LLC Oregon: Everything You Need to Know
To create your LLC Oregon, the most important part is naming your LLC.3 min read
To create your LLC Oregon, the most important part is naming your LLC. Before choosing a name, ensure that the name is not already taken in Oregon and can be searched easily by clients or customers.
Abide by the following guidelines when it comes to naming:
- Company name must follow abbreviations LLC or L.L.C. or Limited Liability Company.
- Avoid names that would confuse the public with state or federal agencies.
- Research a URL name to see if it’s available
- Purchase domain name if available
Choose a Registered Agent
A registered agent is a person or business nominated by your company to officially receive and send papers on your behalf including annual state filings. A registered agent is an appointed business or person assigned to receive any legal papers and file annual reports. The agent must be an Oregon resident or a company that is permitted to conduct business in the state. You may become a registered agent or someone within your organization.
File the Articles of Organization
An Articles of Organization is needed to make your LLC official. When filing, decide if your LLC will be operated by manager or members. When filing the Articles of Organization, you will need to decide if your LLC will be member managed or manager managed. File a Foreign LLC if you are expanding your business to Oregon.
Create an Operating Agreement
An operating agreement is a legal document outlining the ownership and operating procedures of your LLC. An operating agreement is a document that describes the operating procedures and management structure of your LLC. Further, it provides cohesion and determines a member or manager’s role in the organization. Oregon does not require an operating agreement, but you should have one on hand to boost the integrity of your company.
An EIN stands for Employer Identification Number and used by the federal government to identify your business.
An EIN is suitable in the following instances:
- Opening a business bank account
- State and federal tax purposes
- Employee hiring
You can get an EIN for free from the IRS website. Obtain your EIN after you create your LLC.
Separates Personal Assets from the LLC
To divide your business and business assets, you need a business bank account.
You need a business bank account to:
- Make tax and accounting measures simpler.
- Better organize your finances.
- Build your LLC’s creditworthiness
Building the credit profile of your business is crucial because you may need it to get a line of credit for your company in the future.
Registered Your LLC for Tax Purposes
You need a business identification number (BIN) if you plan to hire employees. The BIN is necessary for meet payroll tax obligations. Registration includes State Income Tax Withholding or Unemployment Insurance Tax for your workers. Oregon imposes no sales tax, so there is no need to register for sales taxes. With that, state taxes may be required if your business is in a certain industry.
Accounting measures are necessary to stay organized and keep track of your progress. In addition, you need a good accounting system for yearly tax purposes. You can find accounting software to automate your transactions and remain on top of your business.
Obtain Business License & Permits
Depending on your business activity, you need to obtain the necessary permits and licenses at the state, local or federal levels. For example, restaurants need health and building permits, including a signage permit. Your local Chamber of Commerce can guide you getting the necessary paperwork.
At the federal level, go to the Small Business Administration (SBA) website if you need to get a federal permit. Fees vary based on your business, and certain classes may be necessary for some licenses.
You need to file periodically to maintain your LLC in Oregon. You face penalties if you fail to file the necessary paperwork in time.
Oregon Annual Report
Oregon requires LLCs to file an annual report with the Oregon Secretary of State.
Oregon requires LLC holders to submit an annual report to the Secretary of State office. You must pay a filing fee to renew your LLC. Your organization may be suspended or disbanded if you do not file the annual report. Additionally, you may lose LLC protections.
The registered agent’s primary duty is to file yearly LLC reports and is also responsible for reminding you of upcoming filing deadlines. LLCs is considered “pass-through” entity that allows individual members to file personal income taxes. The annual filing is for informational purposes. In Oregon, you must file Form 65 with your annual report.
Get in touch with UpCounsel if you have any questions about an Oregon LLC. For any questions or concerns, post your legal need on the UpCounsel’s marketplace. UpCounsel has top lawyers from around the nation to help you with your legal needs. UpCounsel lawyers have worked with reputable companies as Menlo Ventures and Google.