The Idaho Secretary of State’s website makes forming an LLC as easy as possible. Limited Liability Companies are formed to protect business owner’s personal assets in Idaho. If your business is ever sued and you lose your case, your personal assets cannot be touched to help pay back any restitution you owe. It’s imperative protection for any business owner looking to work above the law and still seek success. Idaho is a great state in which to register as an LLC, too, because it’s one of the least expensive states in terms of filing fees. The law is simple in Idaho. If you want to form an LLC, you need only follow the requirements by law. The forms you need to file to become an LLC are all available on the Idaho Secretary of State’s website.
Forming an LLC
Understanding how it works and what it means is the best way to start. Each step is designed in a specific order. You need to file with your state to reserve a name, then you find a registered agent, then you file your Articles of Organization. Once you are approved as an LLC in Idaho, you are then able to handle the rest of your business obligations and tax obligations.
Choosing a name is the first step. You cannot file any of the other LLC paperwork required by law until you have a name. The name process requires you choose one that’s not already in use by another business in Idaho, and then you reserve the name with the state. The form to reserve a business name is available on the Secretary’s website. It can be filed online or through the mail. It keeps your name reserved for four months from the date of approval, and it only costs $20.
Once your business name is reserved, it’s time to find a registered agent. Most business owners use their attorney or law office for this purpose, but it’s not a law. You can choose any person or business with a physical address located in Idaho. The business you choose must have a business license in the state. The law requires you have a registered agent to act as your legal liaison in case you are ever sued. Once this person or entity is chosen, you can fill out your Articles of Organization form. You need to have your name and address, the business name and address, and the registered agent’s name and address on it. The filing fee is $100, and it must all be submitted through the mail.
Idaho processes all applications it receives for LLC registration every day. It takes up to 10 days to receive notification of your approval or request for more information, and then you can begin the resto the process. Now that you’re registered, you need an EIN. This is found by visiting the IRS website, but it’s only required if you have more than one member. Once that is accomplished, you need to obtain all the proper business licenses required by law in your county. The exact licenses you need depend entirely on the type of business you own and the county in which you do business.
The Idaho Sales Tax Commission requires all businesses that collect sales tax register with their company. You can do this online or by mail. The last requirement in place for all LLCs is filing an annual report. this is due every year when the reminder email comes to your business. There’s no fee associated with it, and you are required to submit the form online.
If you face a challenge forming an LLC in Idaho, it’ll be the naming process. If your business was already in business but not registered, someone else might already have your name. It doesn’t happen often, but it does happen on occasion. When this happens, you have to find a new business name. Idaho state law requires all registered LLCs include the “LLC” with their name. If you can avoid this issue, there is no problem forming an LLC in Idaho. It’s one of the most affordable, simplest states in which to do business.