If you already have an LLC in another state and want an LLC in Illinois, then starting an LLC would be somewhat different. You must register as a foreign LLC. We have here a guide on how you can qualify and register for a foreign LLC in Illinois.
On this page, you’ll learn about the following:
- Forming an Illinois Foreign LLC
- Steps to Filing Illinois Foreign LLC Online
- After Forming Illinois Foreign LLC
Forming an Illinois Foreign LLC
A foreign LLC does not need to be a company from another country but a business formed under the laws of another state. To start a foreign LLC in Illinois, you need to register it with the Illinois Secretary of State.
Step 1: Choose Illinois Foreign LLC Name
Obtain a name reservation certificate and submit it with your foreign qualification requirements at the Illinois Secretary of State. Your LLC’s legal name outside of Illinois will be listed on the application, along with the name it will use in Illinois. Take note of the requirements for naming your LLC.
Step 2: Select Illinois Foreign LLC Registered Agent
You’ll need a registered agent to form a foreign LLC in Illinois and take note that an Illinois registered agent must have a local address. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries:
Step 3: File Registration of Illinois Foreign LLC
Fill out and submit a Foreign LLC Application for Registration form by mail to the Department of Business Services, Limited Liability Division, 501 S. Second St., Rm. 351, Springfield, IL 62746.
Include the following:
- LLC’s full legal name.
- A fictitious name or a DBA (only if your LLC’s legal name is not available); Attach a statement of adoption of the fictitious name signed by all LLC members.
- LLC’s principal office and mailing addresses.
- LLC formation state and date.
- Registered agent’s name and address in Illinois.
- Date when your LLC will start operations in Illinois.
- Credit card information on the last page of the form for the $150 application fee.
The LLC cost in Illinois, even for foreign LLCs will differ between online filing and by mail.
Step 4: Determine How Your Illinois Foreign LLC is taxed
Foreign LLCs are also subjected to the Illinois Business Privilege Tax, and they must file LLC annual reports each year.
Note that forming a foreign LLC would be good for your business as you can legally operate in a different state thus reaching a larger market and opening more opportunities for higher profit.
Steps to Filing Illinois Foreign LLC Online
When you are registering for the foreign LLC in the State of Illinois, you will have to submit your Application for Registration of foreign LLC with the Secretary of State which costs $150. After approval, you will receive a Verification Certificate from the State Office. The State does not offer online filing options for foreign LLCs. We have explained the aspects you need to cover when you apply for Illinois Foreign LLC.
- Download the Application Form PDF (LLC-45.5) on your computer system.
- Read the information mentioned in the application carefully and proceed to fill in the required details.
- You are required to attach the Certificate of Good Standing or Existence issued by proper authority in the State of original jurisdiction. It costs $25.
- Make the check of $150 payable to the Secretary of State.5. Attach all the documents, i.e., the application form, Certificate of Good standing or existence, and the filing fee and mail it to the following address, Secretary of State, Department of Business Services, Limited Liability Division, 501 S. Second St., Rm 351, Springfield, IL 62756.
After Forming Illinois Foreign LLC
Here are added things you need to accomplish after forming your Illinois Foreign LLC
- Obtain Business Licenses. Find the business licenses you’ll need using the Business License Search.
- File LLC annual reports and Business Privilege Tax.
- Pay State Taxes like sales tax; you’ll need an EIN for your LLC.
It is convenient plus easy to file for the foreign LLC if you are doing it online. The steps are very easy and that’s why it’s possible to go along with the steps and form the foreign LLC in Illinois.
How Much Does It Cost to Register a Foreign LLC in Illinois
To register as a foreign LLC in Illinois, you can file through mail by paying a filing amount of $150 to the Illinois Secretary of State.
If you’re wondering “How Much Does It Cost to Register a Foreign Limited Liability Company in Illinois?” this article is for you. While an attorney can provide you with advice on the process, their fees can be prohibitively high. For those on a tight budget, you can consider a service provider such as MyCompanyWorks, which can provide foreign qualifications for less than $100. Their success rates are high and their customer feedback is outstanding.
You can create a foreign LLC in Illinois for the same price as a domestic one. In Illinois, you will need to provide a registered agent, principal office address, and mailing address. You will also need to pay a $150 application fee to become a foreign LLC. The cost of the services will vary depending on their level of expertise and service. In addition to paying the fee, you will also have to file annual reports with the Illinois Secretary of State. The benefits of registering a foreign LLC in Illinois are many. First, you can access a larger market and earn more profit.
Second, you’ll need to choose a registered agent. You need to choose an agent who resides in Illinois with a physical address. The registered agent will receive and process any legal documents sent to your company. Additionally, a resident agent is vital in making sure you’re receiving important paperwork from the IRS. Lastly, you’ll need an operating agreement. In Illinois, operating agreements are recognized as governing documents.
The Illinois Secretary of State accepts filings by mail, in person, or online. You can also check the status of an LLC online. You’ll also need to prepare an Operating Agreement (OS) for your LLC. This document is the backbone of the company and outlines the operations and rights of each member. An operating agreement helps you avoid conflicts and miscommunication among members. If you want to create an operating agreement, you can use a template.
Assumed names have to be renewed every five years, so be sure to register under a name that matches your business. A name that is not registered in Illinois will not be recognized as a valid LLC. The fees for these names are also required to be renewed annually. If you fail to renew your assumed name, there’s a $100 late fee. The fee for changing your name or cancelling it altogether costs an additional $5.
In order to get the best price on your limited liability company registration in Illinois, you should choose a company that offers a free registered agent for a year. Alternatively, you can hire a service to form your LLC for you. The company’s service should be easy to use and inexpensive. The cost of setting up an LLC in Illinois is not the same in every state, so be sure to compare prices before hiring a service.
If your LLC is formed under the laws of another state, it is referred to as a foreign LLC in Illinois.
Businesses incorporated outside of the state where they operate must have “foreign qualifications” issued in the other states.
A domestic LLC is a company registered in Illinois as an LLC. The entity type that has a physical presence in another state is a foreign LLC.
Starting a foreign LLC in Illinois does not require a lot of documentation or tasks. However, it is always good to seek help from a professional when it comes to running your business. Get a professional registered agent and form your foreign LLC anywhere without a hassle.