Filing an LLC yourself is straightforward and typically takes less than an hour of actual work. The process involves choosing a name, designating a registered agent, submitting a short formation document to your state, and getting a tax ID number from the IRS. Most people can complete everything in a single day for under $200 in many states, with no lawyer or paid service required.
Choose a Name and Check Availability
Your LLC name must be distinguishable from other businesses already registered in your state. Every state maintains a searchable business name database, usually on the Secretary of State’s website, where you can check whether your preferred name is available. Your name must also include an entity designator: “LLC,” “L.L.C.,” or “Limited Liability Company” (most states accept abbreviations).
If you plan to operate under a different public-facing name, you can file a “doing business as” (DBA) registration separately. But your legal LLC name is what goes on your formation paperwork, and it needs to be unique within your state’s registry.
Designate a Registered Agent
Every LLC needs a registered agent, which is simply a person or company authorized to receive legal documents and official mail on behalf of your business. The agent must have a physical street address (not a P.O. box) in the state where you’re forming the LLC and must be available during normal business hours, Monday through Friday, 9 a.m. to 5 p.m. local time.
You can serve as your own registered agent if you meet those requirements. That means you live in the state, you have a physical address there, and you’re reliably reachable during business hours. Many solo business owners name themselves to avoid extra costs. If that doesn’t fit your situation, commercial registered agent services typically charge $50 to $300 per year. There are no education or licensing requirements to be a registered agent.
File Articles of Organization
The Articles of Organization (called a Certificate of Formation or Certificate of Organization in some states) is the one-page-ish document that officially creates your LLC. Most states let you file online, by mail, or in person. Online filing is fastest and often the cheapest option, with many states approving same-day or next-business-day.
The form asks for a short list of information:
- LLC name with the required designator
- Principal office address where you conduct business, plus a mailing address if different
- Registered agent’s name and physical address
- Management structure, meaning whether the LLC will be member-managed (owners run it) or manager-managed (a designated manager runs it). For a single-owner LLC, member-managed is the standard choice.
- Business purpose, which in most states can be a generic statement like “to engage in any lawful activity”
- Duration, which is almost always “perpetual” unless you want the LLC to dissolve on a specific date
- Organizer’s name and signature, the organizer being whoever fills out and submits the form
Some states also ask for the names and addresses of all members. The filing fee ranges from $40 to $500 depending on your state. Many fall in the $50 to $175 range. A handful of states add extra costs like publication requirements or franchise taxes on top of the base fee.
Get an EIN From the IRS
An Employer Identification Number (EIN) is a federal tax ID for your business. You need one to open a business bank account, file taxes, and hire employees. The IRS lets you apply online for free, and if approved, you’ll receive your EIN immediately.
One important timing note: form your LLC with your state before applying for an EIN. If you apply before the state has processed your formation, the IRS may delay your application. The online tool requires your Social Security number (or ITIN), your business entity type, and basic details about the LLC. The whole process takes about five minutes, but the session expires after 15 minutes of inactivity and can’t be saved, so have your information ready before you start. You’re limited to one EIN application per responsible party per day.
The IRS tool is available most hours but not around the clock. It’s accessible Monday through Friday from 6 a.m. to 1 a.m. Eastern, Saturdays from 6 a.m. to 9 p.m., and Sundays from 6 p.m. to midnight. Be cautious of third-party websites that charge a fee to file your EIN. The IRS never charges for this.
Draft an Operating Agreement
An operating agreement is an internal document that spells out how your LLC operates: who owns what percentage, how profits are split, how decisions get made, and what happens if a member leaves or dies. It’s not filed with the state. You keep it in your own records.
Only a few states legally require an operating agreement, but having one is important regardless. Without it, your LLC defaults to your state’s generic LLC statute, which may not reflect what you actually want. For a single-member LLC, an operating agreement also helps reinforce the legal separation between you and your business. If that separation is ever questioned in court, a written agreement is evidence that you treated the LLC as a distinct entity.
A basic operating agreement should cover:
- Ownership percentages for each member
- Voting rights and responsibilities
- Powers and duties of members and managers
- Profit and loss distribution
- Meeting procedures
- Buyout and buy-sell rules for transferring ownership or handling a member’s death
Free and low-cost templates are widely available. For a single-member LLC with simple operations, a template is usually sufficient.
Handle State and Local Requirements
After your LLC is formed at the state level, there may be additional registrations depending on where and how you do business. Most states require an annual or biennial report, which is a short update confirming your LLC’s address, registered agent, and member information. Report fees range from $10 to $300, and missing the deadline can result in late fees or even administrative dissolution of your LLC.
You may also need to register for state taxes (sales tax, employer withholding, or both) through your state’s department of revenue. If your business requires a license or permit, check with your state and local government. Many cities and counties have their own business license requirements separate from the state LLC filing.
Open a Business Bank Account
Once you have your approved Articles of Organization and your EIN, open a dedicated business bank account. This step isn’t legally required in every state, but it’s essential for maintaining the liability protection your LLC provides. If you mix personal and business funds in one account, a court could decide the LLC is just an extension of you personally, which defeats the purpose of forming one.
Most banks will ask for your Articles of Organization (or the stamped/approved copy from the state), your EIN confirmation letter, your operating agreement, and a government-issued ID. Some banks also require a business license. Having these documents ready before you walk in or apply online saves a second trip.
What the Whole Process Costs
If you do everything yourself, your only hard cost is the state filing fee for the Articles of Organization. That’s $40 to $500, with most states charging between $50 and $175. The EIN is free. Drafting your own operating agreement is free. If you serve as your own registered agent, that’s free too.
Your ongoing costs are the annual or biennial report fee (typically $10 to $300) and any state-specific taxes or fees your state imposes on LLCs. Some states charge a flat annual LLC tax or franchise tax regardless of revenue. Check your Secretary of State website for your state’s specific fees and deadlines so nothing catches you off guard.
Paid LLC formation services typically charge $79 to $399 on top of the state fee for what amounts to filling out the same form you can fill out yourself. The process is designed for non-lawyers, and the forms themselves are short. For most people, the DIY route takes less time than researching which service to hire.