Legal paperwork isn’t exactly anyone's favorite thing, especially for new entrepreneurs who might feel a bit overwhelmed when it comes to filing an LLC for their business. If you've ever typed "steps to file an LLC in California" in Google, you probably know what I mean—it can seem like you’re navigating a maze of confusing terms and complicated instructions. Sound familiar?
And, if you're an entrepreneur on a budget and don’t want to hire a lawyer, don’t worry—we’ve got your back! We have a straightforward resource to help you handle everything step by step without spending a ton of money on just one thing.
In this guide, we’ll walk you through how to form an LLC in California using simple language and clear steps. By the end, you’ll see just how easy—and doable—it is to make your business official.
Step 1: Choose a Business Name for Your California LLC
The first step to starting your California LLC is choosing a name that represents your brand and complies with state laws. Your LLC name must be:
Unique
Not misleading or offensive
Not the same or confusingly similar to an existing business name or trademark
Before finalizing your choice, you must check the California Secretary of State’s business name database and ensure that your name isn’t already taken. A quick search here can save you from future legal headaches.
*Bonus*
We also recommend filing for a trademark to legally protect the name of your LLC– If you’d like to learn more about how we can assist you with the trademark filing process, feel free to explore our options here and check out our trademark packages. We're here to help!
This is not legal advice
Step 2: Appoint a Registered Agent for Your California LLC
Every LLC in California is required to have a registered agent. This is the person or business entity that will receive important legal and tax documents on behalf of your LLC.
They must be based in California and have a physical address (no PO boxes allowed).
Your registered agent can be you, a trusted friend, or a professional registered agent service.
Why do you need one? A registered agent ensures that you never miss a court summons or tax notice—and it helps keep your business compliant.
Step 3: File the Articles of Organization with the California Secretary of State
Once you’ve picked your business name and appointed a registered agent, it’s time to file your Articles of Organization with the California Secretary of State. This legal document officially establishes your LLC as a business entity in California.
When filing, you’ll need to include:
Your LLC name
Your business purpose
Your LLC’s management structure (member-managed or manager-managed)
Your LLC’s physical address
The name and address of your registered agent
The filing fee for the Articles of Organization is $70. You can file online, by mail, or in person. If you’re in a rush, expedited filing is available for an additional fee.
Once your Articles of Organization are approved, your LLC is legally formed!
Step 4: Draft a California LLC Operating Agreement
This step may not be required in every state, but California requires that you have an operating agreement in place. This document outlines how your LLC will be run and defines the roles of each member, their responsibilities, and how profits and losses will be distributed.
The operating agreement is a vital document that prevents confusion and disputes down the line. It’s a blueprint for your business structure and ensures that everyone is on the same page. Plus, it’s required by the California Revised Uniform Limited Liability Company Act.
Step 5: Get an Employer Identification Number (EIN)
An Employer Identification Number (EIN) is your LLC’s Social Security number for tax purposes. You’ll need an EIN to open a business bank account, file taxes, and even hire employees. Fortunately, applying for an EIN is quick and easy—it’s free through the IRS website.
Even if you’re a single-member LLC with no employees, it’s still a good idea to get an EIN. It keeps your personal and business finances separate, which is essential for good financial management and protecting your privacy.
Step 6: Comply with California Licenses and Permits
Depending on your industry, you may need to obtain certain licenses and permits to operate legally in California. Whether it's a health permit, building permit, or signage permit, California has specific regulations that vary by city and county.
Step 7: Maintain Good Standing with the California Secretary of State
Once your LLC is up and running, don’t forget that maintenance is key. In California, you must file a Statement of Information within 90 days of your LLC formation, and then every two years thereafter. There’s a $20 filing fee for this document, which updates the state of your LLC’s contact details, addresses, and other essential information.
Additionally, every year you’ll need to pay California’s annual franchise tax of $800 to keep your LLC in good standing with the state. Staying on top of your LLC’s paperwork and fees is essential to avoid penalties and keep your business compliant.
💰 Save Money on Attorney Fees and DIY Your LLC Today!
Now that you've had a chance to read the steps to forming your California LLC, we hope you feel more confident about the process and your ability to DIY! This list offers just a quick overview of what’s involved, there’s a lot more to consider!
That's exactly why we created the LLC Lift-Off Formula—a step-by-step guide designed specifically for entrepreneurs like you! Forget about paying a lawyer thousands of dollars or navigating the confusing landscape of online services like LegalZoom (we've all heard the horror stories, right?).
We will break everything down for you, so you will be able to set up your LLC on your own, easily and without spending your life savings.
Why Give LLC Lift-Off a Try?
💸 Save $$$: Skip the lawyer fees and expensive online services – this course is the most affordable way to start your business.
⏰ Do it on Your Time: No need to wait for someone else’s schedule. You can move as fast or as slow as you need.
📝 Get the Docs You Need: You won’t just be learning – you’ll also get the legal paperwork you need to protect your business from day one.
Tired of Putting It Off? Let’s Get Your LLC Up and Running!
If you’re done overthinking and ready to take action, LLC Lift-Off is the guide you’ve been waiting for. Whether you’re just starting or feeling overwhelmed by the process, this course is here to show you exactly how to launch your LLC – without draining your bank account.
Let’s turn your big ideas into a reality – without breaking the bank. LLC Lift-Off is your go-to resource to confidently start your LLC and set your business up the right way from day one.
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