How to set up an LLC in the USA

A LLC or Limited Liability company, has become the most popular legal structure for property investments.  The requirements can be slightly different from state to state but although you can use an attorney to do this, unless you have a complex structure you could do it yourself in a max of 4 hours.

Steps to set up the LLC

1 Get a  copy of your state's LLC Articles of Organization form the Secretary of State office
This link is for Secretary of State - Georgia 
http://sos.georgia.gov/corporations/filing_procedures.htm in this case is 50 dollars fee for an anual registration.
This would be for Misouri
http://www.sos.mo.gov/BusinessEntity/BusinessEntitiesOnline/help/mo/notice.aspx



2 Select a name for your LLC that complies with the States rules. It has to be unique in the state where you are filing.

3. Complete the LLC Articles of Organization form where you outline what is the purpose of your llc, name, the address of where legal documents will be sent, the name of the register agent in the case of having one and the members of the LLC. This is a fairly easy form to fill.
Note that you will always require a "Registered Agent" to act on your behalf in the state of creation for the LLC.

4. In some states you are required to publish a notice in a local newspaper advising the intention of creation the LLC. This is only compulsory in some states as Arizona and NY.

5. Submit your Articles of Organization form to the Secretary of State office together with the fee applicable.  Fees can variate a lot from state to state, from 40 to 900 dollars. Note also that there are in some states corporate tax that are separate from the filing fee.


Note that if you are more than one person under the LLC you might have to loo into the Operation Agreement although its not required by the State its will be useful in case someone wants to leave the llc, how and when it will the profits of the company be distributed, etc. Don't leave this unanswer as, even in the case of being together in the LLC with family and friends can become a big problem. Make sure you are clear on all terms.


NOTE -  Be careful with costs associated of using an online ‘registered agent’ for your LLC, after 3-6 months there will usually be an ongoing cost for this.