How to form an LLC in Missouri

In addition to its many other advantages, a limited liability corporation (LLC) provides small enterprises with protection from legal responsibility and favorable tax treatment. 

Follow these easy steps to have your limited liability company established in the state of Missouri after you’ve decided that an LLC is the most suitable business structure for your requirements.

Note that you have the option of forming the limited liability company (LLC) yourself, or you may hire a professional company formation agency to do all of the legwork on your behalf.

1. Name Your Missouri Company

When choosing a name for a limited liability company (LLC) in the state of Missouri, there are two primary rules that must be followed:

• The name of a limited liability company (LLC) must be able to be differentiated from the names of other business organizations already registered with the Missouri Secretary of State.
• The name of a limited liability company (also known as an LLC) is required to include one of the following words or abbreviations: “Limited Liability Company,” “Limited Company,” “L.L.C.,” “LLC,” “L.C.,” or “LC.”

Verify that the name you want to use for your LLC is available.

Now is the time to check and see whether the name you’ve picked for your Missouri LLC is available for usage there. Carry out a check of the Business Name Database maintained by the Missouri Secretary of State to ascertain whether or not another company has already staked a claim to the name or one that is too similar.

Make a name reservation for your Missouri LLC

Once you have a Missouri-approved LLC name, reserve it with the Secretary of State so another business organization doesn’t snag it before you submit your Articles of Organization and officially incorporate your LLC.

You have the ability to reserve your name for a period of up to sixty days by filing an Application for Reservation of Name.  The application may be submitted either electronically or via the mail, and the cost to submit it is $25.

2. Choose a Missouri registered agent

A registered agent in Missouri is required of every limited liability company operating in the state. If the limited liability company (LLC) is taken to court, this refers to a person or company that has agreed to accept service of process on its behalf.

It is possible for the Registered Agent to be either a resident of Missouri or a business entity that is permitted to conduct operations in the state. It is required that the Registered Agent have a real, physical address in the state of Missouri.

What does a Missouri Registered Agent do?

A Registered Agent receives tax forms, legal paperwork, lawsuit notices, and government communication on your business’s behalf. Consider the role of your registered agent as that of the point of contact for your company with the state.

Who is eligible to serve as a Registered Agent?

A Registered Agent in the state of Missouri must either be an individual who lives there full-time or a company that is permitted to carry out business in the state of Missouri, such as a Registered Agent service. You have the option of selecting anybody who works for the organization, including yourself.

3. Publish your company’s articles of incorporation.

Your limited liability company (LLC) will be formally recognized after you have a document called the Articles of Organization that lays forth fundamental information about your business. Because this form serves as the legal registration for your company with the state, it is essential that all of the details be accurate.

What should be included in a company’s Articles of Organization?

When completing the Articles of Organization for your Missouri LLC, you are required to give the following information:

• LLC’s name
• If the term of the LLC is permanent or restricted.
• Address of the main office of the limited liability company Name and address of the registered agent for the limited liability company
• Location where the Secretary of State should send notifications to the limited liability company (LLC) through mail.
• How the Limited Liability Company (LLC) will be run: by its members or by its managers
• Whether or whether the limited liability company will provide professional services
• Name and address of each person who organized the limited liability company, as well as the name and address of at least one member or management who has direct knowledge of the activities of the limited liability company.

Submission of Your Organization’s Articles of Incorporation

You will be required to submit your Articles of Organization, as well as pay the filing cost of $105 for a domestic limited liability company. When forming a limited liability company in Missouri, foreign organizations are required to submit an Application for Registration of a Foreign Limited Liability Company and pay the standard fee of $105 for doing so.

You have the choice to print the blank form and fill it out at a later time, despite the fact that it was supposed to be completed online. In either scenario, the paper has to be signed and then addressed to the following addresses:

Corporations Division, 600 West Main Street, Room 322 in Jefferson City, Missouri 65102; postal address: P.O. Box 778

In addition, you may submit them digitally using the Missouri Business Registration Online Portal.

4. Obtain a Certificate From the Government of Your State

After the formation paperwork of the LLC has been submitted and authorized, the state will send you a certificate that proves the LLC’s official existence in response to a written request for a copy together with the appropriate amount of postage.

With this certificate, the limited liability company will be able to get an Employer Identification Number (EIN), as well as business permits and bank accounts.

5. Draw up your business Operating Agreement

Beginning in 2018, members of a limited liability company in the state of Missouri are required by law to establish a formal operating agreement. 

