What is an LLC?
LLC is short for Limited Liability Company. An LLC is a legal form of business that provides protection for your personal assets, such as your home, car, and personal bank accounts, in the event your company is sued.
Who can register an LLC in the United States?
Virtually anyone, even those not in the country.
What documents are required to register an LLC?
Actually, none. You just need information about you and your business plans.
Can I work through an LLC without a work permit?
That's up to you. An LLC does not authorize you to work. You cannot be an official employee of your company and be paid on a Form W-2. Instead, you will be considered self-employed, which is the same as employment in the eyes of the law. However, you have the ability to manage the company's profits and do whatever is necessary to grow the company.
What is the difference between working for cash and working through an LLC:
How do I register an LLC?
The procedures and requirements for registering an LLC vary from state to state.
Here are some basic steps:
1. Come up with a business name, make sure it is free and does not violate the laws of your state.
2. Register the LLC with your state clerk, paying the required registration fees and certificates.
3. Apply for an EIN tax identification number from the federal Internal Revenue Service (IRS) using Form SS-4.
In most cases, your LLC will be considered active after this step and you will be able to start fulfilling orders. The wait to get a tax number can take anywhere from two weeks to three months.
Information about each state and a step-by-step guide to LLC registration can be found here.
Where is the best place to register an LLC?
I recommend only registering an LLC in the state where you reside and where your office is located.
If you open an LLC in another state, you will have to:
Who can register an LLC in the United States?
Virtually anyone, even those not in the country.
What documents are required to register an LLC?
Actually, none. You just need information about you and your business plans.
Can I work through an LLC without a work permit?
That's up to you. An LLC does not authorize you to work. You cannot be an official employee of your company and be paid on a Form W-2. Instead, you will be considered self-employed, which is the same as employment in the eyes of the law. However, you have the ability to manage the company's profits and do whatever is necessary to grow the company.
What is the difference between working for cash and working through an LLC:
- you will be considered self-employed (self-employed),
- you will have a clear income known to the state,
- you'll be able to accept checks and money orders into your account,
- you can write off business expenses,
- and you have to pay taxes knowingly and openly.
How do I register an LLC?
The procedures and requirements for registering an LLC vary from state to state.
Here are some basic steps:
1. Come up with a business name, make sure it is free and does not violate the laws of your state.
2. Register the LLC with your state clerk, paying the required registration fees and certificates.
3. Apply for an EIN tax identification number from the federal Internal Revenue Service (IRS) using Form SS-4.
In most cases, your LLC will be considered active after this step and you will be able to start fulfilling orders. The wait to get a tax number can take anywhere from two weeks to three months.
- Some states also require a city license.
- In some states, an operating agreement must be drawn up.
- Buying insurance may also be desirable (though not required).
Information about each state and a step-by-step guide to LLC registration can be found here.
Where is the best place to register an LLC?
I recommend only registering an LLC in the state where you reside and where your office is located.
If you open an LLC in another state, you will have to:
- hire a registered agent residing in that state,
- still register the LLC in your state and pay the fees,
- keep track of taxation in two states,
- pay double to an accountant.
- Obtaining an EIN is free of charge.
- You do not need to be a U.S. citizen or have residency.
- You do not need an SSN.
- You do not need an ITIN.
- You do not need to see a lawyer or accountant to get an EIN.
- You cannot get an EIN online if you do not have an SSN.
- You cannot get an EIN by contacting the IRS by phone.