How To Fill Out The Kentucky Articles of Organization
Whether you are a budding entrepreneur or an established business owner, filing paperwork to form a Limited Liability Company (LLC) in Kentucky is the first step. The foundation of your LLC starts with filing the Articles of Organization with the Secretary of State.
Although this filing may seem foreign at first, with proper research and following my steps on how to fill the Articles of Organization out, you can be done in no time.
Steps To Fill Out The Kentucky LLC Articles Of Organization
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Let’s go over how to fill out the LLC Articles of Organization in Kentucky. In this example, I’ll go over filing online, so to get started, let’s visit the Kentucky Secretary of State’s website.
Step 1: Choose the Type of LLC
In our first step, we are asked to select the type of LLC to create. These include:
Profit: Most common type and refers to any LLC with an intention to sell products or services, that don’t require special licensing
Professional LLC: Similar to the for-profit LLC, but businesses that require occupational licensing in Kentucky, such as accountants, architects, veterinarians, etc., have the option of filing for a Professional Limited Liability Company (PLLC) instead of an LLC. Filing for a PLLC is very similar to that of an LLC.
Non-Profit: Non-profit LLCs are reserved for businesses that have a charitable aim.
Step 2: Pick a Name for the LLC
The first step in filling out the Kentucky Operating Agreement is to pick a business name. There are a few requirements when choosing a Kentucky LLC name.
1. The name of your LLC must not be too similar to the name of another business entity already registered with the state of Kentucky. You can verify name availability by doing a Kentucky LLC name search with the Kentucky Secretary of State to be sure the LLC name is available.
2. The name of the LLC must include one of the following entity identifiers at the end of the business name:
– Limited Liability Company
– Limited Liability Co.
– Ltd. Liability Company
– Ltd. Liability Co.
– Limited Company
– Ltd. Company
– Limited Co.
– Ltd. Co.
Enter the LLC name, including the identifier, to continue. If you choose a name that is taken, the Secretary of State will return your application, so be sure to research that the name is available before submitting.
Step 3: Enter an Email Address
In this section, enter an email address.
I would recommend using an email address that you often check, as the Secretary of State will send important information regarding the LLC, especially for the reminder to file the Kentucky annual report.
Step 4: Select the Management Structure of the LLC
The next step provides information regarding whether the LLC is Manager-Managed or Member-Managed.
A Member-Managed LLC is involved with the day-to-day operations of the business. Many LLCs are operated and run by the owner, in which case would be Member-Managed.
A Manager-Managed LLC refers to a Limited Liability Company that hires a manager to run the business, similar to hiring a CEO of a corporation.
Step 5: Veteran Status
If any of the LLC’s members are veterans, this box can be selected. The benefits to being a veteran-owned LLC are that there is no filing fee for the Articles of Organization and there are no filing fees for the annual report for the first four years.
Step 6: Enter the LLCs Principal Address for the LLC
The principal address may be, but is not required to be, the actual place of the business to the physical street address, or the main location where the business records are kept.
A physical address in the State must be used as P.O. Boxes are not acceptable.
Step 7: Choose the Effective Start Date
An option to choose an effective date (starting date) is available for up to 90 days in the future. Some will delay the effective date (starting date) of the LLC if they aren’t ready to start the business, but want the filing out of the way. Others will delay the start date if the filing is being done at the end of a calendar year and don’t expect there to be any business activity, which eliminates filing a tax return.
By default, the effective date is the day the Secretary of State files the formation paperwork. Otherwise, enter a different start date.
Step 8: Signature of the Organizers
The Organizer is someone who is involved with the LLC formation. The Organizer is often the business owner, but may or may not be a member, such as a mentor, attorney, or accountant, but any of the initial member(s) could be listed as an organizer.
Step 9: Appoint a Registered Agent
One requirement to have an LLC in Kentucky is to appoint a Kentucky Registered Agent. The registered agent is a party that is physically located in the state of Kentucky that will receive important notices and service of process (which means to accept papers that start a lawsuit) on behalf of the LLC.
Provided the LLC member or any adult resident that will be available at a Kentucky address during normal business hours they may act as the Registered Agent (choose Individual), or the agent can be a Registered Agent Service (choose Entity).
Related: Should you be the registered agent?
Enter the street address of the initial registered office, which is the address of the registered agent. A PO Box is not allowed. Next, provide the individual’s name who will act as the Registered Agent or the name of the Registered Agent service.
Next, the Registered Agent (or the Organizer) will acknowledge that the Registered Agent agrees to serve as the LLC’s agent.
Step 10: File the Form
Next, you have the choice of uploading the standard form or uploading your own PDF. If you aren’t sure, the standard form is likely the best choice.
Then clicking on the Next button, the organizer will have the opportunity to review the Articles of Organization, and if all of the information is correct, they will continue to payment.
After paying the state’s filing fee, the Articles of Organization will be filed!
Kentucky LLC FAQs
How much does it cost to form an LLC in Kentucky?
The cost to file the Articles of Organization and form an LLC in Kentucky is $40.
If the LLC is veteran-owned, the state filing fee is waived!
What is the processing time to form a Kentucky LLC?
It normally takes one business day when filing online or about one week when filing by mail for the state to process the Kentucky LLC paperwork.
When is a registered agent needed in Kentucky?
All Kentucky corporations and LLCs are required to have and maintain a registered agent.
The registered agent is a party that is physically located in the state of Kentucky that will receive important notices and service of process (which means to accept papers that start a lawsuit) on behalf of the LLC.
Related: Who can be a Kentucky registered agent?
Do Kentucky LLCs require an operating agreement?
Under Kentucky law, statute § 275-180 states that an LLC Operating Agreement is optional. Despite the Operating Agreement not being required, it is recommended to have one as it can help to prevent disputes among members and protect the LLC’s legal status.
What business licenses are needed in Kentucky?
The requirements for business licenses and registrations in Kentucky vary depending on what the business does and where it’s located.
Here is a list of common business licenses in Kentucky.
Should I use an LLC formation service or do it myself?
Two of my top formation companies have a special offer where you can get your LLC formed without paying any additional fees (state fees still apply). Check out Zenbusiness and IncFile to learn more.
Do Kentucky LLCs need an EIN?
Only Kentucky LLCs that either have more than one member, will hire employees, or elect to be taxed as a partnership or corporation are required to get an Employer Identification Number (EIN).
The EIN or Employer Identification Number (also called a Federal Employer Identification Number or FEIN) is a unique 9-digit tax identification number that is assigned by the Internal Revenue Service (IRS).
If the LLC isn’t required to get an EIN (though you can still get one), the LLC will use the social security number of the business owner.
Related: How to Apply for an EIN