The process was fairly simple when I did mine. I am by no means an expert, but below are my comments. If you ever need any help, feel free to send me a PM
Quote:Understanding the necessary steps to register an LLC
The steps are often the same or very similar per state, but the best advice I can give is to check the states website to see their specific steps. The main things you will need is to designate a "registered agent" who is listed on the states site and can receive legal documents (this can be yourself, but there are also services that you can purchase that will serve as your registered agent)
Quote:Required documents and legal requirements
This goes mostly with the above statement, each state may have their own requirements. I believe when I did mine, I just needed my SSN and maybe my ID or some proof of my address. When you are registering you should get asked if you would like to submit an application to get an EIN. I highly suggest doing this so you do not need to use your SSN and it was free I believe.
Quote:Choosing the best state for registration
This is one step I never took time to look into. The best way to do it is to form the LLC in the main state the LLC operates in. I just went with my home state because it simplified things for me only having to deal with one states policies when it comes to personal/business taxes
Quote:Tax implications and compliance
The one thing I was not expecting at first was there are yearly forms that need to be submitted to the state, along with a "LLC Fee". That fee I think varies state to state, but I would say to make sure to note that. The biggest thing with an LLC is that you should immediately after forming the LLC create a business bank account. One of the benefits of the LLC is to shield your personal assets from lawsuits/etc. but if you are using your personal bank for business transactions, you "pierce the corporate vail" I think is the term which then will open your personal finances up to litigations.
My LLC has not made any large profits, so there has not been any major tax impacts for me. The biggest thing I would suggest is to invest in some kind of bookkeeping software or agency. It will make tax time a breeze and ensure you get any expenses/income recorded.
Quote:Opening a business bank account
Do this as soon as you can, before conducting any business. I personally went with a bank I do not have any personal relations with. I would highly recommend avoiding Bank of America unless they lowered/removed the 500 fees they charge. Look for accounts that have low monthly fees, and possibly also offer loans, credit, etc. Some banks will charge for additional card holders, so watch for that as well.
Quote:Any additional advice for a smooth setup
My best friend was Google. Some other things to keep in mind is that there are fees to dissolve the LLC if needed, and basically any other forms. I also submitted a DBA form with the state so that I can operate as both Acme, LLC. and Acme. Some states automatically acknowledge the business name without the LLC, some states require a DBA form to be submitted.
