How Do I Register My Business In Illinois

Illinois Business concern Registration for DBAs, LLCs, and Corporations

Illinois business registration State of Illinois flag with the American Bald Eagle holding a red ribbon in his bill while clutching an American shield and standing on a rock with 1818-1868 on it

Illinois Business organisation Facts and Environment

Illinois Business organization Facts

Illinois is nicknamed the Land of Lincoln, after Abraham Lincoln, the 16th President of the Us. It is also known as The Prairie Land, owing to its vast tracts of farmland.

Chicago is the largest city in Illinois, with a population of 2.71 million residents living there. It is the third-most-populous city in the United States, and the surrounding Chicago Metropolitan area has nearly 10 meg people. The city has been called a global architectural capital letter and is considered ane of the about important business centers in the globe. It was the site of the world'south start skyscraper, which was built in 1885.

The Illinois Higher of Business is nationally recognized as one of the state's leading business schools.

Bated from the service manufacture, which contributes the largest dollar amount to the state's economic system, manufacturing and mining are the ii peak industries in Illinois. It has the fourth largest manufacturing industry in the country and has exported more than viii billion tons of coal and 4 billion barrels of petroleum.

Virtually 80% of the land in Illinois is farmland. It is a leading farm income land, and corn is its most important crop, followed closely by Soybeans, hay, wheat, rye, oats, and grain.

Major Companies In Illinois

Walgreen Co. tops the list of Illinois' largest companies, employing more workers than whatever other business concern in the state. They are followed by McDonald'due south, Boeing, Caterpillar, and a handful of holdings companies, like United Continental, Sears, and Mondelez International.

Startup Environment

The Chicago startup scene has struggled somewhat in recent years, with entrepreneurs saying at that place isn't enough coin and Midwest investors claiming there aren't enough proven entrepreneurs or skilful ideas. The upside is that there is a lot of wealth and a lot of worth in the metropolis – and a lot of big coin for the right startup. Chicago has in fact proven its worth as a solid home for entrepreneurs, specially female person founders.

Stride i: Decide on a Business Structure

There are three basic options: a DBA, a Corporation, or an LLC. Click here to learn more about business entities.

A DBA or "Doing Concern Every bit" (too known as a "Fictitious Business Proper noun" or FBN) is not really a separate structure, but just a different proper noun that an individual or partners use as their business concern proper noun.
A Corporation is a separate entity (provides liability protection to the owners) that has a structure that includes shareholders, directors and officers. More complex than a DBA merely the entity of choice for large companies and startups that intend to raise funding. Some professions are required to choose what is known as a "Professional Corporation" or PC (doctors, lawyers, architects, etc.).
An LLC or "Limited Liability Company" is a newer type of business concern that is both a split entity but provides very piece of cake management (doesn't require directors or officers) and taxation. Has largely replaced the DBA and Corporation in popularity recently equally information technology provides liability protection merely with much less complexity (and revenue enhancement) than a Corporation.

Step 2: Pick a Business Name

Picking a business name is easier said than done – many legal and business problems can arise from picking the wrong name (yous can always modify it later only the fewer times yous have to do that, the better). In Stride iii we'll show y'all how to search for the name in Illinois, but nosotros highly recommend you do the following earlier searching Illinois state databases:

Make sure you've covered the nuts in your chosen name: unique, like shooting fish in a barrel to empathise/pronounce (practise saying it out loud: "Cheers for calling XYZ") and can survive over fourth dimension ("DVD World" is not timely). Here are some of our tips on business identity including logo and trademarks.
Do a search on Google, Bing and DuckDuckGo of your proposed name. This is a "starting time sweep" of any potential conflicts, especially in your state or local jurisdiction.Annotation: If you intend to operate nationally or even internationally information technology volition be even more than important that your proper name be unique. This should encompass many cases where a company name is being used but not officially trademarked (run into side by side tip).
Practice a trademark search with the Us Patent and Trademark Office (USPTO). This will be a very expert indicator if you're name volition accept any conflicts. There's an fine art to trademark searches (trademark specialists volition charge yous handsomely to do a thorough search) but in our experience if y'all can apply google at a fairly advanced level you lot tin reasonably articulate a name yourself.
TIP: search misspellings, plurals, variations of spelling, sound-alikes and other versions of your chosen name to exist sure it'due south not already registered.

