How to Start an LLC in Rhode Island
Ready to start your LLC in Rhode Island? This guide will take you through the whole process step by step. From choosing a business name to filing all the correct state documents, all the resources you need to get your business up and running are here.
Step 1: Name Your Rhode Island LLC
Coming up with the right name for your business really brings your business adventure to life. Get as creative as you want to while keep the following Rhode Island LLC naming requirements in mind:
What are Rhode Island’s business name requirements?
- Your LLC name must be distinguishable from any other business name on state record. The RI Name Availability Guidelines provides a lot of focus on things that will NOT make your LLC name different enough from other active business names. For example, “Acme Enterprises, Inc. vs. Acme Enterprises, LLC” are not different enough, even though they are two different entity types. The best practice is to come up with a name that is completely different from any other name on state record.
- Your LLC name must also include the words ““Limited Liability Company,” “LLC,” or “L.L.C.” This is called the entity identifier and the state may not approve your LLC application without it.
Is the name unique in the state?
- You can search the RI Corporate Database to see if the business name you’ve created is available. The RI Secretary of State wants all business owners to know that this is a preliminary check for availability and does not guarantee the name will be accepted. Once the state has reviewed and approved your LLC application, then you’ll know for sure the name is yours to use.
Are others using the name online?
- Once the state has approved your Articles of Organization, which is the document that officially forms your LLC in the state, check to see if anyone is using it online as a domain name or social media handle. Using the same or similar name will give your business higher credibility online and help to build your brand.
- When you hire Registered Agents Inc to form your Rhode Island LLC, we can register your domain name, set up your business website, and more in minutes.
Can you register the name as a trademark?
- Getting your LLC name trademarked at the federal level helps protect its uniqueness nationwide. You can hire us to register a trademark when you order our LLC formation service. Our trademark team performs clearance searches and our attorneys provide recommendations if any obstacles to registration arise.
Step 2: Choose a Rhode Island Registered Agent
LLCs are required to maintain a Rhode Island registered agent (also called a resident agent) to accept a business’s legal mail and forward it on to the business owner. Your Rhode Island registered agent can be an individual or another business that offers this service professionally. The basic state requirements for both are below:
- Individuals: This agent must be a resident of Rhode Island over the age of 18 with a registered office street address in the state. They must be available at that address during normal business hours to accept legal mail in person. Their full name and address will be available on public record.
- Business: This agent must be an entity registered to do business in Rhode Island. They must also provide a registered office street address in the state where your legal mail can be received. They must keep the registered office staffed during normal business hours so your legal mail can be accepted in person.
What’s the difference between a resident agent and registered agent?
There is no difference between a resident agent and a registered agent. They both serve you by receiving important legal notices on your behalf and forwarding them to you promptly. These are just two different names for the same role.
Step 3: File Rhode Island Articles of Organization
Filing the RI Articles of Organization officially registers your LLC as an active business. The information included in your Articles becomes public record. To keep your personal information private, hire a registered agent service like us. To complete the RI LLC application, the fee is $150 and requires the following information:
1
Entity Name
This name must be distinguishable from any other business name in the state. It must also include the words “Limited Liability Company,” “LLC,” or “L.L.C.”
2
Resident agent name & address
The address must be a Rhode Island street address, PO Boxes are not acceptable.
3
Tax designation
This is for filing federal taxes (ex: disregarded entity, partnership, or corporation).
4
Principal business address
If you do not already have a business office address, you can say “not yet determined.”
5
Additional provisions
You can list or attach as a separate file any additional LLC provisions you want on state record.
6
Management Structure
If your LLC will be run by members who have an ownership interest in the business, do not fill out the chart. If your LLC is to be run by managers designated by the LLC members, check the second box and fill out the chart with their names and addresses.
7
Effective filing date
You can choose a specific day you want your LLC to become active within 90 days of you filing date. Otherwise, the state will record the filing date as your effective date.
8
Authorized person signature
The name and address of the person who is either completing this form or authorizing the completion of this form to be submitted to the state.
9
Filer contact information
The name, address, email, and phone number of the person the state can contact if they have questions about this application.
How long does it take for an LLC to be approved in Rhode Island?
The Rhode Island Secretary of State’s office will have your LLC application processed in one to three business days. When your LLC Articles of Organization are approved, you can download them from the Corporate Database account for your business.
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Step 4: Set Up Business Operations
Now that your Rhode Island LLC is formed with the state, there are a few more documents your business needs to guarantee smooth sailing in the Ocean State:
Create an operating agreement.
An operating agreement becomes the reference manual you’ll use to manage your business. It will contain the procedures for things like adding members, dividing ownership, and distributing profits and losses. This is an internal business record that is agreed to and signed by each member of your LLC. Banks may ask to see a copy before opening a business bank account with you.
Get an EIN.
An Employer Identification Number (EIN) identifies your business to the IRS. It helps maintain the separation of your personal income from your LLC’s income. You’ll use this number when it comes time to pay taxes, and if you decide to hire employees. In addition, banks may also ask to see your EIN to set up a business bank account.
Manage your company’s money.
To help maintain your Rhode Island LLC’s limited liability, you need to keep your business and personal income separate. Getting an EIN and a business bank account is an effective way to do this.
Obtain licenses and permits.
Most businesses in Rhode Island to not require a general business license. However, you may need a permit or license depending on the activities or location of your LLC. For example, if your business engages in retail sales, you’ll need a sales tax license. The Rhode Island Business Assistant tool will help you create a checklist of all the documents and licenses your new company may need.
Step 5: File BOI Report
Filing the Beneficial Ownership Information (BOI) Report is a requirement for most LLCs following business registration. It gathers information about the business itself, and the owners who have substantial control over the company and/or own at least 25% of the business.
The BOI is a federal filing submitted directly to FinCEN and went into place in 2024. LLCs formed in 2024 have 90 days from registration to file their BOI Report. LLCs formed in 2025 or later will have just 30 days to file.
When can take care of the BOI filing for you when you hire us to form your Rhode Island LLC. Just add it to your order and check it off your to-do list!
Frequently Asked Questions
What is needed to start an LLC in Rhode Island?
To start an LLC in Rhode Island, you’ll need:
- a unique business name
- a Rhode Island registered agent name and address
- a completed Articles of Organization application to submit to the state
- $150 to pay the filing fee
How much does it cost to start an LLC in Rhode Island?
The cost to file the LLC Articles of Organization, which forms your LLC on Rhode Island state record, is $150. The state will have your LLC application processed in 1-3 business days.
Do LLCs pay taxes in Rhode Island?
LLC’s are taxed as “pass-through” entities in Rhode Island, so you’ll pay taxes at the individual level. For more information, contact the Rhode Island Department of Revenue.
When is the Rhode Island Annual Report due?
The Rhode Island Annual Report for LLCs is due by May 1st each year. The report can be submitted by mail or online, and the fee is $50 (plus $2.50 processing fee if filed online).
How do I contact the Rhode Island Secretary of State?
You can contact the RI Secretary of State’s office in the following ways:
Phone: 401-222-3040
Fax: 401-222-3879
Email: [email protected]
Physical & Mailing address:
Corporations Division
148 W. River Street
Providence, Rhode Island 02904-2615