Starting a limited liability company (LLC) in Georgia offers liability protection and tax advantages, among other benefits for small businesses. The Peach State is a great choice for LLC formation, with reasonable filing fees, a straightforward application process, and a business-friendly environment.
Ready to join the state’s one million small business owners? Learn how to form an LLC in Georgia with our step-by-step guide and set your new business up for success.
How to form an LLC in Georgia in 6 steps
Georgia LLC registration is straightforward but requires a lot of details, so it’s important to stay organized so you don’t miss anything. Just follow these steps, and you’ll be on your way to getting an LLC started and running your business in no time.
Step 1: Name your Georgia LLC
You’ll need to choose a business entity name to include in your articles of organization before you can register your LLC in Georgia.
Names must comply with Georgia law. The following are the most important requirements to keep in mind:
- Your name must be unique from existing businesses in the state. You can do a Georgia LLC search on the Secretary of State website to determine if a particular business name is available.
- Your name must include the words “limited liability company”, “limited company” or abbreviations of those words such as LLC, L.L.C., L.C., LC, Ltd. Liability Co., Ltd. Co.
- Certain restricted words require written approval from government agencies, including terms related to insurance, banking, and education. Check the Georgia Secretary of State’s name reservation guide for the complete rules.
If you aren’t ready to complete your LLC filing but are concerned your name might be taken by someone else, you can reserve it for a $30 online filing fee ($35 if by mail). In Georgia, names may be reserved for up to 30 days by paying the fee and submitting the proper form to the state authority.
Step 2: Choose your registered agent
Every LLC in Georgia must appoint a registered agent. This is a person or entity authorized to receive service of process and other official legal documents and notices on behalf of your LLC.
A Georgia registered agent can be a person (including yourself or an employee of your LLC) or an entity that offers a registered agent service. The registered agent must meet the following criteria:
- Individuals must be a resident of the state.
- Entities must be authorized to conduct business in Georgia.
- The registered agent must have an address in Georgia.
- The registered agent must be onsite and available to accept documents during regular business hours.
Many Georgia LLC owners choose to use a registered agent service like LegalZoom’s for convenience and confidence that they’re not missing important documents. You can also change your Georgia registered agent at any time by filing an amended annual registration.
Step 3: File articles of organization and the Transmittal Information Form
The articles of organization is a document that officially establishes your Georgia LLC by laying out basic information about it. You’ll need to prepare the articles of organization and file them with the Georgia Secretary of State Corporations Division. Georgia’s form is simple and only requires the following:
- Your LLC’s name
- LLC’s name and name reservation number (if applicable)
- The business purpose (NAICS Code)
- LLC’s principal mailing address
- LLC’s email address
- The name and address of LLC’s registered agent
- Your LLC’s effective date (immediate or up to 90 days from filing)
- The name and address of the person filing the articles
- The signature of an organizer, member, manager, or attorney-in-fact.
The filing fee is $105 online or $110 by mail. You can also pay an additional $120 for two-day processing or $275 for same-day processing.
Within five to seven business days of filing your articles of organization, the Georgia Secretary of State will review the filing. If the articles are approved, the LLC becomes a legal business entity and the Georgia Corporations Division will mail a certificate of organization to your business address. This certificate will allow the LLC to obtain an Employer Identification Number (EIN), business licenses, and a business bank account.
Step 4: Create an operating agreement
Although Georgia doesn’t require you to have an operating agreement, it is an essential component of LLC formation. The operating agreement is a document that outlines the business structure of your LLC and is helpful for various reasons, including settling disputes that may arise over financial agreements and other potential litigation.
The operating agreement can include information about the following:
- Duration of the LLC
- Indemnification and liability clauses
- Information about the articles of organization
- LLC’s name and principal address
- Management of the LLC
- Members and their contribution
- Name and address of the registered agent
- Procedure for admitting new members, as well as outgoing members
- Purpose of the business
- The way profits and losses will be divided
You can create an operating agreement for your Georgia LLC by using online templates or online solutions that offer customizable guidance, like LegalZoom’s operating agreement service. You can also consult a business attorney.
Step 5: Get an employer identification number (EIN) and open a business bank account
The nine-digit employer identification number (EIN) is assigned by the Internal Revenue Service to identify your LLC for taxes. An EIN allows you to do the following:
- File and manage taxes at the state and federal level
- Open a business bank account
- Hire employees
- Separate your business and personal finances
You can obtain your EIN by mail or online through the Internal Revenue Service. You can also use an EIN filing service, which can help you confidently navigate the IRS rules.
