There are tons of websites out there that will help you setup your own LLC..for a fee. This post is to show all of you how you can do it yourself and for CHEAP.

First, you need a registered agent. There is a company out there that offers the first year free. Sign up here:

http://www.freeregisteredagent.com/

Then go to the secretary of state website for the state you want to register in. You can find all the links here:
http://www.coordinatedlegal.com/SecretaryOfState.html

See if your state allows registering for your LLC online. If so, DO THIS. You will also need to do a search to see if the business name you want is available. This will be on the same site. You will need to pay the fee for registering, it ranges from $90-$120 depending on the state.

Next, if you want a EIN (Federal Tax ID) for your business go here, it is FREE:
https://sa2.www4.irs.gov/modiein/individual/index.jsp

You might need this for various things you come across, getting a bank account in your business name, etc.

After you're done you just filed for your LLC and Tax ID for only around $100. And if you did it online usually you get a response in less than a week.

I took a look at the prices of a site offering this service..here's what it would've cost if you used them.

Basic LLC Package $99.00
Prepare Federal Tax ID Application $30.00
Prepare & Obtain Tax ID from IRS $79.00
Registered Agent Fee $159.00/year
State Filing Fee ~$100
Shipping ??
Total ~$467

You just saved ~$367 doing it yourself, and you get your LLC in a week. These other services take around 30 days and charge you extra for expedited shipping!

Very good info and easy to follow. As retired atty I can help as needed. PM me and I will evaluate.

@ xphase: do you know if its possible for someone from the netherlands to register an LLC in the US. The dutch tax system is a bit crazy, if you earn more than a certain amount you even have to pay +50% income tax.

Interesting, usually I just go and pay the crazy ass fees. Suscribed for when I open another company.

Could I then use the LLC information to create a paypal account not linked to my social?

Yea those help you start your companies straight rape you. It's actually easier to do it the cheap way anyways hah.

If I live in the state i'm registering,do i still need a agent?

Originally Posted by VelvetVampire

@ xphase: do you know if its possible for someone from the netherlands to register an LLC in the US. The dutch tax system is a bit crazy, if you earn more than a certain amount you even have to pay +50% income tax.

Sorry I don't know anything about international law..

Originally Posted by Roparadise

If I live in the state i'm registering,do i still need a agent?

Yes, you do. It's required to have one. A registered agent is someone and an address all legal documents can be sent to. The rules vary by state, but usually it has to be a different address than the one on file for the LLC. Also, it can't be in your name, has to be someone different. If you know someone you can use instead of paying for a registered agent service that would be the best scenario. Most people opt for the service but it does cost $$.

The service I mentioned above gives you the first year free and it's only $99/year after that. Cheapest I've found anywhere.

This is a lot of help for me since I will be registering one soon.

Good guide, definitely. Does anyone maybe have any information about the setup for foreigners or non-US residents? Do the same rules apply?

Originally Posted by dkanalie

Good guide, definitely. Does anyone maybe have any information about the setup for foreigners or non-US residents? Do the same rules apply?

It depends on the state,some states require that you actually be located there where others don't. Nevada is one,and I think Delaware is another one.

Great info here thanks for the share.

exactly what i was looking for one thing i never heard about is the registered agent part

That cost you ~100 bucks and a lot of hassle. I just paid $147 at amerilawyer.com and it took me 15 minutes tops.

I guess if you want to save a few bucks but run into huge annoyances it is worth it.

Originally Posted by junkie2

That cost you ~100 bucks and a lot of hassle. I just paid $147 at amerilawyer.com and it took me 15 minutes tops.

I guess if you want to save a few bucks but run into huge annoyances it is worth it.

anyone tried them before^ looks like it may be the way to go

i recently went with the $99 package at legalzoom - the state that i live has a fee for filing that you cant avoid which is approximately $247 regardless who you use or if you do it yourself, but for $99 it took me about 20 minutes and i got it back in a week even though they said it would be 28 days...

was no hassle at all - only thing i had to do after paying and submitting my online application was sign a form and send it back to them... i opted to scan it and email it... but was no hassle at all - Texas state automatically created my EIN number.

