Open an LLC in California

Updated on Monday 15th February 2021

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Starting an LLC in California is not a complicated process if you respect the applicable regulations and receive the support of our company formation agents in USA. The LLC formation in California can be attentively handled and overseen by one of our specialists who can also represent your business in this state. In this article, you can find information about LLC setup in California.

LLC formation in California in 2021

The business rules for 2021 in California must be fully understood before entering the market, as a domestic or foreign entrepreneur. The limited liability company in California is the simplest business structure that can be registered without a minimum share capital. However, there are other rules to consider for LLC setup in California:
  • The business name must be verified in the first place, in order to avoid possible infringements.
  • An LLC in California needs a registered agent at the time of incorporation. One of our specialists can help.
  • The LLC formation in California starts with the incorporation with the local Trade Register, alongside the Patent and Trademark Office.
  • A local bank account is necessary for an LLC in California, for future financial operations.
  • Once the Certificate of Incorporation is issued, the tax registration in California is the next step to consider.
Starting a small business in California is a straightforward process that can be entirely overseen by one of our specialists. It is important to know the business rules before LLC setup in California and smooth the process as much as possible. This is where you can rely on the support of our USA company formation agents.

What is EIN and how can I obtain one?

The Employer Identification Number or the EIN is issued by the Internal Revenue Service and it represents the company code when tax registration is concluded. Companies in California must have an EIN before the start of the activities, so they can prove they are taxpayers. An EIN can be obtained quite easily, following the regulations in terms of documents and specific forms. Our company formation representatives can apply for EIN in California if appointed by the business owners. You can discuss all these aspects with one of our agents and find out more about starting an LLC in California.

Business licenses and permits for LLC setup in California

Starting a small business in California requires attention in terms of licenses and permits, depending on the activities you wish to develop in this state. For example, if you would like to open a construction company or a restaurant, you need to apply for specific permits and make sure you respect the requirements imposed by the laws. The environmental permits in California are also important and are required for businesses in sectors like construction, tourism, fishery, food, and beverages. The conditions for local and regional requirements can be discussed with one of our company formation agents in USA when starting a small business in California. We remind you that LLC formation in California can be easily done with the help of our specialists.

Short guide for starting an LLC in California

Below you can find useful information about how to start an LLC in California and the main steps you need to respect:
  1. Verify the business step before LLC formation in California.
  2. File the Articles of Association with information about the owners, activities, business address, and more.
  3. Choose a registered agent for your LLC in California. Our agents can represent your firm.
  4. Open a business bank account for your LLC in California.
  5. Obtain the EIN as a taxpayer in California.
  6. Apply for special licenses and permits for your LLC in California.
  7. Choose a policy insurance for your company in California.
  8. Hire an accounting department in California.
  9.  Obtain the company seal.
  10. Create a website for your business in California and also start a marketing campaign to promote your business.
Besides the classic steps of LLC setup in California, business owners need to pay attention to other steps too, like marketing and advertising. Below you can discover some facts and figures about the economy and business in USA:
  • Nearly USD 9,465 billion represented the total FDI stock for USA in 2019.
  • USA was the second-largest investor in the world, in the same year.
  • In terms of ease of doing business, USA ranked 6th out of 190 economies in the world, according to the 2020 Doing Business report.
Interested in starting a small business in California? We recommend you to contact our team of company formation agents in USA and solicit their support.