How to Start an LLC
Guided Expertise for Starting Your LLC
Congratulations on taking the big leap to start your business! Of course, the reason you’re here now is that you’re ready to make it official and learn how to start an LLC. We’re here to help you get through the legalese so you can focus on all the fresh ideas you’re ready to make happen. We’ve helped countless entrepreneurs like you navigate the paperwork and legal hoops to get the proper setup in place to begin operations.
The question of why and how to start an LLC in Modesto is one we get often. Setting up an LLC will shield your personal assets by separating the business from your personal finances. We’ll walk you through the below steps to set it up and explain how to manage your business taxes and financials going forward.
Don’t get stuck wondering how to start an LLC in Modesto.
Let’s get all the proper documentation in place so you can keep your momentum going. We help new business owners from startup to annual tax filings — and every accounting decision in between.
How to Start an LLC in Modesto: The Step-by-Step Process
1. Choose Your LLC Name
Your business name should be unique (one that no one else has claimed state-wide) and adhere to California state guidelines. We assist with checking availability and reserving your name through the California Secretary of State.
2. Appoint a Registered Agent
California requires LLCs to have a registered agent with a physical California address to handle important documents and legal notices. We can help you identify the best agent for this role.
3. File the Articles of Organization
We prepare and submit your Articles of Organization to the California Secretary of State. This document outlines your LLC’s structure and essential details.
4. Draft an Operating Agreement
While California doesn’t require an operating agreement, having one is crucial for defining the roles and responsibilities within your LLC. We offer custom support to formally define your business’s financial and operational decision-making process.
5. Obtain an EIN
We’ll obtain your Employer Identification Number (EIN) from the IRS that you will use for taxes, financial applications and registrations, and governmental communications.
6. Understand California Tax Requirements
LLCs in California operate under different tax rules than sole proprietors, S corps, or C corps. California imposes an annual minimum franchise tax of $800 on all LLCs, due by the 15th day of the 4th month after formation and annually thereafter. Once you create your LLC, you’ll want to be tax-smart about your financial decision making going forward.
7. Secure Necessary Business Licenses and Permits
Depending on your business type and location within California, you may need certain licenses to operate legally in the state. We’ll help you navigate which ones to obtain and where to get them.
8. File Statement of Information
California requires LLCs to file an initial Statement of Information within 90 days of formation and then biennially thereafter. This keeps your business information current with the state.
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