I did all this manually one time before - never again! lol would much rather spend that time making $$$$

Originally Posted by ukescuba

i"the state that i live has a fee for filing that you cant avoid which is approximately $247 regardless"

Are you saying that you opted to make the LLC in the state that you live in rather than delaware/nevada depending on your exact needs?

Originally Posted by xphase

Sorry I don't know anything about international law..



Yes, you do. It's required to have one. A registered agent is someone and an address all legal documents can be sent to. The rules vary by state, but usually it has to be a different address than the one on file for the LLC. Also, it can't be in your name, has to be someone different. If you know someone you can use instead of paying for a registered agent service that would be the best scenario. Most people opt for the service but it does cost $$.

The service I mentioned above gives you the first year free and it's only $99/year after that. Cheapest I've found anywhere.

In most states you don't need to hire a registered agent and can act as one yourself if you are in the state

Code:

http://en.wikipedia.org/wiki/Registered_agent#Who_can_perform_the_function_of_a_registered_agent

Usually a registered agent is a lawyer or CPA who sets up the LLC or corp for you. You really don't need to have a registered agent if you are filing all the forms yourself. I set up my LLC and I'm my own registered agent and it has been 6 years now with no problems whatsoever for me.

This is inaccurate. You don't have to have a registered agent that is different from yourself, you can do it yourself. I have opened a LLC twice, in two different states. One cost like $115 and the other one just under $100 for the LLC. I just went online to the state website and filled out the forms, took about 10 minutes, then paid with my credit card. Then you go to the IRS website and get your EIN in your LLC name, that takes about 5 minutes.

All you have to do now is wait for your fancy certificate to arrive in the mail.

This is really simple no need to pay $100 to some middleman for 15 minutes of filling out info that you will most likely have to fill out and give to that middleman anyways.

Well damn...I was excited by your filing price range, then found out it was $300 for Texas. =P Oh well, for the same price, I may just file an S corp.

Guys, I know Nevada and Delaware were mentioned for creating and LLC in instead of your own state, but DO YOUR HOMEWORK! Sometimes these are useful, but I live in New Jersey for example, so the tax brackets already suck. It's 15.3% self employment tax + whatever tax bracket I fall in, and that's just federal. If you make an LLC outside of NJ, but live in NJ, they charge you even more taxes on top of that. It's cheaper for me to make an LLC or Corp here than anywhere else.

As for the international question, Nevada allows international registration the last I read something. Look into it.

Great thread!

I have a question though....I already registered my LLC through my state online as well as obtained my EIN (online as well). But does every state send you some sort of physical 'certificate' via snail mail that verifies your LLC's existence? Mine never did this, and all I have are just the printouts of my online registration confirmation. I know my LLC registered successfully, as I did a search and saw it was in the state database, but was just curious about this.

Originally Posted by flipstyle

Great thread!

I have a question though....I already registered my LLC through my state online as well as obtained my EIN (online as well). But does every state send you some sort of physical 'certificate' via snail mail that verifies your LLC's existence? Mine never did this, and all I have are just the printouts of my online registration confirmation. I know my LLC registered successfully, as I did a search and saw it was in the state database, but was just curious about this.

If you're good to go then you're good to go. My guess is there was probably an option to get it mailed out and pay a couple extra bucks in your state but you missed that. No need though, you have the proof and it exists.

Guess I'll just wait for your follow-up topic entitled, "Cheapest way to start your offshore LLC".

What advantages (if there are any) are there to having a US-based LLC as opposed to an offshore one? Paying corporate taxes to a corrupt government that invades other countries for oil/profit doesn't sound particularly fun.

Originally Posted by fuzzy_corleone

Guess I'll just wait for your follow-up topic entitled, "Cheapest way to start your offshore LLC".

What advantages (if there are any) are there to having a US-based LLC as opposed to an offshore one? Paying corporate taxes to a corrupt government that invades other countries for oil/profit doesn't sound particularly fun.

