- How to Start an LLC in Illinois is often a question asked by newcomers to the business world. Illinois has created a relaxed set of business rules compared to other states, making it easy for entrepreneurs to set up an LLC. All other states recognizes the formation of Limited Liability Company (LLC). Illinois has about one thousand LLCs, most of them structured as a corporation. The LLC structure is also very much business friendly.As with any other business structure, an LLC needs to decide on its operating agreement. Illinois does not have any specific laws regarding its operating agreement, but it must provide notice of changes regarding such changes to its shareholders. The business can adopt a model operating agreement online. In case it does not, then it must prepare one on its own. It should indicate the name of the LLC, its registered office, its financial condition, number of owners or members, and its date of dissolution. Any change in the information provided in the online document should be reported to the office of the Secretary of State through the registered agent.
How to Start an LLC in Illinois also has some considerations for the person being formed. Before incorporating in Illinois, you should make sure that you have the required registrations and licenses to operate the business. You should also ensure that you meet the state’s requirements for licensing. When you are forming an LLC in Illinois, it is recommended that you hire a lawyer or certified public accountant to assist you with the complete process. He/she would help you in determining whether your proposed business would comply with the state and local regulations.
Another important question is the necessity of obtaining any other licenses or permits before incorporating in Illinois. Every state has different requirements when it comes to company registration, financial reporting, and licensing. A good lawyer or CPA would be able to guide you accordingly. Other concerns that are important to answer include the name of the LLC, the names and quantities of its members, its nature of business, and the duration for which it will be open for business. If the business will be open for a shorter period, it may mean that there aren’t any requirements to be met until a later time.
Once all these questions have been answered, forming an LLC in Illinois could be easy. However, there are certain minor details that need to be considered by individuals who are going to incorporate an LLC in Illinois. First and foremost, the choice of business name needs to be taken into consideration. In case there is already an existing business name registered in the name of the LLC, it is recommended that you choose a name that is dissimilar from the previous business name. Moreover, if the name you want to choose has already been taken, the best option for you is to select a business name that is less likely to be copyrighted.
If you wish to incorporate an LLC in Illinois, the first thing that you need to do is to fill out a ‘form LLC-5.5’ which is required to file by the state of Illinois. The form will be used to inform the state about the formation of the new LLC, its address, its authorized agents, and its tax identification number. You will receive a copy of the form at this stage.
