HOW TO FORM A LLC IN DISTRICT OF COLUMBIA ONLINE
Do I need a lawyer to Form a LLC in District of Columbia?
explain
The short answer is no.
The state of District of Columbia does not legally require a lawyer to form a
District of Columbia Limited Liability Company (LLC).
Our detailed
LLC Information page may help you understand some
of the implications of forming a
District of Columbia LLC.
However, if there is
anything about
Forming a LLC in District of Columbia
that you're not sure about you should seek the advice of a competent District of Columbia lawyer, a District of Columbia accountant,
or a District of Columbia Business advisor
before you
form a LLC in District of Columbia.
Once you have made the decision to
Form a LLC in District of Columbia, a District of Columbia lawyer
can file your documents and act as a middle man for a few hundred dollars an hour; or you can use an online service provider like All Business Documents
to perform these services and
save money that you can use in your new
Do I have to Reserve a Company Name before I Form a LLC in District of Columbia?
explain
You are not legally required to reserve a Company Name for a new District of Columbia LLC before you submit your application to
Form a LLC in
District of Columbia.
Whether or not you need to reserve a company name for your new District of Columbia LLC depends entirely on your business situation.
The District of Columbia Department of Consumer and Regulatory Affairs uses names on a first come first served basis.
So if you think that someone may snatch the Company Name that you have in mind, you may want to reserve that District of Columbia Company Name.
What if the District of Columbia LLC Name I want is already taken?
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If the Name you have chosen for your new District of Columbia LLC is already in use by a currently active
District of Columbia Corporation or LLC, and you still want to use that LLC Name, then you will have to register a DBA Name with the District of Columbia Department of Consumer and Regulatory Affairs. "DBA" is an abbreviation for "Doing Business As."
In District of Columbia a DBA Name is called a Trade Name.
We verify that the Name you have chose for your new District of Columbia LLC is available before we submit
your new LLC filing to the District of Columbia Department of Consumer and Regulatory Affairs.
If necessary we can register a Trade Name in District of Columbia for you so that you can open your new District of Columbia business as quickly as possible.
What do I have to do to Form a LLC in District of Columbia?
explain
6 things you have to do in order to Form a LLC in District of Columbia.
- Choose a name for your District of Columbia LLC
- Select an official address and a Registered Agent for your District of Columbia LLC
- Determine who will be Members and who will Manage your District of Columbia LLC
- Determine how you want your District of Columbia LLC to be taxed
- File Articles of Organization with the District of Columbia Department of Consumer and Regulatory Affairs
- Get a Federal Employer Identification Number (FEIN) for your District of Columbia LLC
- Choose a name for your District of Columbia LLC
Your District of Columbia LLC name can identify the type of products and services your business will provide;
or it may be the name of the founder; or it can be a combination of the two or something else.
In any case, the District of Columbia LLC name that you choose must be distinguishable from the name of any other registered District of Columbia LLC or other
registered District of Columbia business entity, such as a District of Columbia Corporation or LLP.
The LLC name must also be different from any reserved names on record with the state of District of Columbia.
Your District of Columbia LLC name must not imply that it was formed for a purpose other than that stated in your
Articles of Organization;
and your District of Columbia LLC name must not be a name that is likely to mislead the public.
The name of a District of Columbia LLC must include the word "LLC" or
"Limited Liability Company" or an abbreviation of one of these words.
It's important to choose a good name for your District of Columbia LLC because if you want to change it after you
Form a LLC in District of Columbia you
will have to file amended Articles of Organization with the District of Columbia Department of Consumer and Regulatory Affairs (and pay a fee). We will:
- Check to make sure that your District of Columbia LLC name is available
- Make sure your District of Columbia LLC name conforms to state of District of Columbia regulations
- Reserve your District of Columbia LLC name with the District of Columbia Department of Consumer and Regulatory Affairs
- Select an official address and a Registered Agent for your District of Columbia LLC
Every District of Columbia LLC must have an address that is physically located in the state of District of Columbia.
