Are you interested in learning how to start an LLC for FREE? I’ve written extensively on how to start your own LLC. I’ve helped tens of thousands of folks start an LLC for cheap. Now I’ve found a way that you can start an LLC for FREE. That’s right, you can now start an LLC for FREE!
Why pay an attorney or online service hundreds of dollars when you can literally start an LLC for FREE using my special link below. This article will walk you through step by step how to start your own LLC for FREE. We’ve even made a video on How to Start an LLC for FREE to make it even easier on you. So, let’s get started!
Why Start an LLC?
Maybe you are on the fence if it is worth your time to start and setup an LLC. If that’s you, check out this quick article which explains the benefits of starting an LLC: Why You Should Start an LLC.
Let’s Get Started
If you are ready to start an LLC for FREE, click this link to follow along: Start an LLC for FREE with IncFile . The next portion of this article will walk you through how to setup an LLC for FREE.
I discuss each option of the IncFile website as you go through to register your LLC. IncFile does offer some upgrade options which you may find interesting or helpful. Each person will need to decide if they are willing to pay a bit for these “extras”. Some will want to just go bare bones so they can get their LLC for free.
Remember, click here on this IncFile link to get started with Starting Your LLC.
1) Start an LLC – Which State?
The first step when starting your LLC is to decide in which state you’d like to create your LLC. There are pros and cons to starting an LLC in your own home state. For more info on this to save you money, check out this article: Can I Form an LLC in Another State?
The one trick to saving money when starting your LLC is that each state has a different LLC filing fee. This state LLC filing fee is unavoidable, and the only required expense you’ll have to undertake. If you are running an online business, it pays to pick a state which has lower filing fees.
2) Select Your LLC Base Package
If you’re following along with our IncFile example to start and LLC for FREE, then you’ll need to pick a base “package.” The Gold and Platinum packages have extra stuff you can consider, but these extra things are not required. Many of the extra things they charge for you can do yourself pretty simply. It is just a convenience factor you are paying for. Some folks choose these just to make it easier, but that comes at a cost.
To start an LLC for FREE, you need to pick the Silver base package. This does not have any of the frills, and is just bare bones.
3) LLC State Filing Time
If you are not in a huge rush, pick the free option. This free option takes 5 days instead of the rush 1 day. This will save you $50 if you are patient :-).
4) Starting an LLC – Company Information
In this section, fill out the name of the LLC you would like and just select “LLC” for the “Select Designator” field.
Pick the type of industry your LLC will operate in and then select the number of members.
Check out this quick video we created on potential risks of a creating a single member LLC. This is something you should consider when starting an LLC if you have an easy option to add a second member (you have a business partner or are married).
Next fill out the business purpose – this can be very generic :-).
5) Should I Use My Own Address When Starting an LLC?
The next step is to decide what address to use for your LLC. Many of us will be just fine using our home address. However, some folks which are concerned about privacy may not want their home address published for the world to see. Anyone can look up your LLC name and find the business address.
IncFile offers a service to “mask” your address by creating a “Professional Business Address” for ~$29 a month. If you are interesting in saving money when starting your LLC, then you will NOT want to pay $360 a year for this service.
I have used my own address for my LLC for years and have never had any issues. I suggest you just use your home address to save money, but the choice is yours.
6) Should I get the Premium Package When Starting my LLC?
If you want to start your LLC for free, then you obviously cannot pick this $100+ premium package :-). This premium package includes:
- EIN Number
- Operating Agreement
- Banking Resolution
- Express Shipping
- Business Contract Templates
While these are all helpful, you can get each one of these for free in just a couple of minutes:
- EIN Number – this is like a social security number for your business. It links your business income to you as a person so the IRS can ensure you are paying your business taxes properly. Save yourself money and get your EIN Number yourself in about five minutes here: IRS EIN Number
- Operating Agreement – this is recommended if you have more than one member in your LLC. This is basically just “rules” that each member needs to follow. You can easily google this, print one off, and get everyone to sign.
