I'm trying to start a small crafting business from home and I keep seeing ads for LLC registration services that cost $300+. Is there a legit way to do it for under $100? I'm in Ohio if that matters. I don't need anything fancy, just want to protect my personal assets.
LLC Formation
What's the cheapest way to register an llc when you're on a tight budget?
Ohio's filing fee is $99 online. Just go to the Secretary of State website and do it yourself. No need for LegalZoom.
Yep, DIY is the way. I paid a service $250 for my first LLC and felt like a chump when I realized it was literally a 10-minute form.
Wait, Ohio is only $99? In California it's $70 to file but then $800 minimum franchise tax every year. Consider yourself lucky.
Oh wow, I didn't know it was that cheap directly. So I just fill out the articles of organization on the state site? Do I need an EIN too?
EIN is free from the IRS. Takes 5 minutes online. Don't pay anyone for that either.
Make sure you're actually forming an LLC and not just registering a trade name. Some people confuse the two. Articles of organization is what you want.
Also check if your county requires a local business license. That dan sneak up on you.
Cheapest way is to not start a business. Works every time. (Kidding, mostly.)
I used Northwest Registered Agent because I didn't want my home address on the public filing. It was like $39 for the registered agent service but the state fee was separate. Might be worth it if privacy matters to you.
You can also be your own registered agent in Ohio, which is free. Just means your address is public. For a home crafting business that might be fine.
Thanks everyone. I think I'll just do the state filing myself and skip the extra services. Appreciate the help!
One more thing: don't forget the annual report. Ohio has one and there's a small fee. people always forget that part.
And open a separate bank account. Otherwise the LLC doesn't do much for liability protection.
Translation: don't mix your craft money with your grocery money.
Also, if you're the only member, you can probaby skip an operating agreement, but some banks want to see one. I just typed one up from a free template.
Free template is fine. No one's going to sue you over a crafting LLC unless you're selling something dangerous. Just keep your receipts.