When I first started making money online, I was doing everything under my name for the first few years. Having a business name not only makes you look more legitimate, but it can also keep your personal assets safe, should you ever be sued. Is your blog or web site is finally starting to pick up? For the past several months or years, you may have been doing everything under your name for business. Now you want to get more legitimate and start your own company and become an LLC. What are the best methods for registering for an LLC and how can you avoid those costly lawyer fees?
The old fashion way to file for an LLC, is to contact your accountant or lawyer and have them do all of the dirty work for you… which will end up costing you a decent amount. Now with the power of the internet, the process of registering for an LLC is not only faster, but much cheaper.
Companies like LegalZoom offer services which range from $139, plus state filing fees (which can range around $200-$500) for a basic LLC registration, and also offer a “deluxe package” for $369. The deluxe package includes delivery of all completed paperwork within a 7-10 day period. Another site, MyCorporation also provides the same type of services, which range in the $200-$300 area, but include state filing fees. You can visit their site and plug in your state to get a full estimate on setting everything up. Lastly, The Company Corporation also has an excellent site. Right off their main page you can select your state and type of entity you are looking for. After clicking submit, the next page will give you an in depth run down on costs and what your package will include.
If you would like to take on the task yourself, you can still file for an LLC without going through another party. You can go to Google and search for the Secretary of your state, then you will find the necessary paper work. It is still recommended that you hire a laywer to go over the benefits and non-benefits of moving over to an LLC. Moving over to an LLC, can/will also change your current tax setup and preparations. Without paying the additional fees to use a company like LegalZoom or MyCorporation, the paper work isn’t that tough… but I personally would rather pay the extra bucks to have it done correctly and not have to worry about it.
Tomorrow I will discuss the differences between forming an LLC for your business, or using INC. I personally have an Inc., which was recommended by my accountant. Everyone seems to have a different reason for choosing what they have. I get this question a lot, so hopefully I can help most of you out which are still trying to figure this out.