How to Start an LLC in Louisiana: If you’re interested in setting up an LLC in Louisiana, you’ve come to the right place. Having an LLC not only protects your personal assets but also is less complicated than other business structures. Louisiana laws make it easy to establish your LLC in Louisiana. On this page, You’ll find all the steps that must be taken to ensure that your Louisiana LLC has been correctly established. We recommend you read the whole article very carefully word by word, don’t miss anything 🙂
On this page, you’ll learn about the following:
- How to Start an LLC in Louisiana
- After Starting Your Louisiana LLC
- Louisiana Foreign LLC
- Louisiana LLC Formation Review
How to Start an LLC in Louisiana
An LLC or a Limited Liability Company is a hybrid business entity combining a corporation’s characteristics with a partnership or sole proprietorship. It separates your personal assets from your business assets, thus giving you personal asset protection.
If you wish to start an LLC in Louisiana, mainly you have to file your Certificate of Formation with the State and pay a filing fee of $100. There are some more steps to follow to get your LLC established in Louisiana. The following steps explain everything you need to create your LLC in Louisiana in 2022. Let’s get started!
Step 1: Decide a Name for Your Louisiana LLC
The very first step while forming an LLC in Louisiana is to give a proper name to your LLC. Before you name your business, you must know that the name should be easy to remember, available in the state, and follows all the LLC naming guidelines.
Louisiana LLC Naming Guidelines
There are a few specific requirements all the LLCs in Louisiana have to follow while naming their Company. Some of the most important requirements are as follows:
- Your business name should be available and no other existing business in Louisiana can have the same name. Perform a name search from the below-mentioned source to be sure your name isn’t taken already.
- “Limited Liability Company”, “LLC”, and “L.L.C.” – any one of these has to be used as a suffix in your business name.
- You cannot use any name for your business that is confusing or misleading. Terms such as “Treasury”, “State Department”, “FBI”, “CIA”, etc. shouldn’t be included.
- Terms like “Bank“, “University“, “Attorney“, “Doctor“, etc can be added only after the additional requirements by Louisiana State Government are fulfilled.
- (Optional) It’s better to name your business something for which your desired domain is available.
|Important Links –||Submit Offline Form to –|
|Louisiana Business Entity Search – Online Search|
Name Reservation Form – PDF
Name Availability Standards – Guidelines
Louisiana LLC Name Search – Instructions
P.O. Box 94125
Baton Rouge, LA 70804-9125
Reserve Business Name for Future
If you do not wish to file your LLC right now but want to hold the name you have decided then you can reserve your LLC name for 60 days. To keep the name, you have to file a name reservation application and pay $25 to reserve your name with the Louisiana Secretary of State.
Doing Business As (DBA) or Trade Name
Once you have a legal name for your LLC, you can register it. However, it is not mandatory. You can, instead, use DBA, Fictitious Name, or Trade Name. In that case, you must register your name with the Louisiana Secretary of State by submitting an Application for Reservation of Trade Name in Louisiana along with the filing fee of $75.
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Tailor Brands – ($49 + State Fees) Online LLC Setup
Tailor Brands offer DIY website templates and incredible logo designs. If you plan to get a website then it is wise to have a “.com” domain for your business but these days you can also use other TLDs like “.company”, “.xyz” etc. With Tailor Brands, you can get everything you need at an affordable price.
It is not legally mandatory to use the word LLC in your domain name or email. If you want you can use it. However, it is recommended not to use LLC in the domain name. A domain name should be short and easy to remember.
Step 2: Assign a Registered Agent in Louisiana
The second step to forming a Louisiana LLC is to appoint a Registered Agent. A registered agent is a person or business entity that will act or work on your LLC’s behalf. This person or business will receive important tax forms, legal documents, all notices of lawsuits, and other official government correspondence in Louisiana. Hence, hiring a competent Louisiana Registered Agent for your LLC is necessary.
Make sure your registered agent is a resident of Louisiana or has a physical street address. Their business address or the principal address should be in Louisiana. Most LLC formation companies also provide registered agent services. Below are two great LLC setup services, even if you buy their cheapest plan (normally $49/year) you also get registered agent service and other services at a reasonable price.
These LLC formation services are recommended registered agent services as they are authorized to conduct business in Louisiana. Some LLC formation services offer standalone Louisiana registered agent services. You can purchase only Registered Agent services from them without purchasing any other LLC formation services.
A person who is above 18 years of age and has a physical address in the state of Louisiana can be a Registered Agent. A Registered Agent can be an independent person or can be a business entity. One who is responsible for handling all the legal documents.
Yes, you can be your own registered agent if you are a resident of the state of Louisiana and you are above 18 years of age. To become a registered agent you must have the authority to conduct any type of business in Louisiana.
