I'm about to file for an LLC in my state and trying to keep costs down. I know the filing fee is unavoidable, but what else can I realistically delay paying for? Like, do I need a registered agent right away? Operating agreement? Anything else that can wait until I actually have revenue?
LLC formation
What can you postpone paying for when starting an LLC?
You can be your own registered agent for free if you have a physical address in the state and don't mind your info being public. That's the easiest thing to postpone paying for.
Operating agreement is a good one to postpone if you're a single-member LLC. Not legally required in most states, though banks sometimes ask for one when opening an account. You can draft a simple one yourself, and pay a lawyer later if you bring on partners.
Don't pay for an EIN. It's free from the IRS website. People charge for for that service and it's a total waste.
Yeah I saw those EIN services for like $75 and thought that seemed scammy. Good to know.
what about business licenses? My city required a general business license before I could even open a bank account. That wasn't optional for me.
Depends on the city. Some are stricter than others. But yeah, you can't really skip those if they apply to you. The post is about postponing, not avoiding entirely.
You can postpone hiring an accountant. Just keep good records and do it yourself the first year. Hire someone when the taxes get complicated. Or when when you're tired of crying over spreadsheets.
I'd argue a lawyer review of your operating agreement is worth paying for upfront if you have multiple members. But sole prop? Skip it for now.
Actually I forgot to mention - annual report fees are often due later, sometimes up to a year after formation. Check your state's schedule and don't get surprised.
Also, don't pay for a fancy logo or website until you've actually got a customer. Learned that the hard way.
But my logo was only $50 on Fiverr and it makes me feel professional. Worth it for morale alone.