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Home » LLC Formation » Virginia LLC

Quick facts about forming an Virginia LLC

Filing Fee$100
Processing Time1-3 business days online, 1-2 weeks by mail
Annual Report Fee$50, due each year by the end of the formation anniversary month
Registered Agent RequiredYes, must have a physical Virginia address
State Franchise TaxNone for LLCs
Business LicenseNo statewide license, but most counties and cities require a local business license
Managing AuthorityVirginia State Corporation Commission (SCC)

How to start an LLC in Virginia in 5 steps

If you’re starting a business and you want to officialize it, there are different types of businesses available. Starting a Limited Liability Company (LLC) in the states (and specifically in VA) allows small businesses to gain liability protection while taking advantage of a modern economy and a competitive advantage with affordable overall business operating costs.

Forming an LLC in Virginia has its benefits: It’s a business-friendly state, with several tax advantages for new businesses. Virginia is also a right-to-work state with numerous developmental programs and an educated workforce, which can make it even more appealing for some business owners.

To register LLC in VA, you’ll typically need to follow several steps, some of which involve the Virginia State Corporation Commission (SCC): A state agency that handles numerous legal processes for businesses, including LLCs. It also enforces rules for LLCs in the state, including collecting filing fees and enforcing name requirements.

Here’s a breakdown of the steps you’ll need to take in order to create an LLC in VA :

  1. Name your Virginia LLC
  2. Choose a registered agent
  3. File articles of organization
  4. Create an operating agreement
  5. Apply for an EIN

Below, you’ll find a detailed explanation and a helpful video to walk you through each step.

Step 1: Name your VA LLC

Choosing a name for your LLC is the first step in the process, and one of the first things you’ll want to do if you’re just starting a business. As you will see below, you will need to follow the states’ business entity naming rules when naming your business, and if you plan to start it later, you might want to reserve your desirable name in the meantime.

If you want to act under a different name than your legal business name, you will need to file a Virginia DBA. You should also consider registering it for a trademark in order to have stronger protection of it. If you plan to have a website for your business in the future, then it’s best practice to make sure your domain name is relevant, so it’s recommended to check that as well.

Most of this is done through the SCC. You can download the appropriate files or fill them out at scc.virginia.gov. 

Understand state name requirements and choose a name

Here are some of the main state requirements in regard to your Virginia LLC name:

  • VA companies must have a different name from all other business entities in the state or otherwise on file with the SCC. Therefore, you’ll need to do your best to verify that no companies in the state have a very similar name to you. Use the Name Availability tool on the SCC’s website to easily conduct a Virginia business entity search.
  • Your business name must include one of the following endings officially: Limited Liability Company; Limited Company; LLC; L.L.C.; L.C.; or LC
  • If your business falls under a professional LLC (only relevant if you’re a licensed professional such as a doctor, lawyer, engineer, etc.), you can choose from other endings like: P.L.L.C.; PLC; PLLC; and P.L.C. You do not have to use one of these as a professional service if you don’t want to, but it should still end with one of the approved LLC abbreviations
  • There are some restrictions on which words you can use as a part of your business name. For example, you cannot use words like “engineer,” “trust,” “bank,” “architecture,” or “land surveying” in your business’s name unless your company actually provides those licensed services to the public

Step 2: Appoint a Virginia registered agent

Virginia registered agent is mandatory for all LLCs in the state. This is a person or a business entity that accepts bureaucratic documents such as legal documentation, tax notices, etc. on behalf of the LLC. 

Virginia’s rules in this area are quite restrictive and specific on who can be the registered agent:

  • It has to be a resident of the state
  • An individual can serve as a registered agent, but only if they are licensed to practice law in the state
  • It can be a part of business management, such as an owner or an officer of the company
  • You can have a registered agent service authorized to act as an LLC’s registered agent in VA. We can help you with this as we are licensed in Virginia to provide this type of service

Once you appoint a registered agent, you have to list the registered office as the point of contact of the LLC.

Step 3: File articles of organization

The next step in the process to register LLC in VA is to file the articles of organization Virginia (Form LLC-1011). The form can be filed through the online portal (Virginia SCC), or by downloading and mailing it. It’s important to notice the difference between having a domestic LLC operating in Virginia, meaning an LLC that was established and operating in the state, and a foreign LLC established in a different state and operating in Virginia. Having a foreign LLC may incur additional fees. 