Ready to showtime a business in Illinois?

Our Illinois filing services volition help you get started every bit quickly as possible.

Step iii: Register the Business

Now that yous've picked your business organization proper name, yous're fix to search the name on Illinois databases and register with the advisable government role.

How to File a DBA in Illinois

Notation: All businesses in Illinois are required to register alternative trade names past filing for a DBA if the business seeks to operate under a different name than what it used when it was formed.

Bank check your business name by calling the County Recorder or visiting their website (search for "YOURCOUNTY county recorder" should observe information technology).
Obtain the forms from the county to register your DBA. Each canton has its own specific filing requirements, but almost accept the online filing options found here.
File the forms with the Canton. Some counties crave the grade to be notarized and published.

Notation: We tin gear up and file your DBA in any county in Illinois

How to Form an LLC in Illinois

Make sure your company name choice is available past searching the Illinois Concern Entity Database and doing a proper noun search on the State of Illinois website.Note: This tin can be harder than it looks, make sure you search all variations of spelling, plurals and even misspellings as the country may turn down a proper name that is too similar (and so you have to start all over again, wasting valuable time).
Hire a professional Registered Agent. This is a requirement for every Illinois LLC. The called registered amanuensis must have a physical street address in Illinois. A professional Registered Amanuensis will provide their address and forward whatever of import documents to you, this is also convenient if you lot have to move (y'all don't have to file forms or pay fees, merely update your address with your agent).
File the correct paperwork with the Illinois Partition of Corporations called "Manufactures of Organization". The Division of Corporations could take anywhere from ii-3 business organisation days for due east-filing to 3 to 5 days for post filings to process the paperwork. This may increase during peak periods.
TIP: Check our LLC society course to see how long Illinois is currently taking to process regular and expedited orders.
Optional: Elect S-Corporation status with the IRS by filing IRS Form 2553. Yes, even an LLC can choose to be taxed equally an Due south-Corporation (or fifty-fifty a C-Corporation). Speak to your tax counselor about this important issue because information technology adds complexity to your LLC nigh people would rather avoid.
Do the proper post-formation tasks. Once the articles are filed and canonical you volition then demand to properly organize the LLC (yeah, even "i person LLC's") by property an "Organizational Meeting" which takes contributions from the members, issues Member Certificates, adopts the company Operating Agreement and more than. Many people simply do steps 1 and 2 above but this leaves your visitor unorganized and possibly exposed to legal, tax and compliance issues. Relieve fourth dimension and money at present past properly organizing the company.

NOTE: Our LLC formation package includes not only filing the Articles of Organization (we'll ready and submit them to the state) but all the necessary mail service-formation documents completed and personalized to y'all "fix for signature" as well every bit our sectional Startup Magician which guides you through the consummate startup process from formation to banking concern accounts, logos and more.

How to Contain in Illinois (Grade a Corporation)

