Skip to content
All posts

What steps do I need to take to set up a limited liability company (LLC) in Pennsylvania?

To set up a limited liability company (LLC) in Pennsylvania, follow these steps:

  1. Choose a Name for Your LLC: The name of your LLC must be unique and not already in use by another business entity in Pennsylvania. You can check the availability of the name you want to use by searching the Pennsylvania Department of State’s online business name database.
  2. File a Certificate of Organization with the Pennsylvania Department of State: This is the document that creates your LLC and establishes it as a legal entity. You can file this document online or by mail. The filing fee is $125. The Certificate of Organization must include:
    • The name of your LLC
    • The address of your LLC's registered office in Pennsylvania
    • The name and address of your LLC's registered agent in Pennsylvania
    • The purpose of your LLC (optional)
  3. Appoint a Registered Agent: Your LLC must have a registered agent in Pennsylvania. The registered agent is the person or entity that is authorized to receive legal documents on behalf of your LLC. The registered agent must have a physical address in Pennsylvania.
  4. Prepare an Operating Agreement: An operating agreement is a legal document that outlines the ownership and operating procedures of your LLC. While it is not required to have an operating agreement in Pennsylvania, it is recommended. An operating agreement can help prevent disputes among LLC members and clarify the roles and responsibilities of each member.
  5. Obtain Permits and Licenses: Your LLC may need permits and licenses depending on the nature of your business. Check with the Pennsylvania Department of State and the local government where you will operate your business to determine what permits and licenses you need.
  6. Obtain an EIN: An Employer Identification Number (EIN) is a unique nine-digit number assigned to your LLC by the Internal Revenue Service (IRS). You will need an EIN if you plan to hire employees or if you want to open a business bank account. You can apply for an EIN online.
  7. File Annual Reports: Your LLC is required to file an annual report with the Pennsylvania Department of State each year. The filing fee is $70. The report is due by April 15th of each year.

Note that this advice is general in nature and may not be applicable to every situation. It is recommended that you consult with a licensed attorney to ensure that your LLC is set up properly and in compliance with all applicable state and federal laws.