- Banking Resolution – this is very similar to the Operating Agreement. This outlines who can withdraw money from the bank. Same thing – google it, print it out, and get all members to sign.
- Express Shipping – have the patience to wait just a couple of days :-).
- Business Contract Templates – Are you noticing a theme yet? You can just google for any type of contract you are looking for, print it out, and voila! $100+ saved!
7) Starting an LLC – Defining the Members
As you’re following along with our IncFile example of how to start an LLC for free, the next step is filling out the member info. This is very self-explanatory. Just fill out each member of your new LLC and define them as an individual. You can also have a company or another LLC be a member of your new LLC, but this is a bit beyond the scope of this article :-).
In this example, I make myself as the primary member and own 90% of the company. I also setup my wife as a member and make her a 10% owner.
8) Should I Sign Up as a Registered Agent or Use a Service?
The net thing to decide is if you will be your own Registered Agent or if you will use a Registered Agent Service.
Did you create your LLC in the same state in which you live? If so, you can be your own registered agent and save yourself $100+ a year! Just fill out your name and address, and you’re good to go :-).
If you are creating an LLC in a state in which you do NOT live (to save yourself money on the filing fee or annual fee), then you are REQUIRED to setup a Registered Agent Service. All states require someone PHYSICALLY in the state in which the LLC is created that can receive mail during normal business hours.
If you are going the Registered Agent Service route, then I highly recommend Northwest Registered Agents. You can also use the IncFile Registered Agents if you find that easier. The choice is yours.
We also created a quick video which helps answer the question: Can I Be My Own Registered Agent? if you have more questions on that.
For more details – check out this in-depth article about if a Registered Agent is needed.
9) How to Get Your Own EIN Number for Free
IncFile is now again asking if you’d like them to setup an EIN Number for your for the price of $70. Since we are starting an LLC for FREE, the obvious answer is we want to decline this.
You can register for an EIN Number yourself with the IRS in literally five minutes here: IRS EIN Number . We will leave it up to you if $70 is worth five minutes of your time :-).
10) Setup Small Business Banking
Here IncFile will see if you are interested in setting up small business banking through one of their partners. These are usually big banks like Bank of America and the like. We here at MoneyAhoy.com recommend you use a local credit union for your small business banking needs. The choice is yours – this one doesn’t cost any extra if you’d like one of their partners to contact you.
11) Setting Up an LLC – Method of LLC Document Delivery
As one of the final steps, IncFile will ask you if you would like the LLC documents emailed to you or if you’d like to pay $25 to have them FedEx’ed to you. Since we are trying to start an LLC for free, we will go the cheap email route. Some folks like to have a physical document in their hands and are willing to pay a bit just to have that. Again, the choice is yours :-).
12) LLC Tax Strategy
This option is free if you’re interested in being contacted by someone to help you discuss everything. If you are pretty savvy with taxes, there isn’t much need to ask for help. But it cannot hurt to check “Yes” if you’d like to have someone reach out to you.
13) Business Licenses and Permits
Here IncFile can help you setup your business license as well as apply for any other type of licenses. The cost of this is $99. This is a great option if you’re looking to keep things simple for yourself.
If you’d like to keep this cheap (i.e. free), then head over to your local county or city website. They will tell you everything you need to know about business licenses and other types of licenses which are required.
Typically if you are running an online-only business, you don’t need any of these!
14) Order Review
This one is easy – just verify all your information is correct as you’re trying to start an LLC for FREE!
15) Payment Information
Here simply enter your credit/debit card information and you’re all set. Click “complete and pay” and you’re on your way to starting you very own business!!!
Video For How to Start an LLC for Free!
If you hate reading, or you’re just a “show me” type of person, check out this quick video which walks you through all of these steps to setting up your own LLC for free:
Final Thoughts
We hope you enjoyed this detailed post on How to Start an LLC for Free! If you have any questions or need any help, please don’t hesitate to reach out to us. We will be quick to help with whatever info you need to start your LLC with IncFile today.
