Starting a business can be an exciting yet overwhelming endeavor. Regardless of where you're based, there are various steps entrepreneurs must take to ensure that their business is formed correctly. If you're based in Los Angeles and are looking to get your business up and running, establishing a Limited Liability Company (LLC) may be one of the most beneficial first steps you can take. For a better understanding of how to make an LLC in Los Angeles, let's dive deeper.

An LLC or a limited liability company is a business structure that is recognized in all 50 states. An LLC allows the business owner to separate their personal and business liability, separating their personal assets from their business and protecting them if the business incurs debt or is sued. In addition, some businesses may use an LLC to avoid being taxed twice, meaning the company does not pay taxes on its own but rather the profits and losses are "passed-through" to the owners' individual incomes.

When establishing an LLC in Los Angeles, the process does not differ from other states, and the applicable rules for filing will be the same. Still, there are a few things to be mindful of when making an LLC in Los Angeles, specifically related to filing fees and other requirements. The process is similar to other states, and here's what you should know:

Step 1: Name Your LLC

Before registering your LLC, you must choose its name. The name you choose must include the phrase “Limited Liability Company” or the abbreviations "LLC" or "L.L.C." In addition, navigate through the California Secretary of State search database to ensure that the name you choose is unique and available for use as your LLC. If you are unable to think of something that meets the requirements and passes the search, you may want to seek out a creative legal counsel who specialize in LLC formations.

Step 2: Appoint a Registered Agent

Every LLC must have a Registered Agent, which is someone who is responsible for receiving paperwork on behalf of the company. The agent must either be a California resident or a corporation that is authorized to do business within the state. The agent must authorized to manage service of process in the state, meaning customer complaints and other official documents regarding the LLC.

Step 3: File the Articles of Organization

The Articles of Organization is an official document that must be filed with the California Secretary of State. This document includes important information such as the LLC’s name, business purpose, registered agent address, and other required information. The Articles of Organization must be signed and filed with the California Secretary of State.

Step 4: Create an Operating Agreement

An Operating Agreement is an agreement between the business members and it outlines how the business LLC will be run. Los Angeles does not require LLCs to include an operating agreement, however, it is highly recommended as it provides rules and regulations to ensure that the business is being ran accurately and efficiently.

Step 5: Obtain any Necessary Licenses and Permits

Depending on the type of business, you may need to obtain specific licenses and/or permits. Los Angeles County requires businesses to obtain a business license for many different types of businesses. California also requires several specific types of businesses, such as healthcare, to obtain additional permits.

It's All In the Balance: An Overview of Hiring Legal Counsel for an LLC in Los Angeles

Whether you're registering an LLC or are in need of counsel for another business matter, having legal guidance is key. When hiring legal counsel, be sure to research the qualifications of the attorney or the firm to ensure they are familiar with California laws and regulations. Seek out counsels who specialize in LLC registrations in your area, especially if you're based in Los Angeles. With the assistance of counsel, you can be sure that your LLC will be properly formed and registered in accordance with all state laws.



California Secretary of State,

Operating Agreement