Registered Agent Consent Application
In Louisiana, there is no separate Consent Letter to be produced to the Secretary of State. At the time of change of Registered Agent (or the name or address), the new Registered Agent has to sign the consent letter. It comes with the Application form to Change the Registered Agent. The filing fee of $25 should be paid for it. For more information on the same, read our guide on Louisiana Registered Agent.
Step 3: File Articles of Organization in Louisiana
The third and most important step in forming a Louisiana LLC is to file the Articles of Organization. This Louisiana Articles of Organization is a legal document needed to officially register your business with the Secretary of State. It costs $100 (by mail and online) to file your formation certificate in Louisiana. (Read more on LLC cost in Louisiana).
The Certificate of Formation includes details like the name of the LLC, registered agent’s name, address, employees’ details, and structure of the company (member-managed or manager-managed). Before hiring employees in Louisiana LLC, one should know about the rules and regulations thoroughly. Also if you are expanding your existing business (an LLC) to Louisiana then you need to register as a Louisiana Foreign LLC.
How to File Online
Go to the Secretary of State Online Service. You will get the online service page. If you are already a subscriber then click on the “log in to Subscribe Account” option and log in with your credentials. If you’re not subscribed, then you sign-up by clicking on the “Sign-up for Online Filing” button below. Read more about the Louisiana Articles of Organization for online registration.
How to File by Mail
If you prefer filing real-life forms for your Louisiana LLC registration, then you can download Domestic LLC Formation Form. Read the form thoroughly, fill it out, and mail it to the following address,
State of Louisiana Secretary of State
P.O. Box 94125
Baton Rouge, LA 70804
Processing Time: It takes 2 to 3 business days to form an LLC in Louisiana. By paying an additional fee, it can be expedited.
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Tailor Brands – ($49 + State Fees) Online LLC Setup
Step 4: Create Your Louisiana LLC Operating Agreement
Moving on to the fourth step, filing your operating agreement. An operating agreement is a document that legally outlines the proprietorship and operating procedures of your LLC. This document is vital as it ensures that all business owners are on the same page regarding how they operate, thus reducing future conflicts.
When it comes to filing a Louisiana LLC Operating Agreement, the state does not require you to have a comprehensive operating agreement, but it is ideal to have one that contains all the details of your business operation. Like Louisiana, there are other states that do not have a mandatory rule to file operating agreements. But, this document would be useful if you decide to dissolve Louisiana LLC later. Hence, having an operating agreement may not be necessary but it is definitely ideal.
Recommended: You can get operating agreement templates at only $29 with TailorBrands. You don’t need to worry about drafting it as they will take care of it on your behalf. We recommend using –
Tailor Brands – ($49 + State Fees) Online LLC Setup
Step 5: Filing a Louisiana LLC EIN
The Employer Identification Number or, simply, the E.I.N. is a nine-digit number given by the Internal Revenue Service (IRS) to make it easier to identify the type of business for tax purposes and taxes in general. The EIN is necessary for any active business or any form of business for that matter.
EIN is needed when the LLC hires employees. Hiring employees in Louisiana LLC requires following specific rules and regulations. On the other side, EIN for Louisiana foreign LLC should be obtained if your LLC is based in other states.
To obtain EIN (aka FEIN) one has to fill up a form (Online or by mail) and submit it to the IRS. Enter details of your LLC, and finally complete the form and send it to the address given. You can also get an EIN Assistant who can help you with the process.
Mail to: Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999
Fax: (855) 641-6935 | Fee: Free
Recommended: This hassle will be reduced when you hire an LLC formation service. They take care of obtaining EIN and all other things for your LLC. We recommend using –
Tailor Brands – ($49 + State Fees) Online LLC Setup
Note: You don’t need a Social Security number when getting an EIN. You can proceed to fill out I.R.S. Form SS-4 and leave section 7b blank. You must then call the IRS at (267) 941-1099 to complete your application. Agents or employees will help you with that.
Congratulation, you are now done with all the necessary steps to form your Louisiana LLC. If you do it yourself it should take you a long time to properly understand and do all the steps.
However, if you use TailorBrands it should take fewer hours and you always have live chat with expert support for any help you need.
After Starting Your Louisiana LLC
After forming your LLC, there are still some things that you will need. Take note of the following:
- Get a company business bank account
- File Louisiana business permits & licenses
- Get general liability insurance and professional liability insurance with coverage for employees
- File a Louisiana LLC annual report or biennial report
This page has provided you with steps to LLC formation and filing processes. You now have to remember upcoming filing deadlines and filing fees or filing costs, including fees for late filings to make sure your LLC is up-to-date.