This address is "registered" with the District of Columbia Department of Consumer and Regulatory Affairs.
The Registered Address is where official and legal correspondence can be delivered.
The individual or company that is registered with the state of District of Columbia to receive all correspondence on behalf of the District of Columbia
LLC is called a "Registered Agent" or "Agent for Service of Process".
You may act as your own Registered Agent, however, many District of Columbia LLCs hire a Registered Agent because they don't have a physical
address within the state of District of Columbia or to provide a distinct level of privacy.
We can act as the official Registered Agent for your District of Columbia LLC.
- Determine who will be Members and who will Manage your District of Columbia LLC
The owners of a District of Columbia LLC are called Members - not Partners or Shareholders.
(a District of Columbia Limited Liability Company does not issue stock).
Members make all business decisions and realize the financial benefits generated by the District of Columbia LLC.
Division of ownership and distribution of profits are decided by private agreement among the Members.
Each District of Columbia LLC must have at least one Member.
Members need not live in the state of District of Columbia or be citizens of the United States.
Managers are responsible for the day to day operation of the District of Columbia LLC.
Members elect or appoint Managers and have the power to remove them.
Managers may or may not be Members of the District of Columbia LLC.
Management for your District of Columbia LLC may be defined in your Articles of Organization or, more commonly, in an Operating Agreement.
- Determine how you want your District of Columbia LLC to be taxed
The IRS does not recognize a Limited Liability Company as a classification for federal tax purposes.
District of Columbia LLC Members can elect for the IRS to tax the LLC as a sole proprietorship, partnership, C Corporation, or S Corporation.
This decision may be made after the District of Columbia LLC is created.
If a single Member District of Columbia LLC does not declare a tax classification it is taxed the same as a sole
proprietorship.
A multiple Member District of Columbia LLC that does not declare a tax classification is taxed as a general partnership.
More specific federal LLC tax information can be found at the
IRS web site.
If you choose to be taxed as an S Corporation, we can prepare the S Corporation election form for your District of Columbia LLC and include it with
your LLC formation documents.
- File Articles of Organization with the District of Columbia Department of Consumer and Regulatory Affairs
A District of Columbia Limited Liability Company is a type of business that is authorized by the state of District of Columbia - not by the federal government.
In order to form a LLC in District of Columbia you must file Articles of Organization with the District of Columbia Department of Consumer and Regulatory Affairs.
The Articles of Organization must include certain specific information about your District of Columbia LLC.
If the Articles do not conform exactly to state of District of Columbia requirements they will be rejected. 
You may subsequently amend the Articles of Organization for your District of Columbia LLC but you will have to pay a fee to the state of
District of Columbia in order to make the changes official.
We can prepare and file your Articles of Organization with the District of Columbia Department of Consumer and Regulatory Affairs.
We've been doing it for over 10 years.
- Get a Federal Employer Identification Number (FEIN) for your District of Columbia LLC
A Federal Employer Identification Number, also known as a Federal Tax Identification Number, is used by the IRS to identify a
business entity.
An FEIN is like a Social Security Number for your District of Columbia LLC.
All District of Columbia LLCs electing to be taxed as a C-Corporation or S-Corporation are required to have a FEIN.
If you do not elect to have your District of Columbia LLC taxed as a Corporation you may still need to get a FEIN if it is composed of multiple members or
if you plan to have employees.
If you plan to form a Single Member District of Columbia LLC you may not need a separate FEIN for the LLC if you have no employees.
The sole Member of a Single Member District of Columbia LLC may be able to use his or her Social Security Number instead of applying for an FEIN.
You may request a FEIN for your District of Columbia LLC for banking or state tax purposes, but an FEIN may not be required for federal tax purposes depending
on your business circumstances.
We can get a FEIN for your District of Columbia LLC as soon as it is approved by the District of Columbia Department of Consumer and Regulatory Affairs.
What do I have to do after I form my District of Columbia LLC?
