Form an Arizona LLC (Limited Liability Company) | InCorp

Form an Arizona LLC (Limited Liability Company)

Arizona LLC Formation Service $99!*

*Plus state fees for all 50 States and D.C. Prices may vary for USA territories.

FORM YOUR ARIZONA LLC
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LEARN MORE: WHAT IS A LLC | HOW TO START A LLC | REGISTERED AGENT | LLC BENEFITS | TAX ADVANTAGES | ABILITY TO RAISE CAPITAL | LIABILITY AND ASSET PROTECTION | ARTICLES OF ORGANIZATION | OPERATING AGREEMENT | CERTIFICATE OF ORGANIZATION | STATE FEES | FAQ

InCorp leads the industry by providing cost-effective and innovative services in forming your brand-new Corporation, Arizona Limited-Liability Company (LLC), or any other business entity throughout the entirety of the United States and the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.

What Is an LLC?

An Arizona Limited Liability Company or "LLC" is a specific type of business structure that combines beneficial characteristics of partnerships, corporations, and sole proprietorships into a consolidated and flexible form of business that is widely used and preferred amongst many small business owners.

How Can Forming an Arizona Limited Liability Company Help Your Business?

  • Easy to Manage

    The idea of the freedom to contract is the premise in which the structure of the LLC was founded, meaning owners are only required to agree amongst each other regarding how the company will operate. This agreement would be upheld within the courts. LLCs aren't legally obligated to carry out and record certain procedures such as amendments, annual board meetings, resolutions, and meeting minutes in the same way corporations are. In most states, owners of corporations that do not abide by these legal requirements may lose their asset and liability protection that is regularly extended to the corporate structure. Nevada has different circumstances, however, as they will only pierce the corporate veil in cases of fraud, as the aforementioned corporate procedures are not legally required. Again, each business will have varying circumstances that will help determine which legal business structure is most appropriate.

  • Tax Advantages

    An LLC's structure legally separates the business owners from the business (like a corporation). However, it also allows the LLC to be treated like a partnership for tax purposes. In this scenario, taxes aren't paid by the LLC itself, but the income is moved to the owners, as with partnerships. The tax regulations governing partnerships are more flexible, allowing for more freedom in tax planning. Business owners can search for ways to take advantage of tax breaks they may qualify for. All business's circumstances are different, and this will help establish whether an Arizona limited liablity company or corporation is the most appropriate and offers the best tax advantages to the business.

  • Ability to Raise Capital

    When a business chooses to structure itself as an LLC, it has the ability to add new owners (called members) in an easy and straightforward process, and there is no limitation in how many members can be added. These additional members and investors can include individuals, corporations, trusts, or pension plans and are not required to be within the same state or even within the U.S. In addition, an LLC can be created in a state where its owners do not personally live. For instance, an LLC can be formed by its creators in the pro-business state of Nevada, even if they have never personally been to the state themselves.

  • Liability and Asset Protection

    In the world of today's business and commerce, lawsuits are a frequent and common occurrence. Therefore, it is essential to protect yourself by imposing legal safeguards between you and your creditors. Limited liability companies operate as entirely separate legal entities and separate business owners from the business itself, effectively protecting them. Business owners are not personally liable for debts associated with their LLCs, even those regarding a contract or tort. For the most part, the operating agreement allows the various parties to include any procedures and rules they would like to. When put into effect, it can remain indefinitely without the need for maintenance or updates. The operating agreement's initial drafting is vital because it must comply with IRS and state regulations to tax the LLC as a partnership and not as a corporation.

  • Co-Owner Liability

    In all U.S. states, LLC owners (members) are not typically held personally liable for another co-owner's or employee's wrongdoings. Corporations also protect this type of personal liability, while partnerships and sole proprietorships do not.

    Suppose an LLC is held responsible for negligence or wrongful actions of an employee or another owner. In that case, it can have financial assets or property taken from it due to an unfavorable judgment against it. The innocent LLC members will not be held personally liable; however, the owner or employee who perpetrated the act can be held personally responsible for their actions.

Why Choose InCorp Services to Form Your Arizona LLC?

