If you want to know how to start an LLC in 2026, the process is more straightforward than most people expect. An LLC is the default business structure for founders, freelancers, and real-estate investors because it separates your personal assets from the business and keeps taxes simple. The filing itself is a handful of standardized steps, and you can do it yourself for the price of a state fee or hand it to a service.
Below are the exact steps in order, what each one costs, and a clear answer on when a formation service earns its fee. I cover doola, which is strong for founders who want compliance and bookkeeping handled, along with cheaper alternatives if all you need is the paperwork filed.
What an LLC does for you
A limited liability company gives you two main benefits. First, limited liability: if the business is sued or owes money, your personal assets are generally protected, provided you keep business and personal finances separate. Second, pass-through taxation: profits flow to your personal return by default, so you avoid the double taxation a C-corporation faces. It also adds credibility with banks, clients, and partners. For most small businesses and side ventures, it is the right first structure.
How to start an LLC, step by step
1. Choose your state. Form in the state where you actually run the business. Advice to incorporate in Delaware or Wyoming suits venture-backed startups and some non-US founders, but if you operate from your home state you will usually have to register there anyway and pay twice. Keep it simple unless you have a specific reason not to.
2. Pick a name and check availability. Your name must be unique in the state and usually needs an LLC designator. Search the state business registry to confirm it is free, and check that a matching domain exists if you need one.
3. Appoint a registered agent. This is the person or company that receives legal documents for the LLC at a physical in-state address. You can serve as your own agent, but many owners use a service to keep their home address private and never miss a notice.
4. File the Articles of Organization. This is the document that legally creates the LLC. You file it with the state and pay the filing fee, which runs roughly $40 to $500 depending on where you form.
5. Get an EIN. The federal Employer Identification Number is free from the IRS and works like a Social Security number for your business. You need it to open a bank account, hire, and file taxes. Non-US founders without an SSN can still obtain one, though the process takes longer.
6. Write an operating agreement. This internal document sets out ownership, management, and how profits are split. Even a single-member LLC should have one, because it reinforces the liability separation and settles questions before they become disputes.
7. Open a business bank account and stay compliant. Keep business money completely separate from personal money, or you risk losing the liability protection. Then track ongoing obligations such as annual reports and franchise taxes so the LLC stays in good standing.
DIY vs. a formation service
You have three realistic paths. File directly with the state and pay only the state fee, which is cheapest and fine if you are comfortable with the paperwork. Use a low-cost formation service that handles the filing and registered agent for a small add-on. Or use a full-service platform that also manages EIN, bookkeeping, and ongoing compliance. The right path depends on how much of the ongoing work you want off your plate.
doola: Best for Founders Who Want Compliance Handled
doola is a formation and compliance platform aimed at founders who would rather not manage the administrative side themselves. It forms the LLC, obtains your EIN, provides a registered agent, and layers on bookkeeping, tax filing, and compliance monitoring, so the ongoing obligations that trip people up are tracked for you.
Where it stands out is for non-US founders. Getting an EIN and a US bank setup without a Social Security number is one of the hardest parts of starting a US company from abroad, and doola is built to handle exactly that, which is why it has a following among international entrepreneurs. For a US-based founder, the appeal is having formation, books, and compliance in one place instead of stitching together several vendors. Our full doola review goes deeper on the plans and where it fits.
The consideration is price. doola costs more than filing yourself or using a bare-bones service, because you are paying for the compliance and bookkeeping layer, not just the filing. If you only need the LLC created and nothing more, that bundle is more than necessary. If you value the time saved and the reduced risk of a missed filing, it is a reasonable trade.
Pros
- Formation, EIN, registered agent, bookkeeping, and compliance together
- Strong support for non-US founders
- Ongoing compliance tracked so you do not miss filings
Cons
- Costs more than filing yourself or a basic service
- Bundle is more than a simple filing needs
- Annual, not one-time, pricing
Cheaper alternatives if you only need the filing
| Service | Best for | Formation cost | Notes |
|---|---|---|---|
| File it yourself | Lowest cost | State fee only | You handle every step and all compliance |
| Bizee | Free basic filing | $0 plus state fee | Free formation; upsells and paid registered agent after year one |
| Northwest | Privacy and support | ~$39 plus state fee | Strong registered-agent service and privacy |
| ZenBusiness | Guided simplicity | $0 to ~$199 plus state fee | Clean onboarding and add-ons for compliance |
| doola | Compliance + non-US founders | From ~$297/yr plus state fee | Bundles bookkeeping, EIN, and compliance |
Pricing and promotions change, so confirm current rates on each provider's site.
How to choose
You are comfortable with paperwork and want the lowest cost: file directly with your state, or use Bizee for a free basic filing.
You want privacy and a reliable registered agent without much upsell: Northwest.
You want formation, bookkeeping, and ongoing compliance handled, or you are a non-US founder: doola.
Whatever route you take, the LLC only protects you if you run it properly: separate bank account, clean records, and on-time state filings. Get those habits right from day one and the structure does its job. Skip them and the paperwork is just paperwork.
Frequently Asked Questions
How much does it cost to start an LLC in 2026?
The unavoidable cost is the state filing fee, which ranges from about $40 to $500 depending on the state, plus annual report or franchise fees in some states. Beyond that, you can file yourself for just the state fee, use a low-cost service for a small add-on, or use a full-service platform like doola that bundles formation, EIN, registered agent, and compliance for a higher annual fee. There is no way to avoid the state fee itself.
Which state should I form my LLC in?
Most owners should form in the state where they actually live and operate. Forming in Delaware or Wyoming is popular advice, but if you run your business from another state you usually have to register there anyway as a foreign LLC, which means paying two sets of fees. Delaware and Wyoming make sense mainly for specific situations such as raising venture capital or non-US founders with no physical US presence.
Do I need a lawyer to start an LLC?
No. Forming an LLC is a standardized filing you can complete yourself or through an inexpensive formation service. A lawyer is worth it for complex ownership, multiple investors, or unusual liability concerns, but a straightforward single-member or partner LLC does not require one. Most people use either the state website directly or a formation platform.
Is doola worth it or should I file myself?
Filing yourself is cheapest and fine if you are comfortable handling the paperwork and ongoing compliance. doola is worth it when you want formation, EIN, registered agent, bookkeeping, and compliance handled together, and it is especially useful for non-US founders who cannot easily get an EIN or a US bank setup on their own. If you only need the filing, a low-cost service such as Bizee or Northwest is cheaper.