How to Start an LLC in Tennessee
An LLC, or limited liability company limits the liability of the owners. This type of business makes most sense for the small time business owner who has invested hard work into the business but doesn't want personal assets to be liable should the business incur bad debts or fail. A limited liability company can comprise one person or several members and can include nonprofit organizations.
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Instructions
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Choose a name for the company and see if it is available in the state of Tennessee.
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Visit the State of Tennessee's Department of State Corporate Filing Office online or in person to obtain Form 4270.
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Fill out Form 4270. It asks the name of the company, the address and, if it has more than one member, how the company will be managed. Be prepared to fill out this information as well as decide if it should be effective immediately or at a later date. Tennessee will allow you to file up to three months in advance.
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Submit the form and filing fee to the State of Tennessee Division of Business Services. As of 2010, the minimum filing fee is $300. Each additional member after six members will cost $50 up to a maximum of $3,000.
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Tips & Warnings
Tax issues are complicated as to whether or not sole proprietors owe self-employment tax. Consult your accountant or tax adviser.
References
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