Articles of organization vs operating agreement missouri

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Starting an LLC, step-by-step

Starting a Missouri LLC costs $50. And it takes 1 day.

How to start an LLC

Here are the 5 steps to forming an LLC in Missouri:

  1. Choose an LLC Name
  2. Select a Registered Agent
  3. File Articles of Organization
  4. Create an Operating Agreement
  5. Get an EIN

If you want to form your LLC yourself, follow our free guide below.

If you want someone to take care of it for you, we recommend hiring Northwest Registered Agent

Need to save time? Hire a company to form your LLC:
Northwest ($39 + state fee) or LegalZoom ($149 + state fee)

(We recommend Northwest. We've reviewed all the top companies in the industry. And Northwest is our #1 pick for prices, customer support, and address privacy. Check out Northwest vs LegalZoom to learn more.)

How much does it cost to start an LLC in Missouri?

It costs $50 to start an LLC in Missouri.

This $50 is to file the Articles of Organization – the document that creates an LLC.

To learn more about LLC Costs, see LLC Costs in Missouri.

How long does it take to get an LLC in Missouri?

If you file your LLC by mail, it will be approved in 3-4 weeks (plus mail time).

But if you file online, your LLC will be approved immediately.

Here are the steps to forming an LLC in Missouri

1. Search your LLC Name

LLC names

Search your Missouri LLC Name to make sure it’s available in the state.

You need to do this because two businesses in the state can’t have the same name.

First, search your business name and compare it to existing businesses in the state. You can make sure the LLC Name you want is unique from existing business entities using the Business Entity Database Search.

Second, familiarize yourself with the naming rules in Missouri (so your LLC gets approved).

We’ll explain both in more detail here: Missouri LLC Name.

2. Choose a Registered Agent

The next step is to choose a Missouri Registered Agent.

Registered Agent

A Missouri Registered Agent is a person or company who accepts legal mail and state notices on behalf of your Limited Liability Company.

Who can be an LLC Registered Agent?

You have 3 options for who can be the Registered Agent:

Missouri law requires that all LLC Registered Agents have a physical street address in the state. PO Boxes aren’t allowed.

And the Registered Agent’s name and address will be listed on public records.

If you don’t have an address in Missouri, or you want more privacy, you can hire a Registered Agent Service for your LLC.

We recommend Northwest Registered Agent

Our favorite feature about Northwest is they’ll let you use their office address throughout your LLC filing. This way, you can keep your address off public records.

They’ll also scan any mail sent to your LLC and upload it to your online account.

Northwest has excellent customer service, and they’re who we trust to be our own Registered Agent.

Special offer: Hire Northwest to form your LLC ($39 + state fee), and you'll get a free year of Registered Agent service.

(Why is Northwest the best? Read our Northwest Registered Agent review)

3. File LLC Articles of Organization

Articles of Organization

To start an LLC, you need to file the Missouri Articles of Organization. This is a one-time fee to create your LLC with the Missouri Secretary of State.

It costs $50 to file your Missouri Articles of Organization online.

If you want to file this yourself, see our step-by-step guide: Missouri Articles of Organization.

Or, you can hire a company to do it for you.

Need to save time? Hire a company to form your LLC:
Northwest ($39 + state fee) or LegalZoom ($149 + state fee)

4. Create an LLC Operating Agreement

Operating Agreement

A Missouri LLC Operating Agreement serves as a “companion” document to the Articles of Organization.

The Articles of Organization creates your LLC, and the Operating Agreement shows who owns the LLC.

Additionally, some banks require an Operating Agreement when you open an LLC bank account.

And having an Operating Agreement will be very helpful if you ever end up in court. Reason being, it helps prove that your LLC is being run properly.

That’s why we recommend that all LLCs have an Operating Agreement – including Single-Member LLCs.

Furthermore, an Operating Agreement is an “internal document“. Meaning, you don’t need to file it with any government agency (like the Secretary of State or the IRS). Just keep a copy with your business records.

You can download a free template below.

Then, learn how to fill it out by watching our step-by-step Missouri Operating Agreement video.

Download a free LLC Operating Agreement:
Member-managed: Google Doc | Word | PDF
Manager-managed: Google Doc | Word

5. Get an EIN for your LLC

The next step is to get a Missouri EIN Number from the IRS for your LLC.

Note: An EIN Number is also called a Federal Tax ID Number or Federal Employer Identification Number.

EIN Number for an LLC

An EIN Number is used to:

Getting an EIN Number from the IRS (Internal Revenue Service) is completely free.