Make sure your company proper name choice is available by searching the Illinois Business Entity Database and doing a proper name search on the Land of Illinois website. Notation: this tin be harder than it looks, brand certain yous search all variations of spelling, plurals and fifty-fifty misspellings as the state may reject a name that is too like (then yous accept to kickoff all over over again, wasting valuable time).
Hire a professional person Registered Agent. This is a requirement for every Illinois LLC. The called registered agent must take a physical street address in Illinois A professional Registered Amanuensis will provide their address and forwards whatsoever important documents to y'all, this is also user-friendly if you have to move (you don't take to file forms or pay fees, merely update your address with your agent).
File the correct paperwork with the Illinois Division of Corporations called "Articles of Incorporation.". The Segmentation of Corporations could take anywhere from 2-3 business days for e-filing to iii to 5 days for mail filings to procedure the paperwork. This may increase during superlative periods.
Optional: Elect S-Corporation status with the IRS past filing IRS Form 2553. Click hither to larn more about S-Corporations.
Do the proper mail-incorporation tasks. In one case the manufactures are filed and canonical you will and so need to properly organize the corporation (aye, even "1 person Corporations") by holding an "Organizational Meeting" which takes contributions from the shareholders, elects directors and officers, issues stock, adopts the Corporate Bylaws and more than. Many people simply practise steps 1 and 2 in a higher place but this leaves your company unorganized and possibly exposed to legal, tax, and compliance issues. Save time and money now past properly organizing the company.

Notation: Our Corporation formation bundle includes non only filing the Manufactures of Organisation (we'll gear up and submit them to the state) but all the necessary post-formation documents completed and personalized to you "ready for signature" also as our sectional Startup Wizard which guides yous through the complete startup process from formation to bank accounts, logos and more.

Footstep iv: Obtain Your Federal Employer Identification Number

Your EIN is like your Social Security Number for your company. Information technology'due south required for Corporations and LLCs and optional for DBAs (if you don't have whatever employees, then information technology's required). Still, if you are a DBA and don't obtain an EIN you volition be forced to use your Social Security Number on many documents so it's typically recommended y'all obtain the EIN to prevent identity theft.

To obtain an EIN you can use online with the IRS or via IRS Class SS-4.

TIP: We will obtain your EIN for you if nosotros course your visitor.

Step 5: Open Company Banking company and Credit Accounts

To keep business and personal expenses separate, yous should open up a separate account for your business organization. In addition, getting business credit cards is how you lot brainstorm to build a company credit profile (corporation or LLC required) and can later qualify for larger loans and lines of credit. To open the account just call your called bank and inquire about the steps to open up a business banking company account. Typically you lot'll demand a) your filed paperwork b) your EIN c) a company resolution authorizing your company to open the account (signed past the owners, members, officers or directors, etc.).

Peak Business organization Banks in Illinois:

Bank of America
BMO Harris Bank
Get-go Midwest Bank
Associated Bank
Woodforest National Bank

Click here to view a listing of our recommended banks in our Vendor Network.

TIP: Our concern formation service includes a free banking resolution for your apply.

Step 6: Prepare-up An Accounting System

Setup your Accounting and Record-keeping system and learn about the taxes your new company is responsible for paying.

Company documents more often than not are required to be kept for iii years, including a list of all owners and addresses, copies of all formation documents, fiscal statements, annual reports, amendments, or changes to the company. All Tax and Corporate Filings should exist kept for at to the lowest degree 3 years. View our "Accounting & Financial Direction" department for assistance with setting up an accounting arrangement and purchasing accounting software.

Review our listing of Accountants, Accounting Software, and Bookkeepers in our Vendor Network.

Footstep seven: Obtain Licenses and Permits

Now that you've registered your business name you need to obtain a business license for your company – this authorizes your visitor to do business in your metropolis or county. Typically this too involves registering for land taxes and permits (the city may require them every bit part of the business concern licensing procedure).

TIP: We work with a company that can obtain and prepare business licenses and permits for yous. Click here to learn more than.

Step 8: Hire Employees (if applicable)

If you intend to rent yourself or others as a full or part-time employee of your visitor, and so you may have to register with the appropriate Country Agencies or obtain Workers Compensation Insurance or Unemployment Insurance (or both). View our "Employees & Payroll" section for assist with hiring employees and processing payroll.

Review our listing of recommended Payroll Providers in our Vendor Network.

