LLC Florida: Everything You Need to Know
An LLC in Florida is an enterprise that has a versatile company, is aware of tax efficiencies, and offers restricted legal responsibility for its members.3 min read
How to Start an LLC in Florida
An LLC in Florida is similar to an LLC in other states. It is an enterprise that has a versatile structure, is aware of tax benefits, and offers limited legal responsibility for its members. Members could include people, companies, different LLCs, and international entities. One advantage of an LLC is that there isn't a high variety of members. An LLC is also referred to as a "hybrid" enterprise structure in the sense that it brings together components of an organization and limited liability partnerships.
Limited liability companies (LLCs) in Florida are reasonably priced and simple to form. Companies should register with the Florida Division of Corporations by submitting the mandatory paperwork, paying the required fees, and meeting all naming and formation requirements.
Curiosity about LLCs has increased recently, and business owners are seeking the extra advantages LLC status can bring. They include:
- Limited legal responsibility of the corporate owners.
- Safety for LLC members from the claims of collectors.
- Safety from private legal responsibility concerning claims pertaining to supervisor authority over the enterprise.
- Much fewer formal business requirements and better flexibility in the operation of the enterprise.
- Tax benefits for the business and its owners - both state and federal.
Florida Limited Liability Company Requirements
To create a Florida limited liability company OR if you've been rejected for online submission:
- Review the directions for submitting the Articles of Organization.
- Collect all data required to finish the application.
Name Your LLC
The primary and most vital step in beginning your LLC is selecting a name. Conduct a little research to ensure that the identity you select is suited to your enterprise and is easily searchable by potential customers.
Comply with the naming rules. Your entity name should include the phrase "limited liability company" or the abbreviation L.L.C. or LLC. Restricted phrases require extra paperwork and will require a licensed authority, akin to a health care provider or lawyer, to be a part of the LLC. Prohibited phrases include names that would confuse the name of your LLC with a federal or state company (e.g. FBI, Secret Service, Treasury).
Make certain the identity is not already taken by doing a name search on the State of Florida website. Check to see if the identity of your LLC is available with the intent to reserve your firm name.
Even if you do not plan to create an internet site at the moment, it's possible you'll wish to purchase the name as a way to prevent others from buying it. An email address is also an issue to consider when selecting a name.
Choose a Registered Agent
You might be required to appoint a registered agent for your Florida LLC. A registered agent is an individual or organization nominated by your company to formally obtain and ship papers on your behalf together with annual state filings. The registered agent must be a resident of Florida or an organization licensed to transact enterprises in Florida. You could elect a person inside the firm, including yourself.
File the Articles of Organization
To register your LLC, you will have to file Articles of Organization with the State of Florida. When doing so, you must determine if your LLC will be member-managed or supervisor-managed. If you are moving your present LLC to the State of Florida, you might be forming an International LLC. The same rules should apply regarding the following:
- The name and address of the LLC.
- The name, address, and signature of the registered agent.
- The names and addresses of the managers.
- The effective date of the LLC (if different from the date of submission).
The submission charge for the Articles of Organization is $125.
Create an Operating Agreement
An operating agreement is a legal document outlining the ownership and working procedures of your LLC. The operating agreement allows you to form monetary/working relationships with co-owners into a longtime system appropriate to your enterprise. An operating agreement is not required to form an LLC in Florida; however, it’s good practice to have one.
Obtain an EIN
The Employer Identification Number (EIN), or Federal Tax Identification Number, is used to establish an enterprise entity. It's basically a social security number for the organization. An EIN is required for the following:
- to open an enterprise checking account for the firm
- federal and state tax functions
- to hire workers for the organization.
An EIN is obtained from the IRS (free of charge) by the enterprise owner after forming the corporation.
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