Cost of Louisiana LLC
Forming an LLC in Louisiana is no doubt more cost-effective than other structures of a business. There are some fees and charges one has to bear to form a Louisiana LLC. LLCs have pass-through taxation. Hence, your Louisiana LLC won’t bring you a massive tax burden. Here are some of the fees and taxes are needed to be paid while forming an LLC in Louisiana,
|Fees/Tax||Amount to be Paid|
|Name Reservation Fee||$25|
|Name Reservation Fee (within 24-hours)||$30|
|Name Reservation Fee (within 2-4 hours)||$50|
|Articles of Organization Fee||$100|
|LLC Annual Fee||$30|
In Louisiana, an LLC name reservation is not mandatory. You can register your LLC name at the time of registering your LLC. If you wish to hold the name for some time without registering your LLC, then you can do that online. Your LLC name will be reserved for 60 days without registering your LLC. It can be renewed by paying $25 for another 30 days (2 times).
In Louisiana, an Annual Report has to be produced every year. It costs $30. Also, the State of Louisiana requires to pay a Sales Tax of 6.25%. Read our guide on LLC costs in Louisiana for more information.
Louisiana Foreign LLC
If you are interested in forming a Foreign LLC in Louisiana then you need to file the Certificate of Foreign LLC to the Louisiana Secretary of State. Foreign LLCs allow you to operate your business in more than one state. Along with the Certificate of Foreign LLC, you need to submit some more documents like the Certificate of Good Standing, etc. to the Louisiana SOS to form your foreign LLC in Louisiana. To know more in detail, check out our guide on Louisiana Foreign LLC.
Reasons to Start an LLC in Louisiana
The benefits of Louisiana LLC can be many, which may vary from business to business. Exports in this state have contributed $65 billion to their GDP. For every business, the state has something to offer, which is attracting the LLCs. Some of the benefits are discussed below.
The growth is invincible
The per capita income of the members of an LLC is higher than in many other states. The reason behind this is the growing nature of the industries which cater proper opportunities to LLCs. This growth is beneficial for many LLCs and job seekers, which makes it very easy for the LLC to find competitive staff for their companies.
The Law of personal liability is framed appropriately
We have seen that in the LLC, the member’s personal assets are not at all affected. But if you will see the Louisiana LLC, then the laws are much better framed. It states that the member is not personally liable for any losses, but there are three conditions in which he/she has to pay for the losses. They are:-
- If any member is committing a mistake out of his/her carelessness and it costs a huge loss in the LLC. Then the member is liable to pay for it.
- If the member is not following the rules that are laid under their duty of loyalty, then also they are liable for the losses.
- If there is an intentional fraud committed from the side of a member partner, in that case, they have to pay for the losses.
Small Business Loans and guarantee program
For small businesses, the Louisiana government is taking some major steps and protecting them by leveraging loan programs. This way, forming a Louisiana LLC will be easier for businesses with less capital. Moreover, they have also started a guarantee program in which they help out the small businesses in every possible way to let them thrive well in the state.
Louisiana Industrial Ad Valorem Tax Exemption Program
The ITEP program of the Louisiana state government is providing a 100% return on property tax during the initial period of a business. This period is generally for 5 years but can also extend more if required by an LLC. Read more on the Louisiana classification of LLC tax.
3 Best Businesses in Louisiana
Are you all set to form an LLC in Louisiana? If yes, then it can be a life turning decision. But wait before starting a new business in the state; you need to have complete knowledge regarding the state’s present industries and are well functional. If you don’t know, then you should read the list of top businesses in the state.
Oil Refineries and Natural Gas Production
The oil refineries present in the Louisiana state are the maximum in the whole country. Louisiana caters for 1/5th of the country’s total oil consumption by producing 3 million oil barrels in a day. The revenue generated by the oil industry has accounted for more than 7.5%of the total state GDP.
Natural gas production is also increasing in the state, the proof to which is growing networks of pipelines. Fulfilling 1/4th of the country’s natural gas demand, the pipeline of natural gas in the state has now increased to around 112,000 miles which is pretty huge.
Out of the total seafood that people consume in the USA, 25% is supplied by Louisiana. The Gulf of Mexico in the state has made the fishing industry a major part of the state’s economy. The fishing and seafood businesses have now started contributed $331 million every year as their revenue.
Sugarcane and Sweet Potato Production
If you look at Louisiana’s agriculture sector, the two major crops named sugarcane and sweet potato, are primarily grown in the state. Both of the crops rank second in the country in terms of both quantity of production and quality. Out of 60% of the state’s total cropping portion of agriculture, around 40% comes from these two crops. Other crops and livestock provide the rest of the income.
