Form California LLC- Limited Liability Company

Form a California LLC

A California LLC enjoys both the pass-through taxation of a partnership business and the limited liabilities of corporations. The government of California issues a high franchise tax compared to other states. The minimum franchise tax per year in California is $800. The franchise tax is directly proportionate to the revenue of your LLC. As the revenue increases, the franchise tax also increases and vice versa.

California Limited Liability Company Minimum Requirements

The minimum requirements to form a California Limited Liability Company are:

• Company name
• Permit and license
• State LLC filing fee
• State tax filing fee
• Registered agent
• Annual report
• Articles of Organization
• Operating Agreement

The initial step to file an LLC in California is to find a legal name for your organization that ends with any of the following suffixes: Limited Liability Company, Ltd. Liability Co., LLC, L.L.C. or LC. The name of your LLC has to be unique from any legal business filed with the California Secretary of State.

The LLC formation laws of California say that the registered agent for an LLC in California must be a resident of the state or a business that has filed a certificate pursuant under Section 1505.

The LLC filing fee in California is $70 and covers the filing of the Articles of Organization that hold the names of the members of the organization, registered office, and stock prices.