How do I form an LLC in Florida?

Forming an LLC in Florida is straightforward. The state makes the filing process simple, but there are steps beyond the paperwork that many new business owners skip or get wrong.

Start by choosing a name and checking availability on Sunbiz.org, which is the Florida Division of Corporations website. Your name must include “LLC” or “Limited Liability Company” and can’t be identical or too similar to an existing registered entity. Search before you get attached to a name.

File your Articles of Organization online through Sunbiz. The filing fee is $125. You’ll need to provide your LLC’s name, principal address, mailing address, registered agent information, and the names of your members or managers. Most filings are processed within a few business days.

Every Florida LLC must designate a registered agent with a physical street address in the state. This is the person or company authorized to receive legal documents on behalf of your business. You can serve as your own registered agent, but that means your address becomes public record and you need to be available during business hours.

Once your LLC is approved, apply for an EIN through the IRS website. This is free and takes about five minutes. You need the EIN before you can open a business bank account, hire employees, or file taxes. Don’t pay a third-party service for this. Go directly to irs.gov.

Draft an operating agreement even though Florida doesn’t legally require one. This document outlines ownership percentages, profit distribution, decision-making authority, and what happens if a member leaves or the business dissolves. Without one, Florida’s default LLC statutes govern your business, and those defaults may not match what you and your partners actually agreed to. Single-member LLCs need one too. It reinforces the separation between you and the business, which is the whole point of having an LLC.

Open a dedicated business bank account immediately. Never run business income and expenses through your personal accounts. Mixing funds undermines the liability protection your LLC provides and makes your small business bookkeeping significantly harder.

Think about your tax election early. By default, a single-member LLC is taxed as a sole proprietorship and a multi-member LLC is taxed as a partnership. You can elect S-Corp taxation by filing Form 2553 with the IRS, which can save on self-employment taxes once your income reaches a certain level. This decision depends on your revenue, profit, and how you pay yourself. Talk to an accountant before making the election because switching later creates complications.

Florida does not have a state income tax, which simplifies things compared to most other states. However, you still need to file an annual report with Sunbiz by May 1 each year. The fee is $138.75. Miss the deadline and you’ll pay a $400 late fee. Miss it long enough and the state will dissolve your LLC.

If your business sells taxable goods or services, you’ll also need to register for a Florida sales tax certificate with the Department of Revenue. And if you plan to hire employees, you’ll need to register for reemployment tax (Florida’s version of unemployment tax) and get workers’ compensation insurance.

The filing itself takes under an hour. Getting everything set up correctly after that, including your accounting system, tax registrations, and bank accounts, is where most people either rush through or put off until it becomes a problem. If you want help with business formation and making sure the financial foundation is solid from day one, that’s worth doing right the first time rather than cleaning it up later.