New tax laws, the forgiveness period is about up and if you get caught doing that you're in for stiff penalties now. If you're a US citizen and you're setting up an offshore entity for the purpose of a tax shelter you're breaking the law. I know it doesn't sound like a biggy but it will when they come at you. Trust me, having your bank accounts frozen makes life fucking rough even if its only for a month or two while you get an attorney to work something out.

Originally Posted by fuzzy_corleone

Guess I'll just wait for your follow-up topic entitled, "Cheapest way to start your offshore LLC".

What advantages (if there are any) are there to having a US-based LLC as opposed to an offshore one? Paying corporate taxes to a corrupt government that invades other countries for oil/profit doesn't sound particularly fun.

I'm a big fan of Simon Black's ezine Sovereign Man. You can check out the style on his site. The answer to your question is there and if you are thinking along these lines at least read the free info (he makes $ by teaching people how to plant multiple flags/become permanent travellers). If you are gonna do it at least get quality advice from someone who does this for a living and it has become more important than ever if you are a US citizen - heed Wowhaxor's advice yah.

Originally Posted by ukescuba

i recently went with the $99 package at legalzoom - the state that i live has a fee for filing that you cant avoid which is approximately $247 regardless who you use or if you do it yourself, but for $99 it took me about 20 minutes and i got it back in a week even though they said it would be 28 days...

was no hassle at all - only thing i had to do after paying and submitting my online application was sign a form and send it back to them... i opted to scan it and email it... but was no hassle at all - Texas state automatically created my EIN number.

I did all this manually one time before - never again! lol would much rather spend that time making $$$$

Yes, Legalzoom rules! I use it too. It is way easy and cheap. Love it.

Originally Posted by junkie2

That cost you ~100 bucks and a lot of hassle. I just paid $147 at amerilawyer.com and it took me 15 minutes tops.

I guess if you want to save a few bucks but run into huge annoyances it is worth it.

I also use Amerilawyer... fast, easy and cheap.

@OP - a very good share none the less; I'm just a guy that "outsources" and I see using Amerilawyer as outsourcing.

+11 rep for the share.

Originally Posted by Roparadise

It depends on the state,some states require that you actually be located there where others don't. Nevada is one,and I think Delaware is another one.

This is bad info. I'm a Nevada attorney and have set up LLCs and corporations for people all over the world who don't live in NV.

On the issue of who can be a registered agent, you can do it yourself if you live in the state where you are setting up the entity.

Also, you can look to uslegalforms as an alternative to legalzoom.

be very careful when starting your LLC with a web site like legal zoom because they are not fully legitimate. i suggest going with a REAL firm, like the nevada corporate headquarters. i also suggest doing your homework before taking action in a serious situation such as this one.

Originally Posted by teeniegenie

I'm a Nevada attorney

I'm glad you chimed in here... also I'm glad that you don't have an issue that I "outed" your profession in a different thread.

Folks, I know this guy well enough to say that you should trust his opinion here because it is not opinion, it is legal fact.

Originally Posted by pyrogod117

Guys, I know Nevada and Delaware were mentioned for creating and LLC in instead of your own state, but DO YOUR HOMEWORK! Sometimes these are useful, but I live in New Jersey for example, so the tax brackets already suck. It's 15.3% self employment tax + whatever tax bracket I fall in, and that's just federal. If you make an LLC outside of NJ, but live in NJ, they charge you even more taxes on top of that. It's cheaper for me to make an LLC or Corp here than anywhere else.

As for the international question, Nevada allows international registration the last I read something. Look into it.

Do you maybe know where we can find details about additional taxes imposed on foreign corporations? I was thinking of filing in South Dakota but we live in Texas, so I would like to research any additional taxes we may face for doing so.

I've tried Googling, but I'm not sure on the exact phrasing or if there is a technical term for it, so I haven't been able to find anything about it.

Originally Posted by teeniegenie

This is bad info. I'm a Nevada attorney and have set up LLCs and corporations for people all over the world who don't live in NV.

On the issue of who can be a registered agent, you can do it yourself if you live in the state where you are setting up the entity.

Also, you can look to uslegalforms as an alternative to legalzoom.

