How Long Does It Take To Get An LLC? (2024 Update)

Well, you can only find the exact time. It totally depends on the state you live in and the type of LLC you want. Therefore, I have outlined each step of forming an LLC below with the average timeframe. Here are the Steps:

Step 1: Name Check and Reservation

The first step is to choose a brand name for your business that complies with the state’s LLC naming requirements. The name must not conflict with any existing LLC or registered trademark. Some states also require specific keywords like “LLC” or “Limited Liability Company” to be included in the name.

The name check process typically takes a few minutes, and you can complete it online on your state’s Secretary of State website. If the name is unavailable, you may need to revise it until you find a known name.

Once you have decided on a name, reserve it until you complete the rest of the formation process. Name reservation rules vary from state to state, but you can usually book a name for up to 120 days before you file your LLC formation documents. The name reservation process typically takes less than an hour.

Step 2: File Articles of Organization

The next step is to create and file your Articles of Organization with the Secretary of State. The Articles of Organization are a legal document. It establishes your LLC’s existence and outlines the structure and purpose of your business.

The amount of time this step takes may vary, depending on the state where you’re forming your LLC. In some states, you can file the Articles of Organization online, and the process takes only a few minutes. In other states, you may need to print and mail the form, which can add a few days to the process.

It would help if you allowed a week for your Articles of Organization to be processed and filed by the state. Some states offer expedited processing with an additional fee. Thus, it can reduce the processing time to one to two days.

Note that the filing fee for this step also varies by state, typically ranging from $50 to $500.

Step 3: Obtain an Employer Identification Number (EIN)

It is a unique nine-digit number. IRS issues this number to identify your business for tax purposes. You’ll need an EIN to open a business bank account, file taxes, and hire employees.

You can obtain an EIN online for free on the IRS website. The application process takes only a few minutes, and you will receive your EIN immediately upon submitting your application.

Step 4: Operating Agreement

An operating agreement is a file that is related to the internal structure, management, and ownership of your LLC. It is not typically required by law, but having one is highly recommended as it helps to formalize agreements among LLC members, outlines ownership percentages, and provides guidance on how the business will operate.

Drafting an operating agreement may take a few hours to a few days, depending on the complexity of your LLC’s structure. You can either create your operating agreement from scratch or use a template. Many online business formation services offer templates that you can use as a starting point for creating your customized operating agreement.

Step 5: Business License and Permits

Depending on the nature of your business, you may need to obtain specific business licenses to operate legally in your state. Getting a business license can take a few days to a few weeks, depending on the regulatory requirements and processing times in your area.

We recommend conducting thorough research to determine the licenses and permits required for your business and the estimated processing times. You can typically find this information on your state’s Secretary of State website or through organizations like the Small Business Administration (SBA).