How Do I Register a Business in the United States?
Starting a business requires more than a great idea — the legal setup protects your personal assets and establishes credibility. Here's the exact process.
General information, not professional advice — see terms of use.
Step 1: Choose your business structure
- Sole Proprietorship: No registration required, no liability protection
- LLC: Most popular. Separates personal assets from business liabilities. $50–$500 to form.
- S-Corporation: Better for significant profits — saves on self-employment taxes
- C-Corporation: For businesses seeking venture capital or planning to go public
Step 2: Choose and register your business name
Check availability with your state's Secretary of State. Register a DBA if operating under a different name.
Step 3: File formation documents
Articles of Organization (LLC) or Articles of Incorporation (Corporation) with your state. Most states allow online filing with fees of $50–$500.
Step 4: Get an EIN (Employer Identification Number)
Free from irs.gov. Required for business bank accounts, hiring employees, and taxes.
Step 5: Open a business bank account
Separating finances is essential for liability protection and tax clarity.
Step 6: Obtain required licenses and permits
Check city, county, and state requirements for your industry.
Follow-up questions
How much does it cost to start an LLC?
State filing fees range from $50 (Kentucky, Colorado) to $500 (Massachusetts). Many states require annual report fees of $50–$200. California charges an $800 minimum annual franchise tax regardless of profit. Online services like Northwest Registered Agent handle filing for $100–$300 plus state fees.
Do I need a lawyer to start a business?
For a simple LLC or sole proprietorship, no — the process is straightforward. A lawyer is valuable for: partnership agreements, complex IP protection, employment contracts, regulated industries, or raising outside investment.
What is the difference between a sole proprietorship and an LLC?
A sole proprietorship offers no liability protection — you're personally responsible for all business debts and lawsuits. An LLC creates a legal separation between you and your business. For a relatively small annual filing fee, an LLC can protect your personal assets (home, savings, car) from business creditors.
More small business answers
This page is general information, not professional advice, and it may not reflect the latest rules where you live. For your own situation, talk to a qualified adviser. Spotted an error? Email per@upperia.se and we will fix it.