A limited liability company may be formed by filing papers with the appropriate state agency, which will then issue a certificate bearing your company's right to operate and function as a limited liability company. If necessary, providing proof of filing will be sufficient until you receive your certificate from the state agency.
There are four reasons why filing is necessary. They are:
- to give notice of the type of firm you are running
- to provide a precise name for creditors
- to allow you to understand exactly what rights and liabilities you are accepting
- to provide a paper trail of your activities and those of your business
All LLC's must provide the following information when first filing:
- name of the firm with the abbreviation LLC attached
- address of the firm's principal place of business or registered office
- name and address of any agent accepting service of process, or papers indicating that a lawsuit has been filed
- name of all managers of the firm
- name of all initial members of the firm
- purpose of the firm
Filing to create a limited liability company is forming a business entity. Don't allow yourself to become mired at only the first few steps of starting a business. Consult a business attorney to further understand what it means to form a limited liability company and to help file your papers. Doing so will save you time, energy, and potential headaches.