If you want to start an LLC in Missouri, then you are in the right place. For those who don’t know, an LLC is a limited liability company, and this is a business form that you may choose to use for a variety of reasons.

For instance, an LLC is a good type of company to start if you don’t want to be legally or financially liable for the company itself. Furthermore, an LLC also allows you to determine how to divide up profits and losses.

It has many different benefits, but you also need to know how to start one. For instance, in the state of Missouri, you’ll need to take several steps to start a limited liability company. Today, we are providing you with a step-by-step tutorial so you can start an LLC in the state of Missouri.

Step 1: Create a Business Plan

Although drafting a business plan is technically not a legal requirement to start an LLC in Missouri, it is still a good idea. A business plan is a document that provides you with a focus and acts as a blueprint for the next steps. At the very least, a business plan is a good document to have to share with investors and lenders when you go looking for funding.

There are several pieces of information that you should include in a business plan, including what your business ‘s goals are, how the LLC will function, and more. There are several other pieces of information that you may want to include, such as the following:

  • The field or market back to the business is in.
  • What sort of value the company can provide the marketplace.
  • How you will structure the management and the internal workforce.
  • What your budget is and how you will achieve proper funding.
  • What your marketing plan is like.

Step 2: Research the Different Business Structures

Before you choose to start a limited liability company, you should research what the various different business structures are. This is just to ensure that you are starting the right kind of business for your needs.

For instance, there are several benefits of starting a limited liability company in Missouri, including the fact that the state offers limited liability protection to all members of an LLC. Missouri also has a very business friendly climate with very low operating costs and great access to many different markets.

Furthermore, Missouri does not impose any sort of franchise tax on limited liability companies, such as many other states do.

However, a drawback of starting an LLC in the state of Missouri is that the initial filing fees are quite high, and you’ll have to file an annual report along with another fee. We recommend doing a little bit more research into the limited liability company business structure to determine whether or not it’s the right option for you.

Step 3: Register the Business Name

The next step you have to follow when starting a limited liability company in the state of Missouri is to choose your business name. We strongly recommend visiting the Missouri Secretary of State business search page to see if your business name is available.

For you to legally form an LLC in Missouri, the name has to be available. This means that it is not in use by another company. Furthermore, the name of your company must also include certain words or initials, such as limited liability company, limited company, LLC, LC, or L.C.

It’s worth noting that if available, you can register a fictitious name for marketing. This is called a DBA or trade name.

However, the business search page of Missouri won’t tell you if your business name is being used in other states in the USA, which means that you also need to do a nationwide trademark search to see if your business name is available across the country.

You should of course consider other factors when choosing a business name as well. The business name should reflect your brand, it should be easy to remember, and you should be able to find an available domain name for it as well. Chances are almost 100% that you need a website, so your domain needs to be available as well.

Other useful topics:
The Comprehensive Guide to Business Name Registration
Business Name and Trademark: What are the Main Differences for Entrepreneurs

Step 4: Appoint an Appropriate Registered Agent

One thing that every limited liability company in the state of Missouri needs is a registered agent. A registered agent can be an entity or business that specializes in serving as registered agents. However, the registered agent can also be an individual, and in some cases may be yourself. Even though the LLC itself cannot serve as a registered agent for itself, another member, even you can.

Your business needs a registered agent to receive a variety of government documentation and legal notices. For the record, a registered agent is also known as an agent for service of process. There are some requirements to follow here, including that a registered agent has to be available during business hours at the physical location, which must be in Missouri.

In Missouri, your registered agent’s address must match your LLC’s address. The company or resident, if authorized to do business in Missouri, can be a registered agent. Before finalizing, file a consent statement with the agent’s signature. This must be submitted with your limited liability company Missouri articles of organization, which we’ll cover in the next section.

Step 5: File the Articles of Organization

Remember that to find your articles of organization in the state of Missouri you must first have an appointed registered agent. Once you have a registered agent, you then have to file your articles of organization.

This is perhaps one of the most important steps when starting a limited liability company in Missouri. Once you fill out all of the proper paperwork and pay your fees, the state of Missouri should then accept your application. At this point, you will officially have a registered limited liability company in the state of Missouri.

 However, there are a few requirements that you have to meet before you can get your articles of organization. You need to have a:

  1. formal business name
  2. a trade name
  3. a registered agent
  4. an address for the registered agent
  5. the addresses and signatures of all organizers of the limited liability company

There are several other pieces of information you need to include, such as the following.

  • A statement that describes the purpose of the company.
  • A statement clarifying if the LLC will exist until it is formally dissolved at any given date, or if it will be dissolved at a specific time.
  • The date of the document, if it is not the same as the filing date.
  • You need to distinguish if your limited liability company is managed by a manager or if it is member managed.

Step 6: Get Your EIN

To operate your business in the state of Missouri as a limited liability company, you need to have an employer identification number, otherwise known as the EIN. You need to have an employer identification number to open a business bank account, to file taxes, to hire employees, and to apply for business loans.

In fact, without an EIN, your LLC cannot legally file taxes, and of course your business has to file taxes to be legal. Just for the record, and EIN is for a business whereas a Social Security number is for an individual.

For single-person LLCs, using your Social Security number is possible but not advised. Using an EIN keeps business and personal finances distinct. It also keeps your SSN confidential.

Step 7: Create the Operating Agreement

Whereas most states give you the option of whether or not you want to create an operating agreement, it is legally required in Missouri. You don’t have to file the operating agreement with the state, but it has to exist in real life.

For those who don’t know, an operating agreement is a contract that is legally enforceable if there is a legal dispute or a breach. Therefore, you have to be very concise when formulating the operating agreement.

Several pieces of information are crucial in an operating agreement. These details are important for future reference. While Missouri doesn’t mandate specific inclusions, adding certain details is wise. These include:

  • How the limited liability company will be taxed.
  • How often and when company meetings are held.
  • What the voting rights of members look like.
  • Which members own how much of the company.
  • Loss and distribution protocol.
  • Responsibilities, powers, and duties of investors, managers, and members.
  • Dissolution, sale, and bio procedures.
  • Liability and indemnification.

How Much Does it Cost to Form an LLC in Missouri?

In the state of Missouri, expect to pay $50 to form your LLC. The cost for foreign limited liability companies is $105. It also costs $20 per year to file your annual report in the state of Missouri, whereas foreign limited liability companies have to pay $100 to file this annual report.