is a column for those just getting off the ground. Learn about how to make that first hire, deal with all things administrative, and set yourself up for success.<\/em><\/p>\n\n\n\nAn LLC is a type of business structure that shields its owners from legal action and financial liability. Unlike a sole proprietor, who would be held personally responsible for their business dealings should something go wrong, an LLC is a distinct entity that exists separately from its members.<\/p>\n\n\n
\r\n
in this story<\/div>\r\n \r\n
\r\n \r\n \r\n Why set up an LLC?\r\n \r\n \r\n\r\n FD8B74A2-3372-42BA-99CD-BCC6C3C6EA13@1x<\/title>\r\n <defs>\r\n <filter id=\"filter-1\">\r\n <feColorMatrix in=\"SourceGraphic\" type=\"matrix\" values=\"0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 1.000000 0\"><\/feColorMatrix>\r\n <\/filter>\r\n <\/defs>\r\n <g id=\"Iconography\" stroke=\"none\" stroke-width=\"1\" fill=\"none\" fill-rule=\"evenodd\">\r\n <g id=\"icon\/arrow-down\/outline\/16\">\r\n <rect id=\"Bounding-box\" x=\"0\" y=\"0\" width=\"16\" height=\"16\"><\/rect>\r\n <g filter=\"url(#filter-1)\" id=\"Icon\">\r\n <g transform=\"translate(7.500000, 8.000000) scale(-1, -1) rotate(-90.000000) translate(-7.500000, -8.000000) translate(0.000000, 1.500000)\">\r\n <polygon id=\"Path\" fill=\"#000000\" fill-rule=\"nonzero\" points=\"8.75 0.792893219 14.4571068 6.5 8.75 12.2071068 8.04289322 11.5 12.542 6.99989322 0.5 7 0.5 6 12.542 5.99989322 8.04289322 1.5\"><\/polygon>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n<\/svg> <\/span>\r\n <\/a>\r\n <\/li>\r\n <li class=\"toc-block__list-item\">\r\n <a href=\"#what-do-you-need-to-start-an-llc\" class=\"toc-block__link\">\r\n What do you need to start an LLC?\r\n <span class=\"toc-block__icon\">\r\n <?xml version=\"1.0\" encoding=\"UTF-8\"?>\r\n<svg width=\"16px\" height=\"16px\" viewBox=\"0 0 16 16\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\">\r\n <title>FD8B74A2-3372-42BA-99CD-BCC6C3C6EA13@1x<\/title>\r\n <defs>\r\n <filter id=\"filter-1\">\r\n <feColorMatrix in=\"SourceGraphic\" type=\"matrix\" values=\"0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 1.000000 0\"><\/feColorMatrix>\r\n <\/filter>\r\n <\/defs>\r\n <g id=\"Iconography\" stroke=\"none\" stroke-width=\"1\" fill=\"none\" fill-rule=\"evenodd\">\r\n <g id=\"icon\/arrow-down\/outline\/16\">\r\n <rect id=\"Bounding-box\" x=\"0\" y=\"0\" width=\"16\" height=\"16\"><\/rect>\r\n <g filter=\"url(#filter-1)\" id=\"Icon\">\r\n <g transform=\"translate(7.500000, 8.000000) scale(-1, -1) rotate(-90.000000) translate(-7.500000, -8.000000) translate(0.000000, 1.500000)\">\r\n <polygon id=\"Path\" fill=\"#000000\" fill-rule=\"nonzero\" points=\"8.75 0.792893219 14.4571068 6.5 8.75 12.2071068 8.04289322 11.5 12.542 6.99989322 0.5 7 0.5 6 12.542 5.99989322 8.04289322 1.5\"><\/polygon>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n<\/svg> <\/span>\r\n <\/a>\r\n <\/li>\r\n <li class=\"toc-block__list-item\">\r\n <a href=\"#setting-up-an-llc-in-six-steps\" class=\"toc-block__link\">\r\n Setting up an LLC in six steps\r\n <span class=\"toc-block__icon\">\r\n <?xml version=\"1.0\" encoding=\"UTF-8\"?>\r\n<svg width=\"16px\" height=\"16px\" viewBox=\"0 0 16 16\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\">\r\n <title>FD8B74A2-3372-42BA-99CD-BCC6C3C6EA13@1x<\/title>\r\n <defs>\r\n <filter id=\"filter-1\">\r\n <feColorMatrix in=\"SourceGraphic\" type=\"matrix\" values=\"0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 1.000000 0\"><\/feColorMatrix>\r\n <\/filter>\r\n <\/defs>\r\n <g id=\"Iconography\" stroke=\"none\" stroke-width=\"1\" fill=\"none\" fill-rule=\"evenodd\">\r\n <g id=\"icon\/arrow-down\/outline\/16\">\r\n <rect id=\"Bounding-box\" x=\"0\" y=\"0\" width=\"16\" height=\"16\"><\/rect>\r\n <g filter=\"url(#filter-1)\" id=\"Icon\">\r\n <g