Start a Michigan LLC — Step-by-Step Guide

Your LLC name has to be distinguishable from every other business name already on file with LARA — not just other LLCs, but corporations, limited partnerships, and other registered entities too. "Distinguishable" is a legal standard, so a name that differs only by punctuation, spacing, or a filler word like "the" or "and" may still be rejected.

Start with the state's Business Entity Search. Search your proposed name and a few close variations. If something too similar already exists, the Corporations Division can reject your Articles, which costs you days and forces a resubmission.

Michigan naming rules

• The name must include "Limited Liability Company," "L.L.C.," "LLC," or an accepted abbreviation of those words.
• It must be distinguishable on the record from other names already registered with LARA.
• Certain words — those implying a bank, insurer, or a licensed profession — may require additional approval or documentation before the state will accept them.
• The name can't falsely imply a purpose the LLC isn't organized for.

Reserving a name (optional)

If you've settled on a name but aren't ready to file the Articles yet, Michigan lets you reserve it for a limited period through LARA for a small state fee. Reservation doesn't create the company — it just holds the name so no one else grabs it while you get organized.

Assumed names (DBAs)

If you plan to operate under a name different from your LLC's legal name, you file a Certificate of Assumed Name with LARA. That's a separate filing from formation, and the assumed name registration runs for a set term before it needs renewal. You only need it if your public-facing brand differs from the name on your Articles.

Before you file the Articles of Organization, decide who your resident agent will be, because they have to be named in the filing. Michigan uses "resident agent" for what most states call a registered agent — same job.

Michigan law requires every LLC to keep a resident agent with a physical Michigan street address, the "registered office," for the entire life of the company. The agent is the party that receives lawsuits, subpoenas, and official state mail on the LLC's behalf.

Who can serve

• Yourself: You can be your own resident agent if you have a physical Michigan street address — not a P.O. box — and you're reliably available during business hours. Your address will appear in LARA's public database.
• Another individual: Any Michigan resident with a Michigan street address, such as a co-owner, an attorney, or a trusted associate.
• A commercial resident agent service: A company authorized to act as a resident agent in Michigan. These services put their professional address on the public record instead of yours, keep someone available during business hours, and forward documents to you promptly.

Why the choice matters

Michigan's registered office cannot be a bare P.O. box — it must be a real street address where documents can be physically delivered. If you use your home, that address becomes searchable on LARA's site, indexed by search engines, and available to anyone who looks up your company. Many owners use a commercial service specifically to keep a home address off the public record and to guarantee someone is always present to accept a lawsuit, even during travel or busy stretches on the job.

The Articles of Organization is the filing that legally creates your LLC in Michigan. You submit it through the MiBusiness Registry to the Corporations Division. There's a state filing fee; the current amount is set by LARA.

Online filings usually process in about three to five business days. Mail filings take roughly ten business days plus transit time. Once processed, the company appears in LARA's records and your stamped documents become available.

What goes in the Articles

• Company name: Your full legal name with the required LLC designator
• Purpose: Michigan LLCs are generally organized to carry on any lawful business; a broad purpose statement is standard
• Duration: Perpetual unless you specify a set term
• Registered office address: A physical Michigan street address — no bare P.O. box
• Resident agent name: The person or company at that registered office
• Management: Whether the company is managed by its members or by managers, if you choose to state it
• Effective date: You can request a future effective date within the window the state allows

What you don't have to include

You don't list members' names or ownership percentages, describe your specific business activities, or disclose any financial information. The Articles are a formation document, not a disclosure. All the internal detail — who owns what, how profits split — lives in your operating agreement, which stays private.

An operating agreement is the internal rulebook for your LLC. Michigan doesn't require you to file it, and it never appears in any public database — but you should have one in place before you take on partners, open accounts, or start doing business.

What a solid operating agreement covers

• Ownership: Who the members are and each member's percentage interest
• Capital contributions: What each member put in at the start and what future contributions, if any, are expected
• Profit and loss allocation: How profits and losses are split — often, but not always, matching ownership percentages
• Distributions: When and how cash gets paid out to members
• Management: Whether the LLC is member-managed or manager-managed, who has authority to do what, and which decisions require a full member vote
• Voting: How votes are weighted — by ownership share, per member, or another method
• Transfers: What happens when a member wants to sell or leave, including rights of first refusal and approval requirements
• Dissolution: The conditions under which the company winds up and how remaining assets are distributed

For a single-member LLC, the agreement reinforces that the company is genuinely separate from you — a fact courts weigh when someone challenges your liability protection, and something many banks want to see. For a multi-member LLC it's indispensable: without it, the default provisions of the Michigan LLC Act govern everything, and those defaults rarely match what the owners actually had in mind.

An Employer Identification Number is a nine-digit federal tax ID from the IRS. It's the business version of a Social Security number — you use it on tax filings, to open bank accounts, and to hire employees. The IRS issues it at no cost.

When you need one

• Your LLC has more than one member (a multi-member LLC files a partnership return and needs an EIN)
• You plan to hire employees
• You want to open a business bank account — most banks require an EIN
• You've elected S corporation or C corporation tax treatment

A single-member LLC with no employees can technically use the owner's Social Security number for federal taxes, but almost every advisor recommends getting an EIN anyway. It keeps your SSN off business paperwork and makes opening accounts simpler.

How to apply

The online EIN Assistant on IRS.gov is the quickest way to apply. The application takes about ten minutes, and the number is issued immediately — print the confirmation and use it the same day. You need a valid Social Security number or ITIN to finish the online application; applicants without one can file Form SS-4 by fax or mail instead.

Keeping business and personal money separate isn't optional if you want the liability shield to hold. Pay personal bills from the company account, or deposit business income into your personal account, and you hand a future creditor an argument that the LLC and you are one and the same.

What banks usually want

• Your filed Articles of Organization from LARA
• Your IRS EIN confirmation
• Your operating agreement — many banks ask for it, so have it ready
• Government-issued photo ID for every authorized signer

Michigan community banks and credit unions are often more flexible with brand-new LLCs than big national chains, and several online business banks can open an account without a branch visit. Before you settle on one, weigh its monthly charges, transaction caps, and minimum-balance requirements against the others.

Most of the effort is front-loaded into formation. After that, Michigan compliance is mainly one yearly filing plus keeping your resident agent current.

Annual statement

File your annual statement with LARA by February 15 each year through the MiBusiness Registry. It confirms your resident agent and registered office and carries a modest fee. It's not a financial disclosure. Michigan gives new LLCs organized late in the year a short grace before their first statement is due, but after that, February 15 is a fixed annual deadline.

Resident agent maintenance

If your resident agent changes, moves, or resigns, file the change with LARA promptly. A stale registered office leaves the company technically out of compliance and risks missed lawsuits and notices.

Taxes

Federal filing depends on how the LLC is taxed — Schedule C for single-member, Form 1065 for multi-member, Form 1120-S for an S corporation election. Michigan taxes pass-through income through the individual income tax. If you sell taxable goods or services, register with the Michigan Department of Treasury for sales tax and file on the schedule they assign.

Licenses and permits

Michigan has no single general business license. Licensing depends on your industry and often your city or county. These run on their own renewal cycles and are entirely separate from your LARA registration.