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5 things you have to do after you Form a LLC in District of Columbia.
- Conduct an Organizational Meeting and adopt an Operating Agreement
- Open a Business Bank Account in District of Columbia for your DC LLC
- Obtain Business Licenses from the cities and counties in which you plan to do business
- File the required District of Columbia LLC reports
- Keep proper records of your District of Columbia LLC on file
- Conduct an Organizational Meeting and adopt an Operating Agreement
An Operating Agreement defines the rules by which your District of Columbia LLC will operate.
It is the core document that is referred to when issues concerning your LLC need to be resolved.
Operating Agreements may include requirements for almost anything that involves the management and operation of your District of Columbia LLC.
By having an Operating Agreement all Members will be provided with a clear set of rules they have agreed upon thus reducing the likelihood of
disagreement in the future.
Items commonly included in an Operating Agreement for a District of Columbia LLC:
- Rights and duties of Members
- Member contributions
- Record keeping and reporting requirements
- Distribution of profits
- Allocation of losses
- Management duties
- Meeting requirements
- Voting requirements
- Admission and termination of Members
- Dissolution procedures
Although an Operating Agreement is not required in the state of District of Columbia, if you plan to form a multiple Member District of Columbia LLC
it is highly advisable to have one.
Having an Operating Agreement will save you a lot of time and money should conflict arise down the line.
As your District of Columbia LLC grows over time, you may amend your Operating Agreement as necessary.
When your District of Columbia LLC has an Operating Agreement your business will be governed by your own rules and not some canned business rules created by
the state of District of Columbia.
- Open a Business Bank Account in District of Columbia
It's very important that you have a separate business bank account for your District of Columbia LLC.
Mixing personal and business funds may get you in a lot of trouble with the tax man down the line.
It's a good idea to contact the bank before you open a business bank account for your District of Columbia Limited Liability Company.
Specific requirements vary from bank to bank.
In most cases you will need a FEIN, a copy of your District of Columbia LLC Articles of Organization, and a resolution identifying authorized signers
if those names are not listed in the Articles.
- Obtain Business Licenses from the cities and counties in which you plan to do business
Note that forming a District of Columbia LLC doesn't take the place of obtaining a business license, tax
registration certificate, or other required business permits.
A District of Columbia LLC merely creates an ownership structure that limits the owner's personal liability.
You may still need to take care of getting set up to do business with your local government.
Depending on the nature of the business and the location of your District of Columbia LLC you may need to get one or more city
business licenses or permits.
The business licenses or permits that are required for your District of Columbia LLC vary depending on your business activities
and the specific locations within the state of District of Columbia in which you want to conduct business.
If your District of Columbia LLC will be selling products in District of Columbia you may be required to obtain a Reseller's Permit from the appropriate
District of Columbia state agency.
If your District of Columbia LLC will be selling products in District of Columbia you will also be responsible for all applicable local and state of District of Columbia
sales taxes if there are any.
We can research and prepare the necessary forms for your required business licenses and permits and include them in your District of Columbia LLC package.
- File the required District of Columbia LLC reports
Each District of Columbia LLC must file a with the District of Columbia Department of Consumer and Regulatory Affairs.
The District of Columbia includes basic information about your District of Columbia LLC.
Failure to submit a properly completed District of Columbia to the District of Columbia Department of Consumer and Regulatory Affairs on or before the
due date may subject the District of Columbia LLC to being administratively dissolved in the state of District of Columbia or having its authority to
transact business in the state of District of Columbia revoked by the District of Columbia Department of Consumer and Regulatory Affairs.
Penalties may accrue if you fail to file any District of Columbia LLC to the District of Columbia Department of Consumer and Regulatory Affairs
by the due date.