transform=\"translate(7.500000, 8.000000) scale(-1, -1) rotate(-90.000000) translate(-7.500000, -8.000000) translate(0.000000, 1.500000)\">\r\n <polygon id=\"Path\" fill=\"#000000\" fill-rule=\"nonzero\" points=\"8.75 0.792893219 14.4571068 6.5 8.75 12.2071068 8.04289322 11.5 12.542 6.99989322 0.5 7 0.5 6 12.542 5.99989322 8.04289322 1.5\"><\/polygon>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n<\/svg> <\/span>\r\n <\/a>\r\n <\/li>\r\n <li class=\"toc-block__list-item\">\r\n <a href=\"#what-to-do-if-your-llc-does-business-in-multiple-states\" class=\"toc-block__link\">\r\n What to do if your LLC does business in multiple states\r\n <span class=\"toc-block__icon\">\r\n <?xml version=\"1.0\" encoding=\"UTF-8\"?>\r\n<svg width=\"16px\" height=\"16px\" viewBox=\"0 0 16 16\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\">\r\n <title>FD8B74A2-3372-42BA-99CD-BCC6C3C6EA13@1x<\/title>\r\n <defs>\r\n <filter id=\"filter-1\">\r\n <feColorMatrix in=\"SourceGraphic\" type=\"matrix\" values=\"0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 0 0.000000 0 0 0 1.000000 0\"><\/feColorMatrix>\r\n <\/filter>\r\n <\/defs>\r\n <g id=\"Iconography\" stroke=\"none\" stroke-width=\"1\" fill=\"none\" fill-rule=\"evenodd\">\r\n <g id=\"icon\/arrow-down\/outline\/16\">\r\n <rect id=\"Bounding-box\" x=\"0\" y=\"0\" width=\"16\" height=\"16\"><\/rect>\r\n <g filter=\"url(#filter-1)\" id=\"Icon\">\r\n <g transform=\"translate(7.500000, 8.000000) scale(-1, -1) rotate(-90.000000) translate(-7.500000, -8.000000) translate(0.000000, 1.500000)\">\r\n <polygon id=\"Path\" fill=\"#000000\" fill-rule=\"nonzero\" points=\"8.75 0.792893219 14.4571068 6.5 8.75 12.2071068 8.04289322 11.5 12.542 6.99989322 0.5 7 0.5 6 12.542 5.99989322 8.04289322 1.5\"><\/polygon>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n <\/g>\r\n<\/svg> <\/span>\r\n <\/a>\r\n <\/li>\r\n <\/ul>\r\n <\/div>\r\n\n\n\n<p>Setting up an LLC not only makes it less risky to start and run a business, but it can be advantageous from a tax perspective too. An LLC does not pay taxes itself. Instead, members must declare profits and losses on their personal tax returns.<\/p>\n\n\n\n<p>In this article, we\u2019ll take a closer look at some of the benefits of setting up an LLC, as well as the basic steps you can expect to take if you decide to <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/what-is-a-holding-company-and-how-do-you-start-one\">structure your business<\/a> in this way.<\/p>\n\n\n\n<p>If you are setting up an LLC and are considering opening an office in a new market, you’ll need a space that suits your business. WeWork\u2019s flexible workspaces can help you quickly expand into new cities without locking yourself into restrictive long-term leases. 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href=\\\"https:\\\/\\\/www.wework.com\\\/legal\\\/terms-of-service\\\" target=\\\"_blank\\\" style=\\\"font-size: 13.3333px;\\\">Terms of Service<\\\/a><span style=\\\"font-size: 13.3333px;\\\"> and acknowledge our <\\\/span><a href=\\\"https:\\\/\\\/www.wework.com\\\/legal\\\/global-privacy-policy\\\" style=\\\"font-size: 13.3333px;\\\">Global Privacy Policy<\\\/a><span style=\\\"font-size: 13.3333px;\\\">.<\\\/span><br><\\\/p>\",\"container_class\":\"width 100\",\"element_class\":\"width 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our <\\\/span><a href=\\\"https:\\\/\\\/www.wework.com\\\/legal\\\/terms-of-service\\\" target=\\\"_blank\\\" style=\\\"font-size: 13.3333px;\\\">Terms of Service<\\\/a><span style=\\\"font-size: 13.3333px;\\\"> and acknowledge our <\\\/span><a href=\\\"https:\\\/\\\/www.wework.com\\\/legal\\\/global-privacy-policy\\\" style=\\\"font-size: 13.3333px;\\\">Global Privacy Policy<\\\/a><span style=\\\"font-size: 13.3333px;\\\">.