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Starting an LLC can be an exciting and overwhelming process — leading you to wonder where to begin. In this guide, we’ll take you through all the steps of forming an LLC in Ohio.
The good news is that once you know the steps and resources that you can utilize, forming an LLC in Ohio won’t be as daunting. In fact, much of the process can be done online and streamlined with the help of a professional LLC partner like ZenBusiness.
We’ve compiled this guide to walk you through each of the five steps to forming an LLC, providing insights, helpful tips, and important links along the way. Let us help you better understand the LLC creation process, so you can focus on what matters most — launching and growing your new company.
To form an LLC in Ohio, you’ll need to register your business with the Secretary of State. This step is crucial since it allows the state to recognize your new company and stay in contact with you on any new laws or important business communications.
However, before you can do this, you’ll need to come up with an official name for your LLC and appoint a statutory agent. Next, you’ll want to craft an Operating Agreement to protect your company, even though it’s not a requirement of the state of Ohio. After that, you’ll register your business with the IRS to set yourself up to pay taxes and create business financial accounts.
While some steps are more complex and costlier than others, following this step-by-step guide will simplify the process of forming an LLC in Ohio. As you complete each of the five steps below, your LLC will be closer to running.
Andrew started forming his LLC by picking a name for his craft store. He visited the Ohio Secretary of State business name search page and found that “Andrew’s Man Drew, LLC” was available. He submitted the Name Reservation form, paid the $39 fee to the Secretary of State, reserved the name for 180 days, and was able to focus on his LLC’s next steps.
To continue with the registration process, Ohio requires that every LLC appoint a statutory agent, known in most states as a registered agent (we will use the two terms interchangeably, but they mean the same thing). Your statutory agent will act on your behalf, working as a third party between your LLC and the Ohio Secretary of State. The person or entity appointed will be the point of contact for legal matters — if your company is subpoenaed or sued, papers will be delivered to your statutory agent.
The company owner can be the statutory agent, but this is not always the best option. After all, being served in front of customers is a sure way to deter business, and with so many alternatives, it could be in your best interest to hire an outside registered agent service.
As long as your outside registered agent is a resident of Ohio or a business entity authorized to do business in Ohio, and has a physical street address in the state, hiring an outside registered agent service is an affordable way to save you possible troubles later on.
Here are a few more reasons why you might want to partner with an outside registered agent service like ZenBusiness:
Andrew wanted to be his own Ohio statutory agent but wasn’t aware that his personal information could be made public by doing so. He also didn’t want to be tied to his office from 9 a.m. to 5 p.m. — that’s the main reason he left his day job to form his own company. He decided to partner with an outside registered agent service. After doing some research, he was impressed with all of the business offerings that ZenBusiness provides and decided to partner with them.
To get “Andrew’s Man Drew, LLC” up and running, Andrew filed his Articles of Organization with the Ohio Secretary of State using the online portal. He paid the nonrefundable $99 filing fee and waited for his paperwork to be processed in three to seven business days. He realizes after filing that if he had partnered with ZenBusiness, his process would have been even smoother.
Once your LLC is registered, it’s time to decide whether you want to create an Operating Agreement for your new company. While Ohio state law does not require LLCs to have an Operating Agreement, it can be very beneficial for your company.
Your LLC Operating Agreement will detail how your company is to be managed, how voting structures work (specifically for partners), how finances are handled, and much more. This agreement can offer clarity for partners, managers, and employees and be used to help resolve conflicts if they arise. It can even cover HR-related topics.
Your Operating Agreement can be as expansive and detailed as you like, depending on the structure of your company. Since this agreement is not required by Ohio law, you can really make this document unique to your LLC. If your LLC has employees or partners, an Operating Agreement makes good administrative sense.
If you’re the sole owner and member of your company, you may think there’s no need to create an Operating Agreement for one person. However, you might want to reconsider. Your Operating Agreement can be used to outline what to do with your business if you become incapacitated or pass away.
Make sure all owners and managers in your LLC understand, review, agree to, and sign your Operating Agreement. It’s a good idea to have this document notarized, as well. Once signed, this document is legally binding in the eyes of Ohio.
You don’t have to submit this agreement to the Ohio Secretary of State, but you should keep it with your other business filings, so you can reference it easily.
Despite the state of Ohio not requiring an Operating Agreement, Andrew decided he wanted to put in writing a succession plan for his business in case anything ever happened to him. Because he chose to work with ZenBusiness, they provided him with an Operating Agreement template he could customize to include the rules his company would follow.
The last step you’ll take to launch your LLC officially is registering your business with the Internal Revenue Service (IRS). You’ll do this by applying for an Employer Identification Number (EIN) to register your company with the IRS. Your EIN is essentially a Social Security number for your business — you’ll use this to file tax returns and hire new employees.
You can register for an EIN even if you’re the only member of your LLC. Having an EIN can make it simpler to separate your business and personal finances and can make handling your taxes much easier at the end of the year. It also helps protect your privacy, as you won’t have to use your Social Security number on important documents.
You can apply for an EIN by visiting the IRS EIN application page online. Once you submit the short application, you’ll immediately receive your EIN — this process is quick and free, and you’ll have your EIN ready to use within minutes.