- Keep proper records of your District of Columbia LLC on file
Keep the following records on file and available at the principal business office of your District of Columbia LLC:
- Names and addresses of all Members and Managers of the District of Columbia LLC
- Articles of Organization for the District of Columbia LLC and any Amendments to them
- Copies of all tax returns and reports for the District of Columbia LLC for the last 3 years
- If the District of Columbia LLC has an Operating Agreement, a copy of the Operating Agreement and any Amendments
- Copies of any LLC Resolutions which have been adopted by the District of Columbia LLC
What information do I need in order to Form a LLC in District of Columbia?
explain
In order to Form a LLC in District of Columbia you'll need the following information about your new Company:
- The name of your new District of Columbia LLC along with your second choice of a name in case the name that you want is not available
- Physical address of the LLC office in District of Columbia (not a PO Box)
- Name and address of your District of Columbia Registered Agent (not a PO Box)
You do not have to name the Members of a
District of Columbia LLC in the Articles of Organization.
While you are not required to name the Members of a new District of Columbia LLC you still may include Member information with your initial
District of Columbia LLC filing.
Remember -
ALL the information that you provide when you Form a LLC in District of Columbia becomes part of the public record.
Our data entry forms include the
absolute minimum amount of information that is required in order to Form a Limited Liability Company in District of Columbia.
How long does it take to Form a LLC in District of Columbia?
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Processing times for new District of Columbia LLC applications vary depending on the work load of the
Department of Consumer and Regulatory Affairs's staff.
We've found that normal processing of new District of Columbia takes the state around 7-10 business days.
Add 2-3 days for the time period for shipping the final documents by mail.
Choosing our Express Mail option can shave a couple of days off the total processing time for your District of Columbia LLC.
PLEASE NOTE: WE CANNOT GUARANTEE DISTRICT OF COLUMBIA DEPARTMENT OF CONSUMER AND REGULATORY AFFAIRS PROCESSING TIMES.
We are dependent on, and have no control over, the staff and systems of the District of Columbia Department of Consumer and Regulatory Affairs.
In our experience 7-10 business days is the time it
usually takes the District of Columbia Department of Consumer and Regulatory Affairs to process
a new District of Columbia LLC application.
We get your District of Columbia LLC application to the DC Department of Consumer and Regulatory Affairs ASAP. Once it is at the state we have no control over the new District of Columbia LLC application process.
How much does it cost to Form a LLC in District of Columbia?
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The state of District of Columbia charges $270.00 to form a new LLC.
This is the cost of filing and getting a Certified Copy of your Articles of Organization from the DC Department of Consumer and Regulatory Affairs.
If you choose All Business Documents to help you form your LLC in District of Columbia, our processing fees are $125.00.
We start processing your new District of Columbia LLC order as soon as we get it.
Total cost includes:
- Name Check and Reservation
- Prepare Articles of Organization
- File Articles of Organization with the District of Columbia Department of Consumer and Regulatory Affairs
- Certified Copies of Articles
- District of Columbia LLC Checklist
- Priority Mail Delivery
- Unlimited Customer Support
District of Columbia Foreign LLC Qualification
explain
You want to do business in the state of District of Columbia but are registered as a Domestic LLC in another state.
In order to legally conduct business in the state of District of Columbia you must register with the District of Columbia as
a District of Columbia Foreign LLC.
The process of registering as a Foreign LLC in the state of District of Columbia is called District of Columbia LLC Foreign Qualification.
The process of District of Columbia LLC Foreign Qualification is similar to the process of forming a Domestic LLC in the state of District of Columbia.
Your original formation documents (usually called Articles of Organization) and LLC Operating Agreement apply to your District of Columbia Foreign LLC.
The Members and Managers of your Domestic LLC have the same roles in the District of Columbia Foreign LLC.
DISTRICT OF COLUMBIA ONLINE LLC COST ESTIMATOR
Our DC LLC Processing Services include:
(These services are included in our processing fees)
Optional District of Columbia LLC Services
(Choose options, cost is updated automatically)
-
Expedited Service
explain
Normal processing time for a new District of Columbia LLC is 7-10 business days.
This is the time by which the District of Columbia Department of Consumer and Regulatory Affairs will either approve or deny the LLC application.
