General Guide to Company Incorporation in Illinois
Updated on Friday 12th January 2018
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With about 13 million residents, a flourishing and diversified economy, a fascinating history and lots of natural resources among many others, Illinois is the 5th largest state in the USA. Being distinguished as the land of Abraham Lincoln, a former president which is known for all the measures and directions he took to abolish the slavery, Illinois is also a suitable business location for foreign investors. We have prepared a general guide to company incorporation in Illinois, and additionally, our company formation specialists in USA can offer complete assistance when registering a business in this state, but also in others.
How to incorporate an LLC in Illinois
The business climate and the economic openings in Illinois are only two of the solid considerations why foreigners decide to set up companies and expand their activities in USA. The Secretary of State of Illinois, particularly the Business Division, is in charge of issuing the incorporation certificate for a limited liability company in Illinois. One of the important requirements connected to the company incorporation is the name of the business which must be verified before submitting any documents. Just like for any company formation in USA, a registered agent must be appointed for your LLC in Illinois, as he or she can represent the company from a legal point of view. We mention that in Illinois a company may act like a registered agent, taking into consideration the mandatory condition of having the establishments in the state.
Please keep in mind that, if you decide to enlarge your already registered company in USA and particularly in Illinois, it means that you register a foreign LLC in the state. All the terms and conditions of forming an LLC or any other type of company in Illinois can be solicited and explained by our company formation consultants in USA.
Create an operating agreement with your company in Illinois
Even if it is not a compulsory request, it is thought advisable to register and sign an operating agreement. This represents a legal document which comprises in detail all the aspects and information about the owners of the company, the purpose of the activities and the operations as an LLC in Illinois.
Register for EIN in Illinois
The Employment Identification Number represents the important code for company taxation purposes. The Internal Revenue Service in USA issues the EIN’s for enterprises in Illinois through the local offices, whether if they are established by local investors or by the ones from overseas. Entrepreneurs should be aware of the requirements of the EIN and should comply with the rules and regulations on taxation in USA.
Taxes for companies in Illinois
The state of Illinois imposes the following taxes for companies:
• the state income tax withholding;
• the unemployment insurance tax;
• the employee withholding tax;
• the Illinois sales tax.
If your business will hire staff and if the activities are related to the retail sector, then the fees mentioned above should be measured and considered. Still related to the taxes on companies, it is suggested to hire an accounting firm which will oversee the financial operations, transactions, registered incomes, the costs and the annual tax filings.
If you want to start a company in USA, and especially if you decide to hire personnel for your enterprise in Illinois, it is recommended to align with the legislation in this matter and keep in mind the following responsibilities:
• confirm that the future employees are qualified to work in USA and particularly in Illinois;
• register each new worker with the representative authorities;
• pay the related taxes for employment;
• respect the rights of the employees as mentioned in the work contract (payment, holidays).
For further explanations in this matter, we suggest you to address to our company formation consultants in USA.
Short economy overview
According to statistics, Illinois represents a powerful state due to a high level of economic productivity among the other states of USA. Springfield (the capital of Illinois), Chicago, Peoria, Arlington, Crystal Lake, and Champaign are the representative cities of Illinois and proper business destinations for foreigners. The agriculture and the manufacturing sector are the strong engines of the economy in Illinois, the state being recognized for the large soybean and corn production in USA.
If you start a company in USA and you need complete information about incorporation, we invite you to contact our team of company formation representatives in USA.