How to Start an LLC in Pennsylvania
Starting an LLC in Pennsylvania is a smart way to protect your personal assets while running your business. This guide walks you through everything from preparing to file the LLC Certificate of Organization to building a strong business operating foundation.
Step 1: Name Your Pennsylvania LLC
Choosing a name for your Pennsylvania LLC is the first step to forming your business with the state. The more original the better, so feel free to get creative. However, there are a few LLC naming requirements to keep in mind:
What are Pennsylvania’s business name requirements?
According to Pennsylvania statute 15 PA Cons Stat § 204 (2021), your LLC name must follow these general rules:
- Must contain the word “company,” “limited,” or “limited liability company,” or some abbreviation of those words (LLC, L.L.C., etc.).
- Can be in any language, but it must be expressed in Roman letters (using the English alphabet). For example: “Heißer Tee und Scones” is Pennsylvania Dutch for “Hot Tea and Scones.” The special character “ß” would need to be changed to a “z” or an “s” to be accepted on state record as “Heizer Tee und Scones.”
- Your LLC name must be distinguishable from other active business names on state record. If the LLC name you choose is too similar to a name already in use, the state will reject your LLC application.
How do I know if my LLC name is unique in the state?
- To register your LLC, it needs a name that’s unique among registered Pennsylvania businesses. Check the state Business Search database to make sure your LLC name is available.
Are others using the name online?
Now that you have an LLC name that meets Pennsylvania’s naming requirements, see if it’s in use as a domain name or social media handle. This way, you can create an integrated business presence using the same or similar names across different media and advertising channels.
When you hire Registered Agents Inc to form your LLC in Pennsylvania, we can register your domain name, set up your business website, and more in minutes.
Can you register the name as a trademark?
Want to protect the uniqueness of your LLC name nationwide? When we form your LLC, we can also help you register a trademark at the federal level. Our attorney-led service includes a clearance search and recommendations if we find obstacles to registration.
Step 2: Choose a Pennsylvania Registered Agent
All Pennsylvania businesses must maintain a registered office address on state record as long as they exist. The registered office can be:
- an individual Pennsylvania resident’s address – someone over the age of 18 needs to be available at their Pennsylvania address during normal business hours to receive your legal mail.
- a Registered Agent Service, or CROP (Commercial Registered Office Provider) – an entity registered to conduct business in Pennsylvania that specializes in accepting legal correspondence on behalf of other businesses.
Pennsylvania is unique in that they emphasize the importance of the registered office address over the registered agent’s name. Only the registered office address is available on public state record.
What’s the difference between a registered agent and a Pennsylvania CROP?
There is no difference between a registered agent and a PA CROP. Your Pennsylvania registered agent, or CROP, oversees the receiving of legal mail and state notices on behalf of your business. They act as an intermediary between the legal system and your business. If your business gets sued, your registered agent would be served the legal documents at their registered office address.
This address is on public record on the state website, so many business owners prefer to hire a Pennsylvania registered agent service, or a Commercial Registered Office Provider (CROP). This way, the business owner can keep their personal address private.
Step 3: File Pennsylvania Articles of Organization
The filing that creates your LLC on state record is the Certificate of Organization. The filing fee is $125 and will take the state three weeks to process. Below is all the information you’ll need to gather to complete this filing:
1
Are you a Veteran? (optional)
You can file this LLC application for free if you can attach proof of this status.
2
Business name
Don’t forget to include the entity identifier (LLC, L.L.C., or “limited liability company”).
3
Registered office address
Complete section (a) if you will be reporting an individual’s address (or your own), complete section (b) if you have hired a registered agent, or CROP, service.
4
Organizer(s) names
Enter the name of each person filing this document with the state.
5
Effective date
Check the first box if the date the state processes your filing is good enough, or check the second box if you want your LLC to be active on a particular day.
6
Restricted professional companies only
If your LLC is offering a professional service that requires special professional licensing, like dentistry or veterinary services, check the required boxes.
7
Benefit companies only
If your LLC is a public benefit business (a for-profit business whose purpose is to create a public benefit in a sustainable and responsible way. For example, helping low-income families find affordable housing, cleaning up the Brandywine River, or promoting community involvement in some way).
