How do I set up an LLC?
How Do I Set Up an LLC?
A Limited Liability Company (LLC) is a legal business entity. This type of entity has similarities to both an S corporation and a limited partnership and can be organized for any lawful business purpose. The owners of an LLC are referred to as members and these members are shielded from being personally responsible for the business’s liabilities.
At Boppre Law Firm, we are skilled and experienced in setting up LLCs for clients. In fact, most of our business entity clients choose to establish an LLC!
- The first step is to draft Articles of Organization. This document is filed with the North Dakota Secretary of State and outlines the basic required information of the LLC including its name, the registered agent, principal place of business, and purpose of the LLC. Once these Articles are filed, it takes the Secretary of State a few weeks to review, approve, and complete the filing process.
- The next step is to hold an organizational/first meeting. At this meeting, the members review and approve the Operating Agreement and Membership Agreement. These documents control the way the LLC and members conduct themselves. If there is any real property for the LLC to own, deeds can be executed at this time, conveying the property to the LLC.
- After organization, LLCs will hold at least annual meetings but often meet more frequently. Careful minutes should be recorded at each meeting in order to keep the business entity’s records complete.
Working closely with an attorney and accountant will help ensure the LLC is formed and operated correctly. You can find out more about the financial side of LLCs here.