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Do I need a lawyer to set up an LLC in California?

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Changes brought forth by the Internal Revenue Service (IRS) have mandated new statutory laws and regulations at the state level permitting Limited Liability Company (LLC) to be operated and created for an unlimited lifetime. With these changes, federal and state laws have made it a lot easier for any citizen residing in the state to start and operate an LLC business. Improved changes in state laws have made it easier for residents to start their business with and without the aid of a lawyer. There are some filing and processing stages, but with the right help, you can set up an LLC within no time.


Would I require a lawyer to set up an LLC in California?

Depending on the extent to which you will be forming your business, in most cases the answer would be no, you do not require a lawyer to help you set up an LLC in the state of California. In regards to this, having a lawyer during the formation process will make things easier, but most of the state guidelines and requirements are somewhat straightforward and easy to comprehend.

New business owners can easily obtain the assistance of a lawyer, and there are hundreds of various formation service providers available. These services are relatively affordable, making it easier for any owner at any level possible to afford the services. There are some popular formation services available in California, and you can learn more about them in our formation guidelines.

How easy is it to set up an LLC in California?

It’s become very easy to set-up and form an LLC in the state, as the simple, yet straightforward guidelines have become less complex. In addition to this, there are some other requirements one will need to comply with, before and after forming your LLC, as this will entail your compliance with both state and federal entities.

How easy is it to set up an LLC without a lawyer in California?

During some stages of the formation process i.e. filing articles of organization or creating an operating agreement will seem like a delicate process. Although state guidelines are very easy to understand, you can always acquire the assistance of a business lawyer/attorney to help you during these phases. Lawyers will help with ease of set-up and can share their expertise, this is especially important when you’re starting an LLC with more than one partner.

What does the process of formation entail?

In many cases, forming a new business would require you to understand and approach each instance with an open mind. The formation process for an LLC in California starts with finding and creating a name for your LLC, as it can be fictitious or novel, it’s advised to research whether or not your desired name hasn’t already been used by another company. Furthermore, you would be obliged to appoint a service or registered agent who will become the responsible entity receiving important business and legal documents from the state and federal government. 

In the next two stages, you’ll have to file articles of organization and create an operating agreement that will outline (if there’s more than one owner), what role each person fills, and to what capacity? Finally, you’ll need to obtain and apply for an EIN or Employer Identification Number with the IRS via their website. These first five steps are fairly easy to maintain without the assistance of a lawyer and can be done on your own.

Depending on what the situation may be, but asking for legal advice on personal asset protection, assisting with corporate disputes, or helping to find solutions to your legal needs would be easier with the help of a lawyer. Their services are acquired only when needed, but starting and setting up an LLC in California is easier than one might think, and can be done in your capacity.