  • Help Prevent Corporate Identity Theft

    EntityWatch® advises you of changes to help prevent corporate identity theft. Through EntityWatch®, the innovative and proprietary technology developed first by InCorp, our information system ties into most of the state databases to give you up-to-date information on the status of your entities including the filing status, the current registered agent, officers, and directors.

  • Consolidate Expenses

    For multi-state companies, you will receive a consolidated bill for all your business entities in every state represented.

llc registration testimonial

"The InCorp app lets you know the status of the companies you have in the palm of your hand."

Felix

  • Save Money

    For over 20 years we have provided top-tier service with one of the lowest prices in the industry and have only raised our prices one time (while many of our competitors raise their prices on their long-term clients yearly!) Our standard fee to Form your LLC is $99 and to serve as your Arizona registered agent is only $129 per state per year! And you can save even more when you choose multi-year registered agent service.

  • Fast Support and Service

    Over-the-counter expedited business document filing service are available for most states. Receive notification of all service of process forms in real-time and receive said service of process within 24-hours of receipt via Express Mail, facsimile, or email.

  • File Correctly with Expert Assistance

    In choosing InCorp, you are given the opportunity to choose between filing online with our safe and secure ordering system or you can choose to employ the expertise, knowledge, and dedication of our experienced and professional business specialists to meet the needs of your LLC formation process. Our expansive options, extensive range of services, technological innovation, and dedication to creating a highly satisfying customer experience are what sets InCorp apart and designates us as the preference amongst business owners across the country for LLC registration and registered agent services.

  • Registered Agent Service in Arizona & Nationwide

    Arizona LLCs, as with corporations and other business entities, do generally require a registered agent to act according to the law. InCorp is happy to help you in fulfilling this need.

    Take the opportunity today to install the legal protections permitted to you by the law!

Still unsure whether to choose an LLC for your business?

No matter which business structure you select, it must be chosen carefully and for the correct reasons. We will gladly assist you in making the right choice!

If you are considering starting a new business and are researching various options, it's important that you are able to understand your options regarding LLC creation. With InCorp, you can have no doubt that our knowledgeable and experienced business experts are going to help you throughout the entire process of incorporation, step by step. We will make sure that you have a broad understanding of what your business entity can do for you. We will also gladly assure you that we will beat any competitor's price points for incorporating a business, LLC formation, or any of our other business services or products that we offer our customers.

Read our Why Should I Incorporate page or Compare Entity Types page for more information.

Step by Step Guide: How to Start an Arizona LLC

A limited liability company is a business entity that provides liability protection, certain tax advantages, and a simple, user-friendly management structure. Due to LLCs' ease of operation, they are commonly preferred by small businesses. However, creating an LLC will require that you complete certain processes, which include correctly filing paperwork with the state of Arizona. The following will serve as a step-by-step guide detailing the steps to form an LLC in Arizona.

Steps to Form an Arizona LLC

  1. Pick a Name for Your Arizona LLC
  2. Designate InCorp Services as your Registered Agent
  3. Submit LLC Articles of Organization
  4. Create an Operating Agreement
  5. Receive a Certificate from The State
  6. Acquire a Business License
  7. Obtain a Federal Tax ID Number/Employer Identification Number

1. Pick a Name for Your Arizona LLC

You will need to have a name that you can use while filing your Arizona LLC Articles of Organization, and there are certain things you will need to keep in mind in order to make sure that your name complies with the state's LLC naming requirements.

The following list contains some of the things to consider while naming your LLC:

  • Your LLC name needs to include LLC, LLC, Ltd. Liability Co., Ltd. Liability Company, or Limited Liability Company.
  • The name of your Arizona Limited Liability Company must not contain words or acronyms that could confuse it with a governmental entity, such as FDA, EPA, State Department, etc.
  • The LLC name can use the name of a city, town, or state, but it cannot include words such as "city" as it may be confused with a municipal entity.
  • Your LLC name must not be used by another Arizona LLC within the state.
  • The name of your Arizona LLC cannot include words such as Corporation, Inc., Trust, Incorporated, etc., that make it sound like a different type of business entity.
  • Including words in the LLC name such as bank, credit union, lawyer, university, etc., may require that you provide certain licensure and documentation.