<\\\/span><br><\\\/p>\",\"label_pos\":\"above\",\"parentType\":\"html\",\"element_templates\":[\"html\",\"input\"],\"old_classname\":\"\",\"wrap_template\":\"wrap\"},{\"objectType\":\"Field\",\"objectDomain\":\"fields\",\"editActive\":false,\"order\":12,\"idAttribute\":\"id\",\"type\":\"submit\",\"label\":\"Submit\",\"processing_label\":\"Processing\",\"container_class\":\"\",\"element_class\":\"\",\"key\":\"submit_1554741098461\",\"field_label\":\"Submit\",\"field_key\":\"submit_1554741098461\",\"wrap_styles_show_advanced_css\":0,\"element_styles_show_advanced_css\":0,\"submit_element_hover_styles_show_advanced_css\":0,\"cellcid\":\"c4249\",\"created_at\":\"2019-04-11 14:18:43\",\"admin_label\":\"\",\"id\":359,\"beforeField\":\"\",\"afterField\":\"\",\"value\":\"\",\"label_pos\":\"above\",\"parentType\":\"textbox\",\"element_templates\":[\"submit\",\"button\",\"input\"],\"old_classname\":\"\",\"wrap_template\":\"wrap-no-label\"}];nfForms.push(form);<\/script>\n <script id=\"nf-tmpl-cell\" type=\"text\/template\">\r\n <nf-fields><\/nf-fields>\r\n <\/script>\r\n\r\n <script id=\"nf-tmpl-row\" type=\"text\/template\">\r\n <nf-cells><\/nf-cells>\r\n <\/script>\r\n\r\n \n\n\n<h2 id=\"why-set-up-an-llc\"class=\"wp-block-heading\"><strong>Why set up an LLC?<\/strong><\/h2>\n\n\n\n<p>Whether you\u2019re already doing business as a sole proprietor or you\u2019re about to launch a brand-new business venture, there are many advantages to setting up an LLC.<\/p>\n\n\n\n<p>The most common reason for forming an LLC is to protect personal finances. <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/management-leadership\/advantages-of-sole-proprietorship\">Sole proprietors<\/a> can be personally liable for any losses, debts, and lawsuits against them. This means that their home, savings, and any other assets can be taken to pay off business debts. An LLC exists separately from its owners, so only the assets owned by the business can be claimed by creditors.<\/p>\n\n\n\n<p>LLCs are also tax-efficient. The profits and losses of the business are passed through to its members, who can write them off on their personal income taxes. LLC members might also be eligible for a 20 percent pass-through deduction on their tax bill.<\/p>\n\n\n\n<h2 id=\"what-do-you-need-to-start-an-llc\"class=\"wp-block-heading\"><strong>What do you need to start an LLC?<\/strong><\/h2>\n\n\n\n<p>The specific paperwork you need to successfully start an LLC varies from state to state. But no matter where you\u2019re located in the U.S., you\u2019ll need to do two things: File articles of organization with the appropriate state agency, and create what\u2019s known as an LLC operating agreement.<\/p>\n\n\n\n<p>You\u2019ll also need a name for your new business and a legal point of contact for receiving important tax documents and court papers. Again, the rules surrounding these processes vary, but no matter where you are, here are the steps you\u2019ll need to follow to start an LLC.<\/p>\n\n\n\n<h2 id=\"setting-up-an-llc-in-six-steps\"class=\"wp-block-heading\"><strong>Setting up an LLC in six steps<\/strong><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Choose and reserve your business name<\/strong><\/h3>\n\n\n\n<p>Deciding on an appropriate name for your business is about more than just branding and marketing. The <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/identifiable-brand-small-businesss-biggest-asset\">name of your business<\/a> will have to meet a set of criteria before it can be legally accepted, which can change depending on the state in which you\u2019re registering the LLC.<\/p>\n\n\n\n<p>Most important, your business name will need to be unique. To avoid confusion, it can\u2019t share a name with (or use a name that\u2019s deceptively similar to) any other business on record. You must also avoid including misleading words that might imply professional licensing that your business doesn\u2019t have, such as \u201cattorney\u201d or \u201cinsurance.