Select a Name for Your LLC in Step 1 Your LLC’s name needs to be distinctive and not too close to any other company names that have been registered in Indiana. You can use the online database of the Indiana Secretary of State to see if your desired name is available. By submitting an Application for Reservation of Name to the Secretary of State’s office after discovering a name that is available, you can reserve it for 120 days.
Step 2: Submit Articles of Incorporation The Secretary of State must receive your Articles of Organization before your Indiana LLC may be legally registered. Your business’s name, address, and the names and addresses of its owners are all required on the form. The filing cost is $95 and can be submitted online or by mail.
Step 3: Create an Operating Agreement
Indiana law does not mandate that you create an operating agreement for your LLC, but you should still do so. This document provides a summary of your company’s ownership structure, management, and other key information. By demonstrating that your LLC is a distinct legal entity from you, it can also aid in limiting your personal culpability.
Step 4: Obtain Necessary Licenses and Permits
Depending on your business, you might need to get specific licenses or permits to operate legally in Indiana. For information on the permits and licenses needed for your particular industry, check the Indiana Business One Stop portal. * * Is it Possible for One Person to Own an LLC? Yes, a single-member LLC—also known as an LLC—can be owned by just one person. A single-member LLC in Indiana is by default taxed as a sole proprietorship, but you can choose to have it treated as a corporation or partnership. How Much Should a Sole Proprietor Set Aside for Taxes?
You’ll be liable for paying self-employment taxes as a sole owner in Indiana, which cover Social Security and Medicare. Although you can claim a percentage of your self-employment taxes on your federal income tax return, the current self-employment tax rate is 15.3%. As a sole proprietor, it is advised to set aside at least 30% of your income for taxes.
You must carry out the following actions in order to launch a small business in Indiana: 3. Obtain any necessary permits or licenses for your industry.
1. Select a business form, such as an LLC or sole proprietorship.
2. Register your business with the Indiana Secretary of State. Open a business bank account and secure the required financing.
4. File taxes with the Indiana Department of Revenue.
5.
The IRS issues an Employer Identification Number (EIN), a special nine-digit number, to identify your company for tax purposes. By submitting an online application through the IRS website, you can get an EIN for your Indiana company. It costs nothing and simply needs a few minutes to finish.