District of Columbia LLC applications must be received by the Department of Consumer and Regulatory Affairs before noon District of Columbia time for the process to start that day.
Another way to expedite your order is to choose the Express Mail option.
The Express Mail option can cut document delivery times in half.
-
- Express Mail - $35
explain
If you really need your original approved Articles of Organization in your hands quickly, the
Express Mail option can cut the delivery time in half.
The Express Mail option has no effect on the District of Columbia Department of Consumer and Regulatory Affairs's processing time. For the quickest turn-around time also choose the Expedited Service option.
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S-Corporation Election - $50
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S Corporations are taxed differently than C Corporations.
With an S Corporation, business profits may be "passed through" directly to the shareholders.
This avoids the double tax on both corporate and shareholder profits.
S Corporations do not pay any District of Columbia Corporate Income Tax.
We can prepare the S Corporation Election form for you and include it with your Incorporation documents.
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DC Registered Agent - $135
explain
Every District of Columbia LLC is required to have an address within the state of District of Columbia where
official and legal correspondence can be delivered.
The individual or company that is registered with the state of District of Columbia to receive all correspondence
on behalf of the LLC is called a Registered Agent.
You may act as your own Registered Agent, however, many LLCs hire a Registered Agent because they don't have a physical address within
District of Columbia or to provide a distinct level of privacy.
We can act as your District of Columbia LLC Registered Agent.
This is an annual service.
We will forward all correspondence to you and will remind you when it is time to renew your DC Registered Agent services.
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Customized Operating Agreement - $75
explain
An Operating Agreement defines the rules by which a District of Columbia LLC must operate.
Operating Agreements may include requirements for profit sharing, ownership responsibilities and almost anything else that
involves the management and operation of the District of Columbia LLC.
Although an Operating Agreement is not required in the state of District of Columbia, it is highly advisable to have one for your District of Columbia LLC.
As your District of Columbia LLC grows over time, you may amend your Operating Agreement as necessary.
You do NOT file an Operating Agreement with the District of Columbia Department of Consumer and Regulatory Affairs. It should be stored in a secure location along with your other LLC documents.
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DC Good Standing Certificate - $95
explain
A District of Columbia Good Standing Certficate is proof of the existence of your new District of Columbia LLC.
The Certificate is issued by the District of Columbia Department of Consumer and Regulatory Affairs and is proof that your DC LLC is not behind on any
of its District of Columbia Department of Consumer and Regulatory Affairs Corporate obligations.
A District of Columbia Good Standing Certificate is often required for loans, to apply for business licenses, or for tax or other business purposes
in the state of District of Columbia or in any other state.
We can get your District of Columbia Good Standing Certificate immediately after the District of Columbia Department of Consumer and Regulatory Affairs has approved your Articles of Organization.
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Federal EIN - $65
explain
An FEIN is like a Social Security Number for your District of Columbia LLC.
We can get your FEIN on the same day that your Articles of Organization are approved by the District of Columbia Department of Consumer and Regulatory Affairs.
You can get your FEIN before your articles are approved by the District of Columbia Department of Consumer and Regulatory Affairs but it's a good idea to wait until
after approval.
Your filing may be rejected or the LLC name that you want may not be approved.
Changing information on an FEIN filing is not a trivial exercise with the IRS.
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LLC Kit and Seal - $99
explain
While you're not required to have a LLC Kit and Seal for your new District of Columbia LLC they do come in handy.
The DC LLC Kit consists of a beautiful customized binder, member certificates, a member ledger
and your custom LLC Seal.
The LLC Seal is used to emboss important company documents, such as member certificates.
The binder also includes dividers so you can use it for all of your District of Columbia LLC record keeping.
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Business License Research - $175
explain
Most new District of Columbia LLCs are required to get some kind of state, regional or local permits or business licenses.
The task to figure out exactly what you need can be daunting.
We can determine exactly which forms you need to fill out, fill them out for you and file the forms with the appropriate government agency
where possible.