8
Additional provisions (optional)
Attach a separate file if you want to include other information not indicated on this application.
9
Docketing statement
This is automatically included in the online application, if filing by mail you will need to fill out and attach a New Entity Docketing Statement.
10
Organizer signature(s)
Each person named as an organizer in section #4 above must sign here.
How long does it take for an LLC to be approved in Pennsylvania?
The processing time for the Certificate of Organization depends on how you file it: by mail or online.
By mail – If you file by mail, the processing time is around three weeks. Your approved Certificate of Organization will be mailed to you.
Online – the processing time is around 5-7 business days and your approved Certificate of Organization will be emailed to you. Expedited processing options are available for an additional fee:
- +$100 for same-day processing (must be submitted before 10am EST)
- +300 for three-hour service (must be submitted before 2pm EST)
- +$1000 for one-hour service (must be submitted before 4pm EST)
Ready to create your LLC in Pennsylvania?
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Step 4: Set Up Business Operations
So, you’ve got your Pennsylvania Certificate of Organization filed with the state, now what? It’s time to set up business operations to give your new LLC a strong frame for protection and future growth.
Create an operating agreement.
An operating agreement gives your LLC stability and legitimacy by defining management roles and decision-making rules. In this document, you can clearly establish each member’s responsibilities and profit distribution to prevent any misunderstandings or legal issues later. This document also shows banks, investors, or lenders a high level of professionalism that reinforces your credibility as a business owner.
Get an EIN.
An EIN acts like your LLC’s social security number. You’ll likely need one to set up a business bank account or if you hire employees.
Manage your company’s money.
To help maintain your Pennsylvania LLC’s natural liability protections, you need to keep your business and personal income separate. Establishing a business bank account is one of the most important steps in that process.
Obtain licenses and permits.
Depending on where you operate your business and what your business does, your Pennsylvania LLC may need to apply for specific permits and/or licenses. Start by visiting the PA Business One-Stop Shop site to see if your business activities require further licensing.
Step 5: File BOI Report
Most LLCs are now required to file a Beneficial Ownership Information (BOI) Report following business registration. The report asks for information about the company itself, it’s owners, and anyone who has a substantial control over the company and/or owns at least 25% of the business.
This federal filing is submitted to FinCEN and went into place in 2024. LLCs formed in 2024 have 90 days from registration to file their BOI Report. If you form your LLC in 2025 or later, you’ll have just 30 days to file.
You can hire us to take care of the BOI Report filing when you hire us to form your Pennsylvania LLC.
Note: On December 26, 2024, the U.S. Court of Appeals paused the BOI reporting requirement, citing constitutional concerns. While it’s not mandatory for now, we’re still ready to assist you. Check back for more updates and future filing deadlines as they become available.
Frequently Asked Questions
What is needed to start an LLC in Pennsylvania?
To start an LLC in Pennsylvania, you’ll need to file the Certificate of Organization with the Pennsylvania Secretary of State. You’ll also need a Pennsylvania street address to serve as your registered office address on public state record. You can provide your own address, or hire a registered agent, or CROP, service.
How much does it cost to start an LLC in Pennsylvania?
The cost to start an LLC in Pennsylvania is $125 and will take the state three weeks to process. You may choose to pay more for expedited processing when you file online.
When is the Pennsylvania Annual Report due?
Your Pennsylvania LLC will have to file a Certificate of Annual Registration by September 30th each year. The fee is only $7 and can be filed by mail or online. Our Pennsylvania registered agent service includes the annual report filing, so clients pay only the state fee.
Do LLCs pay taxes in Pennsylvania?
You will need to pay state income taxes in Pennsylvania for the income you assign yourself through the LLC. For more information, contact the Pennsylvania Department of Revenue.
How do I contact the Pennsylvania Secretary of State?
Here are all the ways to contact the PA Secretary of State’s office:
Phone: 717-787-1057
Fax: 717-783-2244
Email: [email protected]
Physical & Mailing address:
206 North Office Building
Harrisburg, PA 17120