\u201d<\/p>\n\n\n\n<p>Once you\u2019ve chosen your business name, you can usually pay a reservation fee to hold it while you file your LLC paperwork.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Find a registered agent<\/strong><\/h3>\n\n\n\n<p>States require that a registered agent be named as a company\u2019s formal point of contact for receiving important tax and legal documents, as well as lawsuits, subpoenas, and other papers you might be served. <\/p>\n\n\n\n<p>The registered agent can be you, one of your employees, or a professional agency, but any registered agent must be at least 18 years old, must have an address within the state, and must be available during <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/management-leadership\/30-hour-work-week-pros-and-cons\">normal business hours<\/a>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Obtain and complete the LLC articles of organization form<\/strong><\/h3>\n\n\n\n<p>The forms needed to create an LLC are called the articles of organization, and they must be properly completed and filed with the secretary of state or the state agency responsible for business filings.<\/p>\n\n\n\n<p>Articles of organization differ from state to state, but most will list certain basic details about your business. These include: <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The <strong>name and address<\/strong> of the business<\/li><li>The name and address of the <strong>registered agent<\/strong><\/li><li>The <strong>nature of the business<\/strong>\u2014often this is given as \u201cto engage in any lawful activity\u201d to avoid limiting the scope of the business\u2019s operations<\/li><li>The <strong>duration of the business<\/strong>, which may be perpetual<\/li><\/ul>\n\n\n\n<p>Most state government websites provide blank LLC formation documents to ensure that no essential information is accidentally left out.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Submit the articles of organization to your state<\/strong><\/h3>\n\n\n\n<p>Each state has slightly different requirements for submitting articles of organization. Find out which agency in your state handles business filings and registration (a simple web search should tell you). In most cases, it\u2019s the secretary of state, but if it\u2019s not, that office should be able to point you in the right direction.<\/p>\n\n\n\n<p>Once you know where to submit the articles of organization, check to see whether your state allows online filing. You should also make note of any filing fees. Every state charges a small fee for submitting, and it\u2019s usually no more than a couple hundred dollars.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Get hold of your state certificate<\/strong><\/h3>\n\n\n\n<p>Once the articles of organization have been reviewed and approved, you\u2019ll receive a certificate from the state formally declaring that your LLC has been registered and exists in the eyes of the law. There may be a small additional charge to receive the certificate, depending on the state.<\/p>\n\n\n\n<p>This certificate is an important piece of paperwork that is useful when it comes to tasks such as opening a corporate bank account, obtaining business licenses, and preparing a tax filing.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Create the LLC operating agreement<\/strong><\/h3>\n\n\n\n<p>An <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/sole-proprietorship-vs-llc\">LLC operating agreement<\/a> is essentially a set of rules governing how the business will be run and managed. This document establishes the rights and responsibilities of all members of the business. While you don\u2019t need to file one with the state directly, the operating agreement is a critical legal document that many states require you to have on record.