How To File For an LLC In Arizona & Get Your Business Properly Set Up
How To File For an LLC In Arizona & Get Your Business Properly Set Up

Hi friends!

As I talk more about freelancing and connect with more fellow freelancers, I’ve realized a lot of my peers haven’t properly set up their LLC or haven’t applied for a business bank account!

I honestly get why people avoid it – legalities and taxes are terrifying and confusing haha. But in the state of Arizona (and I’m sure in other states) it’s really quite simple to file for an LLC and a bank account.

So, this blog post will cover 3 steps to set your small business up properly:

  1. Filing for an LLC (in Arizona specifically)
  2. Creating an Employer Identification Number (EIN… it’s kinda like an SSN but for a business)
  3. Opening a Business Bank Account

I am NOT a lawyer or accountant… but these are the steps I took to legitimize my business (both for tax purposes and for business-operating purposes!). Having these steps done will come with a multitude of benefits, including:

  • Tax write-offs and savings
  • In the off chance that someone or a business were to sue you, they could only sue the value of your business, not you personally
  • When you freelance for another company, you only have to give them your EIN, not your SSN (it’s just safer)
  • Your business transactions and personal transactions will be easily separated for tax purposes

So basically, it’s both dumb and risky to not complete these steps. See below for a full break down!

1. File For An LLC In Arizona

  1. Go To the Arizona Corporation Commission website here
  2. Go to Business > Ecorp 
  3. Click Search and search for your potential business name to double-check it’s not taken
  4. Click File in the top right
  5. Create an account and file to create a limited liability company (LLC) – it’s $50
  6. Choose Efile
  7. *for most of you who are self-employed, as you apply your answers will be…
    1. Statutory Agent? “yes”
    2. LLC
    3. Keep Arizona Place of Business as
    4. Perpetual
    5. Member-Managed LLC

2. Create An Employer Identification Number (EIN)

  1. Hit “Apply Online Now” on IRS website here
  2. Complete & submit the form with your LLC information
    1. You’ll probably want to file as an LLC and sole proprietor, but may want to file as an S-Corp

3. Open a Business Bank Account

  • Once you get your EIN, take that and the articles of incorporation from filing your LLC and open a business bank account
  • You can pick any bank (I’d recommend sticking with the same bank you personally bank with, that way it’s easier to transfer money to yourself)
  • Apply for a checking account, savings account, and a credit card
  • Talk with your accountant and set aside between 20-30% of your income into your savings account for paying your taxes

xx

Becca

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.