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Georgia LLC - How to Start an LLC in Georgia - YouTube

Channel: TRUiC

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How to Form an LLC in Georgia.

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If you are interested in starting an LLC in the peach state,

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you are not alone.

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Georgia has one of the highest rates

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of newly formed LLCs in the country.

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Every state has slightly different requirements

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for forming an LLC.

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Follow along closely to learn the required steps

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for creating your own Limited Liability Company

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in the state of Georgia.

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There are two ways to form an LLC in Georgia.

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You can form one yourself,

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or you can hire a service to do it for you.

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Let's start by looking at the five basic requirements

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to form an LLC in Georgia on your own.

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You can also find these steps

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and more detail on our website

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linked in the description below.

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1. Name your LLC.

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Every state has its own rules

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about what kind of names are allowed for LLCs.

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In general, you will need to observe

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these naming guidelines.

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Your name must include the phrase

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"Limited Liability Company"

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or one of its abbreviations, "LLC" or "L.L.C."

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with a period following each letter.

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Restricted words such as "bank," "attorney,"

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"law office," et cetera,

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may require additional paperwork

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and may also need a licensed professional

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to be part of the LLC.

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Your name cannot include words

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that could confuse your LLC with a government agency,

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such as FBI, Treasury, State Department, et cetera.

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You cannot use a name that is already been registered.

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To see if your name is available in your state,

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you'll need to do a name search.

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This free service is available on your state's

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Secretary of State website.

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Check out our free guide

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for finding the direct link to your state.

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We also recommend that you check to see

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if your business name is available as a web domain.

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Even if you don't plan to make a business website today,

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you may want to buy the URL

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in order to prevent others from acquiring it.

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2. Choose a registered agent.

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Georgia requires that you nominate a registered agent

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for your LLC, who is your business's

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point of contact with the state.

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The registered agent can be an individual

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within the company, including yourself,

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or you can hire a professional service

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authorized to do business in Georgia.

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They will send and receive legal papers on your behalf.

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These documents include official correspondents

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like legal summons and document filings,

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which your registered agent will receive

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and forward to you.

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Your registered agent will help remind you

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to file to necessary reports.

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Failure to properly maintain your LLC

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can result in fines and dissolution,

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so this assistance is valuable.

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3. File the articles of organization.

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To register your Georgia LLC,

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you will need to file the articles of organization

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with the Georgia Corporations Division.

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This can be done online or by mail,

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and will cost one hundred dollars.

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You will need to state whether your LLC will be

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member-managed or manager-managed.

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Member-managed means all members of the LLC

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manage the company.

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This is good for small organizations

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where everyone is involved in day-to-day operations.

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The second option is manager-managed,

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where individuals are appointed to manage the LLC.

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This is appropriate for large organizations

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where not everyone is involved

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in the day-to-day affairs of the business.

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4. Create an operating agreement.

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Although not every state requires it,

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you should always create an operating agreement

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to establish ownership terms

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and member roles for your LLC.

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This foundational document is the core of your LLC

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and will help you maintain your organization,

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as well as further establish your LLC

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as a separate legal entity.

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There are six main sections of an operating agreement.

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Organization outlines when and where

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the company was created, who the members are,

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and how the ownership is structured.

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Management and voting addresses

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how the company is managed, as well as how the members vote.

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Capital contributions covers which members

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financially support the LLC

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and how more funds will be raised in the future.

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Distributions outlines how the company's

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profits and losses are shared among members.

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Membership changes describes the process

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for adding or removing members,

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as well as if and when members can

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transfer their ownership shares.

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And dissolution, which explains

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the circumstances in which the LLC may be dissolved.

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An operating agreement is an internal document.

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It does not need to be filed with the state.

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However, it should be updated

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every time there is a change in membership

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or management at the company.

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You can download a free sample operating agreement

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or create a custom one

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using our free operating agreement tool

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at howtostartanllc.com.

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5. Obtain an EIN.

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Lastly, you'll need to get

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an Employer Identification Number, or EIN from the IRS.

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Also known as a Federal Tax Identification Number,

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your EIN is like a social security number for your LLC

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and is how the IRS tracks your business for tax purposes.

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An EIN is also necessary to open a business banking account

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and legally hire your employees.

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EINs are free of charge

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and can be obtained from the IRS

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online or through the mail.

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And with that, you will have formed

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a Georgia LLC on your own.

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Option 2, hire a professional service.

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The second way to create a Georgia LLC

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is to hire a professional service

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to create your LLC for you.

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Hiring a professional service to file your forms

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and act as your registered agent for the LLC

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will cost you an additional

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fifty to one-hundred fifty dollars.

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However, there are several benefits

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to working with a pro.

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A hired registered agent helps with

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getting your reports filed on time,

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helps you stay organized

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by keeping your business mail separate,

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and is available at all regular business hours

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to accept official mail and legal papers

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on your LLC's behalf.

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A final and important additional benefit

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of using a service is privacy.

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A professional service will provide a level of privacy

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by withholding your personal name

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and home address from the LLC's contact information.

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There are many reasons you might not want

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your personal information easily accessible

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and associated with your business.

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Hiring a professional LLC formation service

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is an easy way to accomplish this.

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Now that you have seen the different requirements

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and ways you can form an LLC in Georgia,

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visit our site and take some time to research your options

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and establish a solid foundation

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for your business activities.

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Click on the links in the description below

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to research the top five

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professional formations services,

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or get more information on how to form

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a Georgia LLC on your own.

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Now you know all the step to form an LLC in your state.

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For a more detailed guide,

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go to hotostartanllc.com.

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You can also create an operating agreement

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and use our business plan tool free of charge.

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Give the video a like if you found it useful

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and subscribe if you'd like to see more.

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And if you have questions or encounter any roadblocks,

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