<\/p>\n\n\n\n<p>By plainly outlining such things as members\u2019 voting rights, how profits and losses will be shared, and what will happen if the company is dissolved or an owner dies, the business can avoid potential legal disputes and ensure more healthy, cooperative partnerships.<\/p>\n\n\n<div class=\"related-articles-sticky related-articles-sticky--sticky-on-desktop\">\r\n <div class=\"related-articles-sticky__holder\">\r\n <div class=\"ray-grid\">\r\n <div class=\"ray-grid__cell--span-full\">\r\n <div class=\"related-articles-sticky__header-wrapper\">\r\n <h3 class=\"ray-text--h3 related-articles-sticky__block-title\">\r\n Related articles\r\n <\/h3>\r\n <\/div>\r\n <div class=\"related-articles-sticky__wrapper\">\r\n \r\n <div class=\"related-articles-sticky__item\">\r\n <div 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class=\"related-articles-sticky__container\">\r\n <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/a-guide-to-getting-your-small-business-off-the-ground-gated\">\r\n <div class=\"related-articles-sticky__caption-title\">\r\n A guide to getting your small business off the ground\r\n <\/div>\r\n\r\n <div class=\"author\">\r\n By\r\n Kristen Bailey\r\n <\/div>\r\n <\/a>\r\n <\/div>\r\n <\/div>\r\n \r\n <div class=\"related-articles-sticky__item\">\r\n <div class=\"related-articles-sticky__image-wrapper\">\r\n <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/management-leadership\/what-is-a-vision-statement-and-why-is-it-important\" class=\"ray-image ray-image--1by1\">\r\n <img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" width=\"2048\" height=\"1152\" src=\"https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?resize=2048%2C1152\" class=\"related-articles-sticky__image\" alt=\"\" srcset=\"https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?w=2048 2048w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?w=400 400w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?w=800 800w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?w=1120 1120w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?w=1440 1440w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/06\/iStock-1312657226_what-is-a-vision-statement-and-why-is-it-important_v1-scaled.jpg?w=1536 1536w\" sizes=\"auto, (max-width: 1000px) 100vw, 1000px\" \/>\r\n <\/a>\r\n <\/div>\r\n <div class=\"related-articles-sticky__container\">\r\n <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/management-leadership\/what-is-a-vision-statement-and-why-is-it-important\">\r\n <div class=\"related-articles-sticky__caption-title\">\r\n What is a vision statement and why is it important?\r\n <\/div>\r\n\r\n <div class=\"author\">\r\n By\r\n Steve Hogarty\r\n <\/div>\r\n <\/a>\r\n <\/div>\r\n <\/div>\r\n \r\n <div class=\"related-articles-sticky__item\">\r\n <div class=\"related-articles-sticky__image-wrapper\">\r\n <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/14-small-business-marketing-ideas\" class=\"ray-image ray-image--1by1\">\r\n <img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" width=\"2048\" height=\"1152\" src=\"https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?resize=2048%2C1152\" class=\"related-articles-sticky__image\" alt=\"\" srcset=\"https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?w=2048 2048w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?w=400 400w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?w=800 800w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?w=1120 1120w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?w=1440 1440w, https:\/\/www.wework.com\/ideas\/wp-content\/uploads\/sites\/4\/2022\/05\/20221305_1111-Broadway_22_v1-scaled.jpg?w=1536 1536w\" sizes=\"auto, (max-width: 1000px) 