Step 9: Obtain Business Insurance

There are many types of insurance for businesses but they are usually packaged as "General Business Insurance" or a "Business Owner'due south Policy". This can cover everything from production liability to company vehicles. A decent policy tin can run as piddling as $300/year and offers a nifty actress level of protection.

Click here to view our list of insurance providers in our Vendor Network.

Step x: Systemize and Organize

Prepare the business organisation equally if someone needed to take it over and run it for you. This means having a method to process orders, pay bills, pay employees, pay taxes, maintain your permits, etc. Basically, try to make the operational aspect of the business every bit automated and efficient as possible and so you can concentrate on growing your business. View our "Manage Your Company" department for assistance with systemizing and automating your business organisation.

Stride 11: Branding and Marketing

At present that you've fix the company for success, you need to get the give-and-take out. Create a marketing plan for your products and services that targets your ideal customer. View our "Marketing & Sales" department for help for more information.

Step 12: Annual and Ongoing Requirements

DBA: In Illinois, your Fictitious Business organisation Name should be valid for five years (unless you alter the visitor proper name or other information listed on the FBN) at which point you'll need to renew it with the canton.

LLC: Illinois requires both almanac reports and an almanac franchise taxation. These are due within a 60-day menstruum immediately preceding the first day of the calendar month of incorporation. The fee is $77.

Corporation: Your business must proceed corporate records at its master place of business. Every twelvemonth, an officeholder of your corporation must file an annual report due before the get-go day of the anniversary calendar month of incorporation. Generally, this report can exist filed electronically unless:

Your business concern owns property or transacts business organization outside of the state
There have been recent changes in authorized shares, issued shares, or paid-in uppercase
You need to enter more than six officers or directors on your report.

Franchise Taxes:Illinois businesses are required to file a $75 annual report with a $25 minimum franchise tax, based on your visitor's paid-in capital. The franchise tax form in Illinois is widely decried as being i of the almost complicated in the country – information technology's, therefore, advisable to work through your corporate taxes with an auditor.

Click here to view our MyCompanyWorks Premium™ service which can automate most of your ongoing compliance tasks.

Fix to start a business in Illinois?

Our Illinois filing services will aid yous get started equally quickly as possible.

Illinois Secretary of Land
213 Country Capitol
Springfield, IL 62756
217-785-3000 (outside Illinois)
800-252-8980 (cost-free in Illinois)

Illinois State Taxation Departments

Illinois Section of Revenue

Illinois State Labor and Employment Departments

Illinois Department of Labor

Illinois State Startup Resources

1. Small Concern Administration (SBA) Illinois State District Offices

Small Business Administration Illinois District Role
US Small Business Administration

2. SCORE Volunteer Mentors

SCORE Illinois

SCORE resources are very helpful for startups and available from a number of branches throughout Illinois. Connecting with a SCORE mentor tin can help yous avoid mutual pitfalls as you beginning your business concern.

Illinois Business Portal
Illinois Business Information Center
Illinois Minor Business organization Development Center Directory
Illinois Chore Link Employer Portal
The Illinois Innovation Network
Tax Information For Illinois Businesses

iii. Illinois Land Legal Statutes:

Illinois Business organisation Corporation Act
Illinois State Limited Liability Companies – the specific act that applies to Illinois State LLCs.
Illinois Land Businesses and Professions – includes regulations on topics such as business organisation and professions codes.

4. Illinois Country Chambers of Commerce

Illinois State Sleeping accommodation of Commerce
Illinois Office of Business Development

5. Illinois Angel Investors

List of Angel Investors in Illinois

6. Illinois Land Business concern News

Illinois Concern Periodical
Key Illinois Business concern Magazine
Chicago Tribune Business

7. Illinois State Pocket-size Business Development Centre

The Illinois Small Business Development Center is a network of business advisors, trainers, and support staff who operate from Southern Illinois University.

8. Illinois Green Business organisation Clan

Observe out how to annals your Dark-green business organisation and relish their many resources.