How long does it take to get an EIN?

If you apply online, it takes 15 minutes.

If you apply by mail or fax, it can take 1-3 months.

How can I get an EIN?

US Citizens/US Residents: If you have an SSN or ITIN, you can apply for an EIN online. Follow these instructions: Apply for an EIN online.

Non-US Residents: You can’t get an EIN online, but you can still get one by fax or by mail. Follow these instructions: How to get an EIN without an SSN or ITIN.

What do I do after my LLC is approved?

After your LLC is approved, there are some additional steps.

LLC business bank account

This makes accounting and record-keeping much easier for your business finances.

Having a separate business bank account also maintains your personal liability protection. This is because it keeps your business entity finances separate from your personal finances.

Get business licenses and permits

Business License

Good news, Missouri doesn’t have a state general business license.

However, depending on where your LLC is located, you may need a local business license or permit.

For example, if you want to start a daycare, you may need a business license from the city or county.

You can learn more on our Missouri Business License page.

File and pay taxes

LLCs don’t pay federal taxes. Instead, the LLC Members pay the taxes for the LLC.

Said another way, the owners pay taxes for the LLC as a part of their personal tax return.

How will my LLC be taxed?

By default, a Missouri LLC is taxed by the IRS based on the number of owners your LLC has:

Alternatively, you can ask the IRS to tax your LLC like a C-Corporation or S-Corporation.

Besides federal income tax, there are also state and local income taxes – and sales tax.

If your business activities require you to collect sales and use tax, your LLC must register with the Missouri Department of Revenue.

How to Start an LLC in Missouri FAQs

Can I start an LLC online in Missouri?

Yes, you can file your LLC online in Missouri. The Articles of Organization filing fee is $50.

When you start your LLC online, it will be approved immediately.

What are the benefits of an LLC?

The first benefit of an LLC is protecting your personal assets. Meaning, if your business is sued, your personal assets – like your home, cars, and bank accounts – are protected.

This protection applies to all LLC owners (called LLC Members). It doesn’t matter if you have a Single-Member LLC or Multi-Member LLC. All of the LLC owners are protected from the business debts and liabilities.

This type of protection wouldn’t apply if you operate as a Sole Proprietorship or Partnership. With these types of informal business structures, the owners aren’t protected in the event of a lawsuit. For that reason, Limited Liability Companies (LLCs) are a much more popular business structure.

Another benefit is LLC pass-through taxation. This means the LLC itself doesn’t pay federal income taxes. Instead, the profits “pass through” to the LLC Members. And the Members pay the taxes on their personal tax return.

And Missouri state income taxes are very similar, since the state honors the federal tax treatment of your LLC.

To learn more, please see How are LLCs taxed.

Is Missouri a good state to start an LLC?

Whether Missouri is a good state to start an LLC depends on where you live – and where you’re doing business.

Meaning, if you live in or do business in Missouri, then you should start your LLC there. While many websites talk about tax rates and advantages of certain states, none of that applies if it’s not the state where you live and do business.

For example, if you form an LLC in Wyoming, but live in and conduct business in Missouri, you’ll also need to register your Wyoming LLC in Missouri (and pay extra fees). And you’ll end up paying Missouri taxes anyway. This ends up leading to more costs and more headaches with no advantages.

In summary, if you live in and conduct business in Missouri, then yes, it’s a good state to start a business. If you don’t live in and do business in Missouri, then no, Missouri isn’t a good state to start a business.

Real estate exception: If you’re purchasing real estate outside of Missouri, you should form your LLC in the state where the property is located.

For more information, please see Best State to Form an LLC.

Do I have to file a Missouri LLC Annual Report?

LLC Annual Report

In most states, LLCs must file an Annual Report every year to keep the LLC in good standing with the state.

However, unlike most other states, Missouri doesn’t require Annual Reports for LLCs.

That means your Limited Liability Company doesn’t have to pay a fee each year, or file an informational report each year.

Matt Horwitz

Matt Horwitz Founder & Educator, LLC University®

Matt Horwitz is the leading expert on LLC education, and has been teaching for 15 years. He founded LLC University in 2010 after realizing people needed simple and actionable instructions to start an LLC. He's cited by Entrepreneur Magazine, Yahoo Finance, and the US Chamber of Commerce, and was featured by CNBC and InventRight.

Matt holds a Bachelor's Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC - all for free! Read more about Matt Horwitz and LLC University.