100vw, 1000px\" \/>\r\n <\/a>\r\n <\/div>\r\n <div class=\"related-articles-sticky__container\">\r\n <a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/14-small-business-marketing-ideas\">\r\n <div class=\"related-articles-sticky__caption-title\">\r\n 14 small business marketing ideas\r\n <\/div>\r\n\r\n <div class=\"author\">\r\n By\r\n Steve Hogarty\r\n <\/div>\r\n <\/a>\r\n <\/div>\r\n <\/div>\r\n <\/div>\r\n <\/div>\r\n <\/div>\r\n <\/div>\r\n <\/div>\r\n\n\n\n<h2 id=\"what-to-do-if-your-llc-does-business-in-multiple-states\"class=\"wp-block-heading\"><strong>What to do if your LLC does business in multiple states<\/strong><\/h2>\n\n\n\n<p>If your LLC does business in multiple states, you\u2019ll need to choose a home state in which to set up a domestic LLC. Once that\u2019s completed, you\u2019ll then need to register your business as a foreign LLC in each of the other states the business operates in.<\/p>\n\n\n\n<p>Registering as a foreign LLC in another state follows much the same process as the one detailed above. You\u2019ll need to appoint a registered agent for each state your business is active in, and your business will need to follow the laws and rules of every state in which it\u2019s registered.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/how-to-get-a-business-grant-for-your-small-business\">Small businesses<\/a> that operate in just one state tend to form an LLC in that state. Larger companies that operate across many states often choose to incorporate in states that have the lowest taxes and the most business-friendly laws. These states are commonly recognized as Delaware, Nevada, and Wyoming.<\/p>\n\n\n\n<p><em>Steve Hogarty is a writer and journalist based in London. He is the travel editor of <\/em>City AM<em> newspaper and the deputy editor of <\/em>City AM Magazine<em>, where his work focuses on technology, travel, and entertainment.<\/em><\/p>\n\n\n<div\r\n data-block_60e8695ae0589\r\n class=\"sticky-cta align sticky-cta--bottom sticky-cta--default--bottom sticky-cta--right sticky-cta--default\"\r\n>\r\n <div class=\"sticky-cta__copy sticky-cta--default__copy\">\r\n <p>Rethinking your workspace?<\/p>\n\r\n <\/div>\r\n\r\n <div class=\"sticky-cta__button-wrap sticky-cta--default__button\">\r\n <button class=\"ray-button ray-button--primary sticky-cta__button\">\r\n <a\r\n href=\"#nf-form-31-cont\"\r\n class=\"sticky-cta__link sticky-cta--default__link\">\r\n Get in touch\r\n <\/a>\r\n <\/button>\r\n <\/div>\r\n<\/div>\r\n","protected":false},"excerpt":{"rendered":"<p>Creating an LLC can reduce risk and unlock tax advantages. Here\u2019s how to do it<\/p>\n","protected":false},"author":1849,"featured_media":3000059335,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"template-single-default.blade.php","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[43910,43902],"tags":[39218,39221,43942],"class_list":["post-3000059315","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-solutions","category-professional-development","tag-small-businesses","tag-entrepreneurs","tag-starting_small"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.4 (Yoast SEO v25.3.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to set up an LLC (limited liability company)<\/title>\n<meta name=\"description\" content=\"They vary from state to state, but these are the basic steps you can expect to follow when starting or forming an LLC.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.wework.com\/ideas\/professional-development\/business-solutions\/how-to-set-up-an-llc-limited-liability-company\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to set up an LLC (limited liability company)\" \/>\n<meta property=\"og:description\" content=\"Creating an LLC can reduce risk and unlock tax advantages. 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