Some small businesses that can be profitable according to the business environment of the state are mentioned below.
- Transcription related business
- Digital marketing agency
- Pet photography business
Louisiana LLC Formation Review
Time needed: 5 minutes.
Just to recap, here are the easy steps again when forming an LLC in Louisiana. Click on the steps in this list to read the full detail.
- Name your Louisiana LLC
The first thing you must do is to choose a company name, which should be unique, easy to find, and available in the state.
- Choose a Registered Agent
In Louisiana, it is mandatory to select a registered agent for your LLC. Get a professional Registered Agent from LLC formation services like NorthWest Registered Agent to get things done hassle-free.
- File a Formation Certificate
Filing a formation certificate is necessary when forming an LLC in Louisiana. Depending on the state, it could be called any of the following: Certificate of Formation, Articles of Organization, or Certificate of Organization.
- Create an Operating Agreement
An operating agreement is not a strict requirement in Louisiana but something encouraged when you start an LLC to avoid future conflicts.
- Get an EIN
The Employer Identification Number (EIN), also called Federal Tax Identification Number, serves to identify a business entity like a social security number but for a company.
How Fast Can I Form an LLC in Louisiana
The filing process can take up to 2-3 business days for Louisiana LLC. This procedure can be expedited by paying additional payment to the state.
If you have a small business in Louisiana, you may be wondering, How Fast Can I Form an LLC in Louisiana? If you are planning to incorporate your business, you will need to file articles of organization and initial report with the Louisiana Secretary of State. There are some fees that you must pay, and if you choose the online option, they will be even lower. Another cost you will have to pay is the operating agreement, which lays out how the LLC will function. Operating agreements also protect the interests of all parties.
While forming an LLC in Louisiana, it is important to make sure you use a unique name. If you are planning on using your business name for other purposes, you may want to consider using an assumed name. This option means your LLC name will remain the same, but your business will operate under a different trade name. Make sure that your trade name matches the name of your business, as it will be listed on your state’s records.
The Louisiana Department of Revenue taxes LLCs in the same manner as federal companies. As an LLC owner, you will have to pay unemployment insurance tax and other state taxes. You can also file an annual report with the state. Many companies charge annual fees, so if you want to keep track of all your business taxes, you should consider an annual service. If you’re worried about the paperwork, you can use an online service. You can find the best option in Louisiana by researching online.
In addition to filing articles, you’ll also need to select a registered agent. The registered agent will be the entity’s legal representative in Louisiana. This person will receive and respond to legal mail on your behalf. The registered agent is required in any state that allows LLCs to conduct business. It is important that you have a registered agent for your LLC because the name of this individual should be listed on the Articles of Organization.
There are two ways to file articles of organization in Louisiana: online and by mail. If you prefer to file documents online, you can choose the quickest option – Rush Processing. This option will allow you to receive your documents within a couple of days. The processing time depends on the state of your LLC, so make sure to factor in the time required for your paperwork. You can also pay an expedited fee if you want your LLC to get approved faster.
If you don’t want to deal with the hassle of filling out forms and researching business names, you can use the services of an attorney or accountant to assist you in this process. These companies offer free classes and a great deal of information about the LLC formation process. It is also important to understand that Louisiana’s laws are complex, but the state’s regulations are designed to make it easier to understand. When you use a qualified LLC organizer, you can expect the process to be a smooth one.
If you are a resident of Louisiana, then you can file your LLC by yourself. However, it is always worth having a professional than doing it yourself to handle legal complexities, paperwork, and other documentation.
Apart from the formation fee of $100 (domestic LLC) and $150 (foreign LLC), LLC costs in Louisiana include $30 for Annual Reports every year. LLCs are liable to pay sales tax of 4.45% every year.
It takes 2 to 3 business days to get an LLC in Louisiana. With an additional fee, it can be sooner. If you hire a professional LLC service, then it might take less than that. We recommend Tailor Brands which has impeccable turnaround time.
Every year all the LLCs have to submit an Annual Report and pay $30 to the Louisiana Secretary of State and renew the LLC. It is mandatory to renew your LLC every year.
Generally, for the LLCs, it is a default tax structure. Once you will obtain the EIN, you will get the various tax structure options to select. Sometimes LLCs choose S Corp to reduce federal tax burdens. Read more on the Louisiana Classification of LLC Tax.
LLCs are easier to establish than other business structures. Small businesses, especially start-ups can easily start an LLC in Louisiana at a bare minimum cost. LLCs have a ‘pass-through taxation’ advantage for which they are excluded from certain taxes. The formation of limited liability companies requires much lesser documents and legal processes. Share your queries with us, and leave a comment below.