As you look to create your very own LLC in the US, there’s no doubt you want to take all the proper steps and ensure you give the company the very best chances of success. With that comes a number of factors including which state you choose to form the LLC in. Did you know that different states offer different benefits and regulations for forming an LLC? There are some known to be more “friendly” towards LLC creation.
So, which are the best states to form an LLC in the US, and which ones should you have your eyes on? Here’s a look at four states to consider forming an LLC in.
With an individual income tax rate and a corporate tax rate of 0%, it’s hard to find a more welcoming state to set up an LLC in than Wyoming. This state has been a top choice among those creating an LLC for quite some time now and is often top of the list in the entire country. It’s also worth noting that the sales tax is very low, as is the average effective property tax rate. All signs point to a very promising environment to form your LLC.
Nevada is another state that often sits high on the list of the best states to form an LLC in. Just like Wyoming, there is a 0% individual tax rate and a corporate tax rate, which is very attractive to newly formed LLC’s. While the average effective property tax rate is a bit higher than Wyoming, its sales tax rate tends to be quite reasonable.
Utah is another state worth looking into when you form an LLC. It has a corporate and individual tax rate that is highly competitive with other states and a very low state sales tax rate. Unemployment is also relatively low, all of which are good indicators for the state.
Here’s a state that is often quite popular among those setting up an LLC. Delaware has worked hard to create a reputation for itself that it is friendly to businesses, which includes LLCs. One of the biggest draws in forming an LLC in Delaware is the fact it doesn’t tax income that comes from out-of-state. This is a pretty big advantage and can result in a rather sizeable amount of savings.
Refer to a Registered Agent Service for Help
Of course, all of this information can be shared with you by a registered agent service that will help you to form your LLC. These reviews on startups anonymous will help you figure out which agent is best for you and your needs, and ensure your LLC gets off to a good start.
While these four states certainly stand out as top contenders in which to form an LLC, this certainly isn’t the complete list. In fact, there are many states that offer benefits and advantages with best llc formation services, so it’s important you look into each one before coming to a conclusion.
Interesting Related Article: “Why Entrepreneurs Want to Invest with an LLC“