2. Designate InCorp Services as your Registered Agent

Your Arizona registered agent's physical address will be publicly available through your Articles of Organization; for this reason, many business owners choose to use a registered agent service in order to keep their physical address private.

All states require that your LLC have a registered agent. A registered agent is a designated individual or legal entity that receives official legal documents, service of process in the case of a lawsuit, and notifications from the state on behalf of your LLC. A registered agent must have a physical address within the state and must be able to receive mail at all times during standard business hours.

You can designate InCorp Services as your registered agent and have the benefits and protection of a professional service provider.

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3. Submit Arizona LLC Articles of Organization

Your Articles of Organization are a public and legal document that is used to establish your LLC by laying out its basic information. You can submit your Articles of Organization online, in person, or by mail.

You will need to have the following information in order to file your Articles of Organization:

  • The business name of your Arizona LLC.
  • Your registered agent's name and physical address within Arizona.
  • The purpose and basic description of the company.
  • Management structure: Will your LLC be managed by its members or by designated managers.
  • Contact name and phone number.

Once your Articles of Organization have been approved by the state, your Arizona LLC will officially be established.

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4. Create an Arizona LLC Operating Agreement

An operating agreement that details the manner in which your LLC will conduct its business. The LLC operating agreement will help outline how your business will function and can help settle any potential disputes regarding financial matters or other issues amongst the LLC's members.

For example, your operating agreement can outline the distribution of control, responsibilities, membership duties, etc. If there is a lawsuit that arises within your LLC without this operating agreement in place, the courts will utilize state law in order to make decisions on the case, which may or may not be in the best interest of the LLC or its members.

Your Arizona LLC operating agreement can include the following details:

  • The LLC's business name, address, and main contact number.
  • Name and address of the LLC's Arizona registered agent.
  • Information regarding the LLC's Articles of Organization.
  • Why the LLC was created and what role it seeks to fill.
  • Who the LLC's various members are and what duties they are expected to perform.
  • How financial gains and losses will be divided amongst the LLC's members.
  • How the LLC will add new members.
  • How the LLC will manage departing members.
  • How the LLC will be managed.
  • Liability concerns.

5. Receive a Certificate from the State

Once your Articles of Organization have been filed and approved by the state, you will receive a Certificate of Organization that formalizes the existence of your Arizona LLC.

If your Articles of Organization were filed through the mail, you should expect to receive this certificate along with your stamped and approved Articles of Organization in the mail. If you filed your Articles of Organization online, you can access and print out your Certificate of Organization and stamped and approved Articles of Organization on the state's online database.

Once you receive this certificate, you will be able to obtain a business license, a Federal Tax ID Number/Employer Identification Number or EIN, and open an LLC bank account.

6. Acquire Local and/or Arizona Business License

A business license is a government-issued permit that will allow your LLC to conduct business legally within the governmental body's jurisdiction.

Business licenses in Arizona can be applied for through the state online or through the mail. Depending on the type of business licensing you apply for, it may require that you renew it annually and pay a fee in order to do so. Once you receive your business license, your LLC can lawfully conduct business in the state.

7. Obtain a Federal Tax ID Number/EIN and Open an LLC Bank Account

A Federal Tax ID Number or Employer Identification Number (EIN for short) functions as a social security number for your Arizona LLC.

It is assigned to you by the Internal Revenue Service and helps identify your LLC for tax filings and reporting. You can apply for a Federal Tax ID Number/Employer Identification Number through the IRS or InCorp can obtain your EIN number for you.

Once you obtain your Federal Tax ID Number/Employer Identification Number, you will be able to do the following:

  • Open a bank account on behalf of your new LLC
  • File and manage your LLC's federal and state taxes
  • Hire employees to work for your LLC

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Conclusion

Once these initial steps have been completed, you'll be ready to operate your Arizona LLC legally. An LLC can provide you legal protection so that you can safely operate your business without jeopardizing your own personal assets. Once your LLC is established, you will be able to do the following:

  • Obtain specific permits and licenses that are relevant and necessary to operate the type of business you own.
  • File your LLC's taxes on the federal and state levels.
  • Apply for business credit cards.
  • Obtain various types of insurance for your LLC.
  • Protect your intellectual property such as your LLC business name and logo with a trademark.

