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How to Start a Limited Liability Company (LLC) in Arizona

by | Jun 25, 2024 | LLC

Starting and running your own business is a dream that many people have but it is hard to know where to start. The good news is that starting a Limited Liability Company (LLC) in Arizona, especially in cities like Scottsdale, Peoria, or Phoenix, as well as the wider Maricopa County, is a route that many entrepreneurs choose because of their business-friendly laws. In this blog post, we will give you a  step-by-step guide on how to start your LLC in Arizona and point out some things that residents of Phoenix, Peoria, Scottsdale, and greater Maricopa County should know.

Step 1: Choose a Unique Name for Your Arizona LLC

The first step in starting your LLC in Arizona is to pick a name.  The name of your Arizona Limited Liability Company needs to literally include “Limited Liability Company” or the abbreviations “LLC” or “L.L.C.” Be sure to check whether that name is available which you can do by searching the Arizona Corporation Commission’s website. You may also want to look and see what domain names are available that are similar to whatever name you choose since eventually, you will probably have a website for your Arizona LLC.

Step 2: Appoint an Arizona Statutory Agent

A statutory agent, also known as a registered agent, is required for every LLC in Arizona. What is a statutory agent? This is the person or entity will receive legal documents on behalf of your LLC. The statutory agent must have a physical address in Arizona. Many businesses in Peoria, Phoenix, and Scottsdale opt for professional statutory agent services for privacy and reliability. You can designate your business address to be that of your statutory agent.

Step 3: File the Articles of Organization

To officially form your LLC, you need to file documents with the Arizona Corporation Commission. When filing, ensure you list Phoenix, Scottsdale, Peoria, or Maricopa County if relevant to your business location, as this can help with local SEO. The address of your statutory agent is also acceptable.

Step 4: Create an Operating Agreement

Although not required by Arizona law, having an operating agreement is a good practice. If you do not have one, the default laws of the Arizona Limited Liability Company Act will apply (which you might not want). This is particularly the case when you have more than one member of your LLC. This document outlines the ownership and operating procedures of your Arizona LLC.  For businesses in Maricopa County, including specifics about your operations in Peoria, Phoenix, or Scottsdale can be beneficial.

Step 5: Obtain an EIN

An Employer Identification Number (EIN) is required for tax purposes and can be obtained for free from the IRS. Even if you don’t plan to hire employees, having an EIN is necessary for opening a business bank account and filing taxes. Phoenix, Peoria, and Scottsdale-based businesses should ensure their EIN application reflects their local operations. Also note that many companies impersonate the IRS website but getting an EIN through the IRS is a safer bet in the world we live in where identity theft is rampant.

Final Thoughts
Forming an LLC in Arizona, especially in dynamic areas like Peoria, Phoenix, Scottsdale, and the broader Maricopa County, is a strategic decision that is the first of many steps in making your dream of business ownership a reality. If you need help with starting your Arizona LLC, you may find our New Entrepreneur Strategy Session helpful.