. The precise processing time may change based on the workload of the Georgia Secretary of State’s Office, it is crucial to note.
Yes, your single-member LLC needs a registered agent. A person or business selected as the LLC’s registered agent will receive all legal and official correspondence on its behalf. Many states have laws requiring this, which makes sure there is a trustworthy person to contact for legal issues. The owner of the LLC or a different service provider can serve as the registered agent.