Form a Michigan LLC — Complete Walkthrough

Michigan charges just $50 to file your Articles of Organization with the Department of Licensing and Regulatory Affairs (LARA). That makes it one of the cheapest states in the country to start an LLC. Here is everything you need to know about the process, costs, and ongoing requirements.

Why Form an LLC in Michigan?

An LLC gives you personal asset protection without the governance overhead of a corporation. If your business gets sued or takes on debt, your personal bank accounts, home, and savings are generally shielded — as long as you keep the LLC properly maintained.

Michigan LLCs also enjoy pass-through taxation by default. Business income flows to your personal tax return. No double taxation. No separate corporate return unless you elect otherwise.

Total Cost Breakdown

Item	Cost
Articles of Organization (state fee)	$50
Expedited processing (optional)	$50
Annual Statement (yearly, due Feb 15)	$25
Resident agent service	$99/year
EIN from the IRS	Free

Michigan has no franchise tax for LLCs. Your ongoing state cost is just $25/year for the Annual Statement plus your resident agent.

Step-by-Step Formation

1. Choose Your LLC Name

Your name must include "Limited Liability Company," "LLC," or "L.L.C." and be distinguishable from every other entity on file with LARA. Search the state database before committing to a name. Avoid names suggesting you are a bank, insurance company, or government agency.

2. Designate a Resident Agent

Every Michigan LLC must have a resident agent — a person or business with a physical Michigan address who can receive legal documents during business hours. Michigan uses the term "resident agent" rather than "registered agent" in its filings.

You list your resident agent's name and address on your Articles of Organization, and that information becomes public record through LARA. Using a professional service like Michigan Registered Agent.co means our address goes on the filing instead of your personal address.

3. File Articles of Organization with LARA

This is the document that actually creates your LLC. File it with the Department of Licensing and Regulatory Affairs and pay the $50 fee. You can file online at michigan.gov/lara or by mail.

Required information includes:

• LLC name
• Principal office address
• Resident agent name and address
• Management structure (member-managed or manager-managed)
• Organizer name(s)
• Effective date (can be the filing date or a future date)

Standard processing takes 5 to 7 business days. Expedited processing costs an additional $50 and cuts turnaround to approximately 24 hours.

4. Draft an Operating Agreement

Michigan does not require you to file an operating agreement with the state, but you should create one anyway. This internal document specifies ownership percentages, profit distribution, decision-making authority, and what happens if a member leaves. Banks typically ask for it when you open a business account.

5. Obtain an EIN

An Employer Identification Number is your LLC's federal tax ID. You need it to open a business bank account, hire employees, and file taxes. Apply for free at IRS.gov — the process takes about 10 minutes and you get your number instantly.

6. Open a Business Bank Account

Keep your LLC funds completely separate from personal funds. This separation is what maintains your liability protection. Mix the two and a court could "pierce the veil," holding you personally responsible for business debts.

Ongoing Michigan LLC Requirements

Once your LLC is formed, you need to:

• Maintain a resident agent — Someone with a physical Michigan address available during business hours. Let this lapse and LARA can dissolve your LLC.
• File your Annual Statement — Due February 15 every year. Costs $25. Miss it and you owe a $50 late fee.
• Keep records separated — Separate bank account, separate bookkeeping.
• Handle state and federal taxes — Michigan has a flat income tax. Federal taxes flow through to your personal return.

Our Role in Your Michigan LLC

We are the resident agent you list on your formation documents. For $99/year:

• Our physical Michigan address goes on your LARA filings
• Lawsuit papers, tax notices, and state mail are scanned and forwarded same day
• You get compliance reminders before your February 15 Annual Statement deadline
• Your home address stays off the public record

You file the LLC yourself directly with LARA for $50. We handle the resident agent piece.

Get Started — $99/yr