Table of Contents
Key Takeaways
- You set up an LLC by filing Articles of Organization with the state and appointing a registered agent.
- An operating agreement and an EIN complete the basic structure, and how the LLC is taxed is a separate election that affects the owner’s tax bill.
- In Georgia, filing the Articles of Organization costs $100 online, plus a $50 annual registration each year.
- Owners who set up the entity and its tax structure together avoid costly do-overs.
The hardest part of forming an LLC is rarely the paperwork. It is knowing the correct order of the steps and how the setup decides what your business pays in taxes. By the time you are ready to file, the LLC is usually settled, and the real question is how to set up an LLC correctly, from the first filing to the federal tax election.
Small mistakes carry real cost. A wrong form or a skipped operating agreement can lead to a rejected filing or disputes among owners later, and defaulting into the wrong tax treatment can raise the tax bill for years. A do-it-yourself setup that looks finished can leave gaps that surface during the first tax season.
We set up LLCs and structure the tax treatment together in Georgia and across all 50 states. Because we handle the business formation and the federal tax election as one process, the entity and its tax setup match from the first filing. Our Enrolled Agents can represent taxpayers before the IRS, so the tax side is set by the people who deal with the agency directly.
What Is an LLC, and Why Structure Your Business as One?
An LLC, or limited liability company, is a business structure created under state law that gives its owners limited personal liability along with flexible, pass-through taxation. The structure separates the owner’s personal assets from the debts and obligations of the business, which is the main reason owners choose it.
The structure offers three practical advantages:
- Liability separation that keeps personal assets apart from business debts and claims
- Pass-through taxation, where profits are reported on the owners’ returns rather than taxed at the entity level by default
- Management flexibility, since owners can run the company themselves or appoint managers
There are trade-offs to weigh. An LLC carries formation and annual state fees, and owners who actively work in the business generally pay self-employment tax on their share of the profits.
How Do You Set Up an LLC?
You set up an LLC by registering the business with the state and then putting its internal and tax structure in place. The core process follows six steps:
- Choose and check your business name against the state’s records to confirm it is available.
- Appoint a registered agent with a street address in the state of formation.
- File the Articles of Organization with the state and pay the filing fee.
- Create an operating agreement that sets out ownership, voting, and how profits are shared.
- Get an Employer Identification Number (EIN) from the IRS.
- Open a business bank account and register for any state taxes and licenses the business needs.
The steps to set up an LLC look straightforward on paper. In practice, the operating agreement and the tax registration are where owners most often need help getting the details right.
How Much Does It Cost and How Long Does It Take to Set Up an LLC?
The cost and timing of setting up an LLC depend on the state where you file. State filing fees generally range from about $50 to $500, and processing can take anywhere from a few business days to several weeks, depending on the state and whether you pay for expedited service.
In Georgia, the Secretary of State charges $100 to file the Articles of Organization online, or $110 by mail, which adds a $10 service charge. Online filings are typically processed in about 7 business days and mailed filings in about 15, with paid expedite options available. Georgia LLCs also pay a $50 annual registration each year.
How Is an LLC Structured and Taxed?
An LLC’s structure has two layers: how it is organized internally and how it is taxed. Internally, an LLC can be single-member or multi-member and either member-managed, where the owners run the company, or manager-managed, where they appoint a manager to run it. The operating agreement records these choices and governs how the company operates.
By default, the IRS classifies a single-member LLC as a disregarded entity and a multi-member LLC as a partnership, so profits pass through to the owners’ returns. An LLC can also elect to be taxed as a corporation or as an S corporation by filing the appropriate form with the IRS.
That election is a tax choice rather than a change of entity, and it can change what the owners pay. Whether an S corporation election makes sense depends on the owners’ income and goals, and you can compare LLCs, S corps, and other business entities to see how each one is taxed.
How to Set Up an LLC in Georgia
In Georgia, you set up an LLC by filing the Articles of Organization (Form CD 030) and a transmittal form with the Georgia Secretary of State Corporations Division, naming a registered agent with a Georgia address, and filing an annual registration each year between January 1 and April 1. The filing fee is $100 online, or $110 by mail, and the annual registration is $50 ($60 by mail). The Georgia Limited Liability Company Act, codified at O.C.G.A. Section 14-11-100 et seq., governs how these companies are formed and run.
We set up LLCs for owners across Atlanta, Gwinnett County, and Norcross, and our Atlanta business formation team manages the filing from the name check to approved Articles. The official filing steps are published on the Georgia.gov LLC registration page. The LLC filing is one piece of registering a business in Atlanta, Georgia, which also involves local licensing and tax registration.
Why Business Owners Choose King of Kings Business and Tax Advisory LLC
When you are ready to form your LLC, you want the entity registered correctly and the tax election made with the full picture in view, not handled as two disconnected tasks. Gaps tend to open up when the filing and the tax setup sit with two different providers. We handle both together.
Our Enrolled Agents can represent taxpayers before the IRS and are governed by IRS Circular 230, and we have served the Atlanta area since 2012. We work with clients in English and Spanish, and we handle business formations in all 50 states.
Client Testimonials
“I highly recommend the services from king of kings. Their whole status is very professional and friendly. Their customer service is outstanding. Their prices are great and the value even more.” — Cesar M.
“I highly recommend King of Kings firm for any accounting, taxes, or business related inquiries. The professionalism that I experienced with them is unmatched. Thank you King of Kings team for all your help during my process!” — Abner F.
Frequently Asked Questions About Setting Up an LLC
Do I Need an Operating Agreement for a Single-Member LLC?
Most states do not require an operating agreement for a single-member LLC, but it is still worth having. It documents that the business is separate from you personally, which supports your liability protection, and it sets the rules for what happens if you add owners or sell the company.
Can I Be My Own Registered Agent?
Yes. You can serve as your own registered agent if you have a physical street address in the state of formation and are available during business hours to receive legal documents. Many owners use a registered agent service instead to keep a home address off public records and avoid missed notices.
Do I Need an EIN If My LLC Has No Employees?
Often, yes. A single-member LLC with no employees can sometimes use the owner’s Social Security number, but most owners need an EIN to open a business bank account, and any multi-member LLC must have one. An EIN from the IRS is complimentary and takes only a few minutes to request online.
Can I Set Up an LLC in a State Where I Do Not Live?
Yes. You can form an LLC in any state, even one where you do not live, although you will need a registered agent with an address in that state. Owners who form out of state often have to register as a foreign LLC in their home state as well, which adds cost and filings.
Set Up Your LLC with Help from King of Kings Business and Tax Advisory LLC
Once you have settled on an LLC, the work that remains is getting the filing and the tax structure right the first time. We register the entity and handle the federal tax election together, so you are not left reconciling two separate pieces of advice. You can start with a complimentary consultation to set up your LLC and its tax structure as one process. Call us at 678-249-9899 or contact us online to get started.
Written By Juan Quintanilla
Juan Quintanilla is a distinguished Enrolled Agent and seasoned financial strategist with over 18 years of experience spanning tax advisory, financial planning, high-level investment strategy, and audit-compliant tax preparation. His expertise and results-driven approach have made him a trusted advisor to entrepreneurs and business owners across a wide range of industries.