I should have wrote it better,I was referring to the last thing I said in the previous sentence.

Thanks for the kind words! No problem with "outing" me. Plus rep and thanks for the great post!

Originally Posted by BassTrackerBoats

I'm glad you chimed in here... also I'm glad that you don't have an issue that I "outed" your profession in a different thread.

Folks, I know this guy well enough to say that you should trust his opinion here because it is not opinion, it is legal fact.

Originally Posted by EmpireQuality

i suggest going with a REAL firm, like the nevada corporate headquarters

LOL!!! I wouldn't go within 100 miles of those guys...just my opinion.

So those that know, which registering agent to to which state you recommend registering for a foreigner ? I'm from Europe.

Originally Posted by marttali

So those that know, which registering agent to to which state you recommend registering for a foreigner ? I'm from Europe.

Why do you think you need a US LLC/Corporation if you live in Europe? Why not get an entity in the country you live in?

I rather pay a lot less taxes. I think it's achievable with us corp/llc.
And own country llc will really not help me getting us bank account

Originally Posted by marttali

I rather pay a lot less taxes. I think it's achievable with us corp/llc.
And own country llc will really not help me getting us bank account

Look at getting one in Bulgaria,tax rate is 10% there,which is alot less then taxes in us.

If you live in Florida you can register on their site (sunbiz.org). $70 for corporation, $125 for LLC and $50 for DBAs (but you have to make an announcement in a newspaper). I never needed a registered agent.

Cheers!

Just having a corporation registered in Nevada does not prevent you from paying yoour local state taxes. This is especially true if you have ofline customers. If you have a customer in say texas and you live in Texas but are registered in nevada, you have to register the company in Texas as a foreign corportion. This is why it is sometimes better to just register in your own state because filing fees are going to be the same as registering in your state in the first place.

If you register in another state, that does not automatically make you legal in every state.

Check the regulations for your state before assuming that Nevada is the way to go. Like for me, I would pay to register in Nevada and then pay to register in Montana (which is cheaper than Nevada). Now if you want Anonimity then registering in Nevada is the way to go.

Foreign residents can own corporations in any state. You will have to check with that state to see which format will work. For instance in Montana a foreign entity can not have a share in an S corp. Those little things will trip you up.

As far as a registered agent goes.... All they want is a live body within the state that they can deliver the summons to.

Originally Posted by ukescuba

Texas state automatically created my EIN number.

The State of Texas does not issue EINs, you need to apply with the IRS. I do a alot of tax planning with small businesses and cutting corner is not always the best idea.

Originally Posted by TNphoneman

Just having a corporation registered in Nevada does not prevent you from paying yoour local state taxes. This is especially true if you have ofline customers. If you have a customer in say texas and you live in Texas but are registered in nevada, you have to register the company in Texas as a foreign corportion. This is why it is sometimes better to just register in your own state because filing fees are going to be the same as registering in your state in the first place. TRUE

If you register in another state, that does not automatically make you legal in every state.

Tax Free Nevada is all people hear.
Texas has the highest fee for forming a LLC or any other type of enity but you still need to register in Texas to do business in Texas.

Guy knows his stuff...right on from my perspective.

Originally Posted by TNphoneman

Just having a corporation registered in Nevada does not prevent you from paying yoour local state taxes. This is especially true if you have ofline customers. If you have a customer in say texas and you live in Texas but are registered in nevada, you have to register the company in Texas as a foreign corportion. This is why it is sometimes better to just register in your own state because filing fees are going to be the same as registering in your state in the first place.

If you register in another state, that does not automatically make you legal in every state.

Check the regulations for your state before assuming that Nevada is the way to go. Like for me, I would pay to register in Nevada and then pay to register in Montana (which is cheaper than Nevada). Now if you want Anonimity then registering in Nevada is the way to go.

Foreign residents can own corporations in any state. You will have to check with that state to see which format will work. For instance in Montana a foreign entity can not have a share in an S corp. Those little things will trip you up.

As far as a registered agent goes.... All they want is a live body within the state that they can deliver the summons to.