Once you receive your EIN, you can begin hiring employees, setting up bank accounts for your business, and applying for any small business grants or loans your LLC is eligible for.
Andrew wanted to set up business accounts for his LLC but needed a tax ID first. The final step in getting “Andrew’s Man Drew, LLC” started was applying for an EIN. Andrew chose to take advantage of the IRS’s online application and received his EIN right away. The best part was that it was absolutely free.
ZenBusiness offers a basic business formation package. This package includes all of the upfront administrative help you’ll need to form your LLC. This includes registered agent assistance, filing all LLC paperwork, and an Operating Agreement template. ZenBusiness can also provide additional assistance, such as helping you apply for an EIN and ensuring your LLC is compliant for an additional fee.
Do-It-Yourself (DIY) | ZenBusiness Starter Plan |
---|---|
Articles of Organization (state filing fee) | |
$100 | $100 |
ZenBusiness filing | |
N/A | $49 |
Average Filing Time | |
??? | 2-3 weeks |
Registered Agent | |
+$159/yr | ![]() |
Operating Agreement | |
+$35 | ![]() |
Name Reservation | |
+$10 | ![]() |
Accuracy Guarantee | |
![]() | |
TOTAL COST | |
Do-It-Yourself (DIY) | ZenBusiness Pro Plan |
---|---|
Starting Price | |
state fee | $199 + state fee |
Average Filing Time | |
2-3 weeks | 5-8 business days |
Registered Agent | |
+$99/yr | ![]() |
Operating Agreement | |
+$35 | ![]() |
State Compliance Help | |
$119/yr | ![]() |
EIN | |
+$70 | ![]() |
DOMAIN NAME | |
+$25 | ![]() |
DOMAIN PRIVACY | |
+$10 | ![]() |
BUSINESS WEBSITE | |
+$100 | ![]() |
BUSINESS EMAIL ADDRESS | |
+$25 | ![]() |
SHOW ALL DETAILS |
Do-It-Yourself (DIY) | ZenBusiness Pro Plan |
---|---|
Starting Price | |
state fee | $199 |
Average Filing Time | |
15 business days | 5-10 business days |
Registered Agent | |
+$249/yr | ![]() |
Operating Agreement | |
+$99 | ![]() |
State Compliance Help | |
$280/yr | ![]() |
EIN | |
+$60 | ![]() |
DOMAIN NAME | |
+$25 | ![]() |
DOMAIN PRIVACY | |
+$10 | ![]() |
BUSINESS WEBSITE | |
+$100 | ![]() |
BUSINESS EMAIL ADDRESS | |
+$25 | ![]() |
SHOW ALL DETAILS |
In just three to seven business days, your Articles of Organization will be processed with the Ohio Secretary of State. However, you can pay additional fees of up to $300 to have your paperwork processed in as little as four hours.
No. The Operating Agreement is an internal document that you should keep on file for future reference. While some states legally require LLCs to have an Operating Agreement, Ohio does not. However, creating an Operating Agreement is generally recommended to protect your company.
Most LLC owners have their business taxed the default way, which is as a sole proprietorship (for single-member LLCs) or a partnership (for multi-member LLCs). Doing so will make it easier to separate the owner’s business and personal taxes. You’ll also be exempt from double taxation. If you have partners, each will be responsible for paying taxes on their portion of the company’s profits.
If you instead choose to be taxed as a corporation (sometimes large LLCs go with this tax structure), there are some important differences you should understand. You can read more about this in our corporation tax guide.
The state of Ohio does not require a general business license, but you might need a specific license, depending on where you are or what type of business you are running. View the Ohio Business Gateway Licenses and Permits page to find out more. Be aware that you’re responsible for finding any federal, state, local, or industry-specific licensing your business is required to have.
When it comes to insurance, the types of insurance required vary by how many employees you have and the industry you are in. They can range from professional liability insurance to unemployment and workers’ compensation insurance. You can find more information on the Ohio Department of Insurance website.
In both instances, we recommend hiring a professional service like ZenBusiness to do the research for you. We will provide you with a comprehensive package of all the licenses and insurance required for your Ohio LLC and help you file any necessary paperwork.
While most states require LLCs to file annual reports and pay annual fees, Ohio does not.
The way you run your business, the people involved in managing your business, and your industry might evolve. Maybe you hired a new partner to help grow your LLC, the old owners retired, you decided to change your company name, or you opted to hire an outside registered agent service. All of these changes are normal for companies to incur over time but will require making adjustments to your LLC paperwork to keep the Ohio government updated.
Here are some common situations that may occur over time and how to update your paperwork:
Your registered agent or their information changes:
Updating your LLC name:
If you decide you need to dissolve your LLC in Ohio, you can easily handle this online or through the mail by filing your Ohio Certificate of Dissolution. There is a $50 filing fee.
We hope this guide has provided a clearer picture of what it takes to start a business in Ohio. But don’t worry — you don’t have to do all of these steps alone. From filing legal paperwork and providing registered agent services to offering streamlined technology and automation for quick support, ZenBusiness is here to help you start and grow your business every step of the way. To learn more about starting a business in Ohio, contact us today!
Already an Ohio small business owner? Learn how ZenBusiness can help you run or grow your Ohio small business today!
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Additional tax and regulatory requirements may apply to you
Additional tax and regulatory requirements may apply to you
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