A North Dakota LLC is required to have a registered agent to process legal papers in the state. The agent can be an individual or business entity who is authorized to do business in North Dakota.
LLC’s must file the Articles of Organization to the North Dakota Secretary of State. The articles must contain the LLC’s name and the name of the registered agent. Other required information includes the LLC’s dissolution date if applicable, LLC’s purpose, start date, and the name and address of each organizer.
The name of a North Dakota LLC must contain the words “Limited Liability Company”, “L.L.C.”, or “LLC”. The name must be unique from the names of other businesses registered with the North Dakota Secretary of State.
What is an LLC?
LLC refers to a Limited Liability Company, and it is organized by business owners. They have fewer corporate formalities and can be taxed by the IRS as a sole proprietorship, S corporation, or C corporation.
Each state has different requirements and regulations regarding the formation of an LLC. Business owners should check with state laws when considering forming an LLC.
Owners of LLCs are known as members, they can be individuals, corporations, other LLCs, or foreign entities. There is no limit on the number of members an LLC can have. In most states, “single-member” LLCs are allowed, where there is only one owner involved in managing the LLC.
The IRS will treat the LLC as a corporation, partnership, or included in the LLC owners personal tax return. A domestic LLC with at least two members is classified as a partnership for federal income tax purposes unless they file Form 8832 and elect to be treated as a corporation.
LLCs carry tax advantages over other forms of business such as limited partnerships. The owners of an LLC do not assume personal liability for business debt, and any losses of the LLC can be used as tax deductions against active income.
An LLC can be formed through the state business formation process or consulting with LegalZoom.