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What is the process for forming a limited liability company (LLC) in Illinois?

Picture of Chris Battis By   ·  1 minute read

In Illinois, the process for forming a limited liability company (LLC) involves several steps:

  1. Choose a Name: The first step is to choose a name for your LLC that is unique and not already taken by another business entity in Illinois. You can check the availability of your desired name on the Illinois Secretary of State's website.
  2. File Articles of Organization: You will need to file Articles of Organization with the Illinois Secretary of State's office. This document will contain basic information about your LLC, including the name, the address, the registered agent's name and address, and the purpose of the LLC.
  3. Appoint a Registered Agent: A registered agent is a person or entity designated to receive legal documents and notices on behalf of the LLC. This can be an individual who is a resident of Illinois, or a business entity authorized to do business in the state.
  4. Create an Operating Agreement: An operating agreement is a legal document that outlines the ownership structure, management, and operations of the LLC. Although it is not required by law in Illinois, it is strongly recommended that LLCs have an operating agreement in place.
  5. Obtain Necessary Business Licenses and Permits: Depending on the nature of your business, you may need to obtain additional licenses and permits from the state or local government. It is important to research and comply with all applicable requirements.
  6. Obtain an Employer Identification Number (EIN): An EIN is a unique nine-digit number assigned by the IRS for tax purposes. LLCs with employees, multiple members, or certain tax classifications are required to obtain an EIN.
  7. File Annual Reports: LLCs in Illinois are required to file an Annual Report with the Secretary of State's office by the anniversary of the LLC's date of formation. The report includes basic information about the LLC and must be accompanied by a filing fee.

It is important to note that there may be limitations or exceptions to these general steps depending on the specific circumstances of the LLC. Additionally, it may be beneficial to consult with a licensed attorney for personalized legal advice and assistance with the formation process.