How to Register an LLC for Clothing

Introduction

Whenever starting a business people are often perplexed by the thought about how would they register it.  If you’re looking to start your own clothing brand, you probably have many questions about how to get started. You may have even heard from others that it’s difficult to register an LLC in clothing. That isn’t true! In this post, I’ll explain exactly how you can go about registering your own LLC for a clothing brand.

You need to know what you are going to name your LLC

Prior organizing the business you need to discover its name. The name of a business is called a “doing business as” (DBA) name because it is the name that appears on documents when doing business. You should choose a name that is not already taken and sufficiently describes what you do. It also needs to be easy for people to remember, not offensive, and not too long.

You’ll have to file Articles of Organization with the state

You can do this online or by mail. Your articles of organization will be filed with the secretary of state and contain information about your business, such as its name and address and its agent. The state will send you a copy of your articles of organization. You may also receive a certificate of formation from the Secretary of State’s Office, which verifies that your LLC was successfully registered in California.

You’ll be required to appoint a Registered Agent

A registered agent is a person or company that is authorized to accept legal service of process on behalf of the limited liability company (LLC). A registered agent must be an individual resident of the state where the LLC is registered, with a physical street address maintained in that jurisdiction.

You need an Operating Agreement

An operating agreement is a document that outlines the relationship between your LLC and its members. It can be as simple or as complex as you choose, depending on the needs of your business.

  • What should be included in an operating agreement?

The articles of organization will tell you how many members must be involved in creating and owning shares in an LLC. Once those requirements are met, it’s up to you to determine who gets what percentage of ownership. The remaining percentages are usually divided among additional owners—known as “managers”—who oversee day-to-day operations but do not have voting rights when it comes time for general meetings.

File an employer identification number filing with the IRS

You can get an EIN online for free at irs.gov. You’ll need to fill out Form SS-4 and submit it through the mail or fax. Once you do, the IRS will assign you an employer identification number and send it to you within four to six weeks. The EIN is a nine-digit number that identifies your business with the IRS and allows them to track your taxes and report on what you owe each year.

Once you have your EIN, use it when filing annual tax returns (IRS Form 1040), applying for a business license in your state, applying for credit cards or loans as an individual or corporation (depending on how many people are involved), opening bank accounts as an LLC entity rather than as individuals (this reduces liability exposure by protecting personal assets from business debts), filing unemployment claims if necessary—and more!

Get a business license and permits for your business

You’re going to need a business license and permits for your clothing brand. This is certainly not a requirement, but it’s highly recommended that you get these in order to avoid legal trouble. You can get them from your local government office or city hall. It will cost money, but they’ll be good for up to one year before they need to be renewed again.

 Looking to start a clothing brand?

Here are the steps you would take to make it official and legal.

You’re thinking about starting a clothing brand and want to know the steps you will need to take in order to register your company with the state. Below are some of the things you will need to do in order to legally register your business in any state you desire to.

  • Choose a name for your LLC
  • File articles of organization with the state
  • Appoint a registered agent
  • Create an operating agreement (you can use our template)
  • File an employer identification number filing with the IRS

Conclusion

This article has given you all the information you need to know about how to register an LLC in clothing. We hope that it has been quite helpful and if there are any other questions, don’t hesitate to contact us!

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