Recently I was asked to assist with forming a new LLC in California. After some thought, I decided to tackle the project. It turns out it was not as difficult as anticipated. This could be due to the fact that I have made several changes to my LLC and have managed others’ LLC over the years. The article I found explained simply how to form an LLC in California (it should be basically the same process for others states) by Christoper Carter on eHow.com. It is clear and concise and that is why I decided to mention it to you. I hope it helps. If you still need assistance or want to have someone else form the LLC on your behalf give me call at (323) 778-2109 PST.
You’ll have to complete some paperwork to get your LLC status.
An LLC Defined
A California Limited Liability Company (LLC) acts as a separate legal entity from the owners (members) of the business or nonprofit organization. In addition, members of a California LLC have limited liability from debts and obligations that arise in the course of conducting business. As a condition of forming an LLC in California, the appropriate documents must be filed with the state. California LLCs also must obtain the appropriate permits and licenses to legally operate. For nonprofits tax exemption is achievable, you just have to file additional paper work with the state and the Franchise Tax Board.
Legally Organizing Your Business Before You Open Your Doors
Instructions: How to Form an LLC in 7 Steps
Select a name.
File articles of organization with the California Secretary of State’s office.
File a statement of information with the California Secretary of State’s office.
Create a written operating agreement to be kept at the business.
Apply for an employer identification number (EIN).
Register for California taxes with the State of California Franchise Tax Board.
Obtain the necessary licenses and permits.
I know this may seem to over simplified but really it is not. Give it a try and let me know what you think.
Wishing you much success.
Lorne
WANT TO USE THIS IN YOUR BLOG, E-ZINE OR WEBSITE? You can, as long as you include this complete tag with it: Lorne S. Wellington has a BA and MBA. She has been consulting and advising businesses and nonprofit organizations for over 12 years. In addition, she created a nonprofit in 1997 and today she owns Sculpted Silhouette, a lingerie boutique in Los Angeles. Her clients are located in the USA, Italy and South Africa. She has worked with a food manufacturing company, several retailers, an international aid organization, a bed and breakfast and a multi media company.
Pretty nice post. I just stumbled upon your blog and wanted to say that I have really enjoyed browsing your blog posts. In any case I’ll be subscribing to your feed and I hope you write again soon!
California corporation formation is not an easy task. You will need experts to guide you. You will need expert’s advice on what to do best to make your dream professional corporation into reality, without dealing with too much hassle that the law might provide.
Thank you for your comment but I disagree with it completely. I have created an LLC both ways. Once creating an LLC through a lawyer and ended up needing to address other issues as I was not not fully informed. The second, i created an LLC and it works perfectly. I will agree that everyone needs advice and a trusted adviser who can be a lawyer. Lorne
Creating a cashflow statement for your business is a necessary tool for business management. In this week’s Coffee Break episode, I share with you what is cashflow is, why it is important to your business, and Read more…
I want major changes in my life. I know creating new habits are necessary in order for the desired change to last. But how long until this behavior becomes a habit. You know something I just do without Read more…
Today I am fixated on why I feel stuck. Then it hit me, I stopped doing the work. I am dusting off The Passion Test and getting busy. I found The Passion Test about two years Read more…
3 Comments
educational grants · December 31, 2010 at 6:40 PM
Pretty nice post. I just stumbled upon your blog and wanted to say that I have really enjoyed browsing your blog posts. In any case I’ll be subscribing to your feed and I hope you write again soon!
lawinc · August 4, 2011 at 3:31 AM
California corporation formation is not an easy task. You will need experts to guide you. You will need expert’s advice on what to do best to make your dream professional corporation into reality, without dealing with too much hassle that the law might provide.
Lorne · August 11, 2011 at 1:43 PM
Thank you for your comment but I disagree with it completely. I have created an LLC both ways. Once creating an LLC through a lawyer and ended up needing to address other issues as I was not not fully informed. The second, i created an LLC and it works perfectly. I will agree that everyone needs advice and a trusted adviser who can be a lawyer. Lorne