Filing Fees:

There is a $100 non-refundable fee. You must make payment online with a credit card or an eCheck. It is also possible to send a check payable to State Corporation Commission. It is important to include potential local licensing in your budget as well, as many businesses must obtain a business license VA.

  1.  

How to file

The SCC encourages individuals to complete all documentation online.

To do so, visit https://cis.scc.virginia.gov. If you have not done so, you’ll need to register an account on the site. You can then fill out the form and submit it online through that portal. 

You can also download the form from the website, print it, and mail it to one of the addresses listed above. 

However, if you plan to send this information via mail, you can do so at the following addresses:

State Corporation Commission
Clerk’s Office
P.O. Box 1197
Richmond, VA 23218-1197

Or send to:

Courier Delivery Address
1300 E. Main Street. 1st Floor
Richmond, VA 23219

Step 4: Create an operating agreement

The next step will be to create your Virginia LLC operating agreement, an internal document that establishes the guidelines for running the LLC (for example, it defines the specific rights of each member and manager within the business).

Virginia does not have any specific rules for operating agreements for LLCs, nor require you to create one. However, the operating agreement is a quite valuable business document, and it is typically worth investing in as you set out to create your LLC. 

One of its core aspects is outlining how the LLC should be managed and who is in charge of what, mainly because it helps distinguish the LLC as a business that is separate from any other organization and separate from your personal assets. This is even more important if your LLC is a multi-member LLC (i.e. there is more than one owner or officer). 

Some of the aspects to include in an operating agreement are:

  • An outline of the company’s products and services
  • The name and address of the LLC’s owner (or owners)
  • The name and address of the person managing or overseeing the business
  • Outline of each owner’s financial contributions to the company
  • An outline of each owner’s stake in the business, including their profit-sharing rights as well as any voting rights if established
  • The process of allowing new business partners or electing a new manager
  • What happens in case you plan to transfer some or all ownership of the business to another person
  • Specific procedures required to dissolve the company

If you do decide to create an operating agreement, it’s best practice to have each owner and member sign the documents and receive a copy of them, and file them with other business documents to keep close at hand. You do not have to file them with the state. They will become very important of you ever want to dissolve an LLC in Virginia.

Step 5: Apply for an EIN

An Employer Identification Number (EIN) is a big part of becoming a business owner. It is necessary if your LLC has more than one member.If you don’t have any employees and have just one member in your LLC, you may benefit from an EIN if you choose to have your LLC taxed as a corporation instead of as a sole proprietorship. 

The process of getting an EIN is simple and straightforward. The entire process is done through the IRS’s website. You’ll need to determine your eligibility, and complete and submit an online application. Your EIN is then immediately accessible to you, and you can download or save this information. 

To be eligible for an EIN, you must:

  • Apply for an EIN for a business located in the U.S.
  • Have a valid Taxpayer Identification Number. This could be your Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN number)

If you’re not sure whether you need an EIN, check out the IRS website. If you do not want to go through this process alone, you don’t have to. We can help you complete it as a part of the services we offer.

FAQ

How much does it create an LLC in Virginia?

Filing fees for registering your LLC is $100, but other costs might be incurred; read more about Virginia LLC cost factors you should know.

How long does it take to form an LLC in Virginia?

Online filings are usually processed within one to three business days, while mailed filings may take one to two weeks.

Do I need a registered agent for my Virginia LLC?

Yes, every Virginia LLC must appoint a registered agent with a physical address in the state.

Does Virginia require an operating agreement for LLCs?

Virginia does not require an operating agreement, but having one is recommended to clarify ownership and management responsibilities.

Does my Virginia LLC need to file an annual report?

Yes, all LLCs must file an annual report by their anniversary month and pay a $50 filing fee.

Does Virginia have a franchise tax for LLCs?

Virginia does not impose a franchise tax on LLCs.

Do I need a business license to operate an LLC in Virginia?

Virginia does not issue a statewide business license, but most cities and counties require a local business license based on your business activity.

How do I dissolve an LLC in Virginia?

You can dissolve a Virginia LLC by filing Articles of Cancellation and paying the $25 filing fee.

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