How to Start an LLC in California

Set up a California LLC by filing one document, attaching a qualified agent, and committing to the ongoing tasks that keep the entity active. The state charges $70 to file, takes about 5-10 business days to approve, and then your ongoing obligations kick in. Below: every step, the all-in cost view, and what we handle if you'd rather not DIY.

Start Your California LLC — $199

A single $199 fee covers prep and submission to California Secretary of State. State turnaround is roughly 5-10 business days.

Start Your California LLC — $199

The Case for A California LLC

An LLC is a registered business entity that legally separates the company's debts and lawsuits from the owner's personal finances. Throughout California, LLCs are the small-business form of choice — light maintenance, real protection, simple taxes.

California LLC Costs at a Glance

Item	Cost
Our LLC formation service	$199 one-time
State filing fee (California Secretary of State)	$70 one-time
Registered agent (required for every California LLC)	$99/year
State annual report fee	$800/year (Franchise Tax min)

We charge $199 for filing. California Secretary of State handles the state fee. RA service is $99/year on a separate invoice.

Important California-specific notes: IMPORTANT: $800 annual franchise tax required by Franchise Tax Board (separate from SOS fees). LLCs with income over $250K pay additional fee ($900-$11,790 based on income). 24-hour expedite $350; same-day $750. First-year exemption (AB 85) expired after 2023.

The Steps to Form a California LLC

1. Settle on a Compliant LLC Name

In California, the entity name must signal LLC status with an approved designator and must be distinguishable from any other registered entity. Run a search of California Secretary of State's records for any candidate name — it's free and tells you within seconds whether the name is open.

Names that imply your business is a bank, insurance company, trust company, or government agency get rejected unless you have separate authorization. Skip those words.

2. Select Your Registered Agent

The state requires every LLC to maintain a RA with a brick-and-mortar address in the state who can take in service of process while the office is open. Anything you list as agent information is publicly accessible at California Secretary of State. There's no private filing option here.

Our RA service runs $99 per year in California. We handle the public side of the agent role for you.

3. File Your Formation Document at California Secretary of State

This is where the LLC becomes a legal entity: hand off the Articles of Organization to California Secretary of State plus the $70 state fee. Form fields include the entity's legal name, the LLC's main address, the agent's name and street address, whether members or managers run the LLC, and the organizer(s) initiating the filing.

File online via the state's filing portal. Paper filings still work but add days to processing time.

The state usually returns approval within 5-10 business days. An expedited option is offered at extra cost.

4. Draft an Operating Agreement

The state doesn't ask for an operating agreement at filing time, but you should write one before the LLC opens for business. It establishes who owns what share, how money is distributed, who decides what, and what happens when members come or go. No operating agreement means California's LLC statute fills the gaps, often in ways that don't fit how you wanted the LLC to operate.

5. Get a Federal Tax ID (EIN)

The federal EIN is the federal income tax identifier for the LLC. It's required for business banking, payroll, and federal taxes. The IRS issues EINs for free at IRS.gov. The online form takes ten or so minutes and you'll have the number.

Steer clear of paying a third-party service for an EIN — the form is short and the IRS hands out EINs for free.

6. Handle Ongoing Compliance

Keeping the LLC alive and well requires ongoing attention to a short list of items:

• Hold a current RA at a California street address at all times
• Deliver the yearly filing each year before the deadline
• Run the LLC with a clear divide between LLC banking and personal banking (separate accounts, separate records)
• Stay compliant with the federal and state tax filings by their deadlines

If any of these are neglected, California Secretary of State can dissolve the entity. A dissolved LLC offers no asset protection.

Done filing things yourself? $199 hands the California filing to our team.

Launch My California LLC — $199

The Registered Agent Requirement

California LLCs are required to have a RA at all times. The requirement applies from the day you file forward. Agent obligations:

• Preserve a brick-and-mortar address in California (PO box only is not allowed)
• Be reachable throughout the standard business day to take legal correspondence and lawsuits
• Deliver state mail and lawsuits quickly enough for the LLC to respond on time

LLC owners who serve as their own agent expose their home addresses. Process servers, marketers, and anyone curious can pull it up at will.

Our California office handles this for $99 a year. We list our office address on the formation documents in your place.

FAQs

How much does it cost to form an LLC in California?

Forming the LLC runs $70 in state fees. That's among the most affordable state filing fees nationally. The recurring yearly filing sits at $800/year (Franchise Tax min).

How long does it take to form an LLC in California?

The state generally returns approval inside 5-10 business days.

Does California require an annual report?

Yes. Plan on $800/year (Franchise Tax min) per year for the yearly filing.

Do I need a registered agent for my California LLC?

Yes — Every California LLC carries an ongoing agent obligation. It's a continuous obligation, not a one-time setup.

Can I form an LLC in California if I live in another state?

Yes. The one state-specific item is the California agent; we provide that as a $99/year service. California does not mandate LLC owners to be residents.

Start Your California LLC the Right Way

Going direct with California Secretary of State is an option for anyone through the state's filing portal. An agent is still mandatory — the state collects $70.

Sign up for our RA service and list us on your California LLC's filing. At $99 a year, your California agent address on record, same-day document scans, and filing reminders before every deadline.

Build Your California LLC — $199

Need just the RA piece? The registered agent option is $99/year.

Questions about California LLC formation or the way our RA service operates? The FAQ covers most of it; otherwise contact us.