State of California
Registering LLC in California

Form an LLC in California

A Limited Liability Company (LLC) combines the tax flexibility of a partnership with the limited liability of a corporation. Our customers form LLCs more often than corporations, typically to protect their personal assets and avoid the “double taxation” of a corporation on shareholder dividends. Each member (owner) of an LLC reports their share of profit and loss in the company on their individual tax return.

A California Limited Liability Company (LLC) is a legal form of Business Company offering limited liability to its owners.  It is similar to a corporation, and is often a more flexible form of ownership, especially suitable for smaller companies with a limited number of owners.  Unlike a regular corporation, a limited liability corporation with one member may be treated as a disregarded entity, so the member is often singled-out as a person performing the actions of the LLC.

A California Limited Liability corporation with multiple members may choose, generally at the time that the new entity applies for a EIN number, to be treated for U.S. federal taxation purposes as a partnership, as a C Corporation, or as an S Corporation.

California Limited Liability Company combines the best of corporations and partnerships, because the Limited Liability Company offers its members protection from individual liability and, like a limited partnership, allows others to become a member only if the other members unanimously agree.

The California LLC Formation is governed by its regulations called an operating agreement.  Limited Liability Company (LLC) regulations are a hybrid between corporate bylaws and a partnership agreement.  The California Limited Liability Company is further distinguished from the corporation in that it is not generally required to have annual meetings unless otherwise stated in the operating agreement.

Owners are called members not partners or shareholders.

Number of members are unlimited and may be individuals, corporations, or other LLC’s

The principals of LLCs use many different titles — e.g., member, manager, managing member, managing director, chief executive officer, president, partner. As such, it can be difficult to determine who actually has the authority to enter into a contract on the LLC’s behalf.

LLC in California
Annual Franchise

A limited liability company may be classified as an association taxable as either a C corporation or an S corporation. California and federal laws treat these limited liability companies as corporations subject to all corporation tax laws. Limited liability companies classified as C corporations must file Form 100, California Corporation Franchise or Income Tax Return. If they are classified as an S corporation they must file Form 100S, California S Corporation Franchise or Income Tax Return.

LLC’s classified as partnerships or disregarded entities are subject to an $800 annual tax if they are doing business in California, or the California Secretary of State accepts their articles of organization or certificate of registration. The annual tax is pre-paid for the privilege of doing business in California and is due on the 15th day of the fourth month after the beginning of the taxable year.

Our California LLC Package

Our California Limited Liability Company (LLC) package includes:

Preliminary name check & reservation of your business name;
Preparation and filing of your Articles of Organization for a California LLC;
Statement of Information for the filed California LLC;
Certificate of Status (good standing);
LLC Operating Agreement;

Documents filed in 5 to 8 business days.

Name Reservation – As part of the California LLC package deal, you will receive one (1) original California LLC Name Reservation from the Secretary of State which will be good for 60 days.

Articles of Organization – We will draft and file your Articles of Organization with the Secretary of State. Upon approval from the Secretary of State, you will receive one (1) certified stamped copy of your Articles of Incorporation which is required for forming a California LLC.

Statement of Information – We will file your Statement of Information for your California LLC with the Secretary of State, then we will forward you a copy of proof of the filing.

Certificate of Status (good standing) – You will receive one (1) Certificate of Status (good standing) from the Secretary of State which will state that on this day that your corporation was in good standing with the Secretary of State.