Steps to Incorporating an LLC in Michigan
- You have to conduct a name availability search to ensure the name of the company can be used for business. The name of the LLC cannot have a resemblance to any other entity registered with the Michigan Department of Energy, Labor & Economic Growth. Search the department website to ensure that the LLC name is distinguishable from other businesses that operate in the state. An LLC identifier like "limited liability company," or an abbreviation of the phrase, needs to appear in the legal name of the Michigan LLC.
- The Michigan Department of Energy, Labor & Economic Growth website provides business owners with fill-in-the-blank articles of organization. You must provide the legal name of the company and the principal address of the business. The name and address of each organizer must appear in the articles, along with the name and physical address of the company's registered agent. The LLC's registered agent address indicates where the company's lawsuit and other official business documents get delivered. You must state whether the LLC will be managed by members of the business, or if the company has a manager-managed structure. A combination of members and non-members can act as managers of a Michigan LLC when the company adopts a manager-managed business structure.
- As of 2011, it costs $50 to file articles of organization with the Michigan Department of Energy, Labor & Economic Growth. You can fax the completed articles of organization to 1-517-241-6445, or mail it to P.O. Box 30054, Lansing, MI 48909. The articles can get delivered in person at 2501 Woodlake Circle, Okemos, MI, from 8 a.m. to 5 p.m., Monday through Friday.
- A written operating agreement needs to get created which will provide the rules and regulations for running the business. The state of Michigan does not offer specific guidelines in terms of creating an operating agreement, which allows members of the business to implement whatever rules deemed necessary to operate the company. A Michigan LLC's operating agreement acts as an internal document that needs to stay at the company's primary office, since the state does not require an LLC to file an operating agreement. The operating agreement may contain information such as each member's ownership interest in the business, the time and manner that profits will get allocated to LLC members, and the duties of the company's managers.
- Every LLC in Michigan that wants to be taxed like a corporation has to complete and file Form 8832 with the Internal Revenue Service. You can print Form 8832 from the IRS website. The Michigan LLC has to have a minimum of two members to be taxed like a corporation. Provide information on Form 8832 such as the legal name and address of the business, and check the appropriate box indicating the company desires to be taxed as a corporation. The date when you want the election to take effect must be included on Form 8832. The signature of a member, manager or authorized individual must appear on Form 8832. Mail Form 8832 to the Department of Treasury, Internal Revenue Service, Cincinnati, OH 45999.