Step 6: Register for state taxes and business licenses
Before you can legally operate, you might need to obtain permits or licenses, including health department permits, zoning permits, home occupation permits, and more. Any business that sells tangible personal property will need a seller’s permit from the Georgia Department of Revenue to conduct sales. If you have employees, you’ll need to register for employer withholding tax and unemployment insurance tax with the Georgia Department of Labor.
If you’re starting a professional LLC that offers a service, you may need a business license from the state licensing board. Georgia requires business licenses for athletics, contractors, cosmetology, counseling, engineers, landscape architects, veterinarians, wellness businesses, and more. The requirements may vary, so check with the Georgia Secretary of State to see what applies to your professional LLC.
Your city or county might also require various business licenses and permits. For example, Atlanta requires a Business Occupational Tax Certificate (general business license) for every business within city limits. Check with your county clerk’s office about your local regulations.
Next steps after forming your Georgia LLC
Learning how to form an LLC in Georgia is relatively straightforward, but there are a few other things to think about to keep your business on track.
- Register a domain name. Even if you don’t think you’ll need a webpage, you probably will. At the very least, you should reserve the option of having one in the future by buying your domain name now. Before finalizing your Georgia LLC name, it’s a good idea to check if the URL is available.
- Obtain a certificate of existence. A certificate of existence, also called a certificate of good standing in other states, shows that your business entity is officially registered and in compliance with Georgia’s rules. You can get this certificate online from the Georgia Secretary of State for a $15 filing fee.
- Consider a foreign LLC. If you plan to expand your business into other states, you’ll need to register as a foreign LLC in those states. Check with the Secretary of State where you want to conduct business about how to create a foreign LLC.
Annual filing requirements for Georgia LLCs
Georgia LLC registration gives you a legal foundation to conduct business. After you file your articles of organization, plan to keep your LLC compliant and in active status by filing your annual registration on time. Staying in good standing with the state helps protect your LLC from penalties, maintains your liability protection, and means you can access business financing.
In Georgia, to remain in good standing, the annual registration is due between January 1 and April 1 of the year following the calendar year in which the LLC was formed. This must be filed online and the annual registration fee is $55.
You also need to make quarterly tax payments for your business. Depending on how you elect your LLC to be taxed, you may be responsible for annual corporate tax and net worth tax. Check with the Georgia Corporations Division or Department of Revenue to confirm which state and federal taxes apply.
How much does it cost to start an LLC in Georgia?
The cost to form an LLC in Georgia is at least $105 to file your articles of organization online. This is the minimum, but you might also want to simplify the LLC formation process with a registered agent service, business compliance advisor, or other solutions.
- Name reservation: $30 online filing fee
- Expedited filing fees: $120–$275
- Georgia registered agent service: $100–$300 per year
- Operating agreement service: $99 and up
- Certificate of existence: $15 filing fee
- Business license and permits: Varies by location and type of business
The total cost of LLC formation in Georgia therefore ranges from $105 to about $800, with ongoing fees of at least $55 for annual registration and the cost of any business licenses or permits.
How to start your Georgia LLC with LegalZoom
Now that you know how to form an LLC in Georgia, it’s time to take action. LegalZoom makes setting up your LLC easy, from performing an LLC search to filing your articles of organization and annual registration, creating an operating agreement, and acting as your Georgia registered agent. Check out our Georgia LLC formation services and get your business up and running, so you can focus on what comes next.
FAQs
What are the benefits of Georgia LLC formation?
Starting an LLC in Georgia protects your personal assets from business liabilities and offers flexible management, with fewer reporting requirements than corporations. This type of business structure also has tax benefits from pass-through taxation, meaning the business income is reported on your personal taxes. Georgia also has relatively low fees, making it affordable to start and maintain an LLC.
Do I need a business license for my Georgia LLC?
License requirements for limited liability companies in Georgia depend on your business location and type. There’s no statewide license, but many cities and counties, like Atlanta, require local licenses. Some industries, like healthcare or food services, also need specific permits.
How long does it take to form a limited liability company in Georgia?
Forming a Georgia limited liability company usually takes one to two weeks, depending on whether you file your articles of organization online or by mail. The Georgia Secretary of State typically processes online filings in five to seven days, while mail filings may take longer. You can pay an extra fee for faster processing.
How do I correct filing errors in Georgia?
To correct LLC filing errors in Georgia, you need to file an amendment to your articles of organization. You can file these online or by mail through the Georgia Secretary of State. Keeping your LLC info updated helps you avoid penalties and ensure accuracy.
How do I dissolve an LLC in Georgia?
To dissolve your limited liability company in Georgia, file articles of dissolution with the Georgia Secretary of State and pay the $5 fee. While learning how to dissolve an LLC in Georgia is easy, you may benefit from the guidance of a legal advisor especially if you have any outstanding debts and tax obligations.
Rudri Bhatt Patel contributed to this article.