The Operating Agreement is the basic agreement that outlines the rights, powers, responsibilities, and obligations of the members of the LLC both among themselves and to the LLC itself. It also establishes the members’ liabilities and obligations.

The Operating Agreement is not submitted to the Secretary of State since it is only intended for use inside the organization.

If an existing or newly created limited liability company (LLC) does not choose to adopt an operating agreement, the company’s articles of organization, bylaws, operating agreement, and/or its member control or limited liability corporation agreement will, collectively, become the company’s operating agreement.

The following items should be included in the operating agreement:

• Describe the business structure of the limited liability company.
• Determine the specific duties and commitments that each member of the limited liability company (LLC) has 
• The operational structure of the LLC.

Significant legal and logistical challenges might await a limited liability company (LLC) in the absence of an operating agreement that defines the precise responsibilities of its members.

6. Obtain a tax EIN number

A federal employer identification number, commonly known as a tax ID number, will be required of many limited liability companies (LLCs). 

An Employer Identification Number (EIN) identifies your company to the Internal Revenue Service (IRS) and is required in order to pay federal employer taxes, open a bank account (such as Bluevine or Kabbage), or recruit staff.

On the website of the Internal Revenue Service (IRS), which is accessible without charge, you may check to see whether you need an EIN and submit an application for one online. Single-member limited liability companies, which are an exemption to the rule that most firms are required to acquire an EIN, may instead use the owner’s Social Security number.

Business Licenses

Depending on the kind of company they run and where they are located in Missouri, certain limited liability companies (LLCs) may be needed to get one or more business licenses or permits from the state or from their respective municipal governments.

Check with the Missouri Division of Professional Registration and do research on licenses offered by various industries to see whether or not your sector has any specialized prerequisites.

Get in touch with the municipal or county clerk where your limited liability company’s registered office is situated to learn more about obtaining the necessary licenses.

7. Annual Renewals

Even though LLC members in Missouri are not required to submit yearly reports or pay income taxes, there may still be certain important tax duties that you should be aware of.

For example, limited liability companies that are taxed as partnerships are required to submit the Missouri Partnership Return of Income (Form MO-1065) in addition to the federal Form 1065.

What are the costs and the next steps?

Costs

The Articles of Organization may be filed electronically with the Missouri Secretary of State for a fee of $50, while hardcopy filings cost $105 each. Those who file their taxes online are required to pay an extra 1.25 dollars. The Missouri Secretary of State will charge you $7 to reserve the name of your limited liability company.

Consider the following additional fees that may be incurred by an LLC:

• Reserving a Name for an LLC
• Copy of certified documents 
• DBA (Doing Business As) name
• Receiving Your Certificate of Existence

Next Steps

LLC registration offers you a legal business basis. Companies should make it a priority to maintain their limited liability company in compliance with state regulations and in an active position on the state’s website.

In addition, having a registered limited liability company enables you to perform the following:

• Obtain any permissions or licenses required to run your company, such as those issued by the health department, the zoning department, the department of home occupations, the department of professional licensing, and others. Some states need a seller’s permission to conduct sales
• Register your company with the department of revenue in your state.
• Create a bank account for your LLC.
• Create a credit card account for your company.
• Invest in insurance coverage for your company.
• Create a trademark to protect both your company’s name and its logo.

Solo setup LLC or use a pro service?

To establish a limited liability company (LLC), you are not required by law to consult a lawyer. The majority of states enable the establishment of LLCs via the process of registering the business entity on the website of the secretary of state and with the Internal Revenue Service (IRS).

If you are not acquainted with the process of forming an LLC, your best bet may be to find a professional LLC provider so that you can be certain that the creation will go smoothly and quickly.

When entrepreneurs start a new firm, they may save startup costs and save valuable time by using a professional agency that specializes in company forms. They can take care of the things that you may not have time to think about for a price ranging from $50 to over $500, and some examples of such things are as follows:

• Developing an operating agreement for an LLC that details your company’s who, what, when, where, why, and how, and putting it into writing (required in some states).
• Putting together articles of incorporation that identify the management of the LLC, the registration agent, and the date the company was formed.
• Taking up the role of registered agent for your firm.
• Keeping careful records in the event that there are investigations or litigation.
• Payment of filing fees and registration with the appropriate parties.
• Registering the name of your firm and ensuring that the name you choose for your limited liability company is accessible.
• Finishing up and turning in all of the necessary legal and formation documentation.

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