Arizona LLC Frequently Asked Questions

"LLC" and "Corporation" have many of the same characteristics. The most important characteristic they share is that they both offer limited liability protection to their owners. Typically, shareholders are not liable for the debts and obligations of the corporation; thus, creditors will not come knocking at the door of a shareholder to pay the debts of the corporation. In a partnership or sole proprietorship, the owner's personal assets may be used to pay debts of the business. With an LLC, the members are not personally liable for the debts and obligations of the corporation. There are many important differences between the corporation and LLC. The entities are taxed differently. An LLC is a pass-through tax entity. This means that the income to the entity is not taxed at the entity level; however, the entity does complete a tax return. The income or loss as shown on this return is "passed through" the business entity to the individual shareholders or interest holders, and is reported on their individual tax returns. With a standard corporation, the corporation is a separately taxable entity. Corporations are treated as separate legal taxable entities for income tax purposes. Therefore, corporations pay tax on their earnings. If corporate earnings are distributed to shareholders in the form of dividends, the corporation does not receive the reasonable business expense deduction, and dividend income is taxed as regular income to the shareholders. Thus, to the extent that earnings are distributed to shareholders as dividends, there is a double tax on earnings at the corporate and shareholder level.

In terms of reporting income, they are quite similar. The LLC is somewhat less restrictive than the "S" corporation. There can be any number of members, and there are few restrictions on who those members may be. They are also a relatively new entity, so there is not as great a definitive body of tax rulings on them as there is with corporations.

Getting started is easier than you think! Click here to build and price your new LLC , or call us at 1-800-2INCORP (1-800-246-2677) today to speak with one of our consultants. We will give you a free consultation with no obligation to purchase!

We can begin today and in some cases (like Nevada), have your corporation formed within 24-hours. All states differ in the turnaround time of their processing of your corporation. However, through relations with the various state offices, we strive to maintain the fastest turn-around times in the industry. Call and speak with one of our consultants to obtain the average turn-around time for any given state.

In most cases, the answer is no. In most states, InCorp assigns itself as the "incorporator" and is able to file all of the paperwork without an officer's signature. Some states require the officer's signatures on the Articles of Incorporation. In those cases, we will overnight the documents to you for your signature and have you return them to us, or use a facsimile signature to fulfill the requirement. In either case, you are not required to be present to form your corporation.

No. This is a common misconception among small-business owners, usually fostered by advice from an inexperienced accountant. Any seasoned advisor will tell you that incorporating is the first and foremost thing you should do when starting a business. Forming an LLC will not only save you taxes but it will also limit your exposure to IRS audits by separating your personal and business expenses.

The title of the document filed in many states to register a limited liability company (LLC) with the state. Also known as articles of formation.

Managers are the individuals who are responsible for the maintenance, administration and management of the affairs of a limited liability company (LLC). In most states, the managers serve a particular term and report to and serve at the discretion of the members. Specific duties of the managers may be detailed in the articles of organization or the operating agreement of the LLC. In some states, the members of an LLC may also serve as the managers.

The owner(s) of a limited liability company (LLC are the Members. Unless the articles of organization or operating agreement provide otherwise, management of an LLC is vested in the members in proportion to their ownership interest in the company.

Arizona State Fees

Entity Type
Registered Agent Change
Entity Formation State Fee
Limited Partnership
$13
$13
Arizona Limited Liability Company
$5
$50
Arizona Limited-Liability Partnership
$13
$16
Arizona Non-Profit Corporation
$0
$40
Arizona Profit Corporation
$0
$60
Arizona S-Corporation
$0
$60
Arizona Foreign Limited Partnership Qualification
$13
$23
Arizona Foreign Limited Liability Company Qualification
$5
$150
Arizona Foreign Non-Profit Corporation Qualification
$0
$175
Arizona Foreign Profit Corporation Qualification
$0
$175

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