How Long Does It Take To Form an LLC? (What to Expect)
The time it takes to create an LLC will vary depending on your state's requirements and the method of filing you choose.
As a mergers and acquisitions specialist and a Master's degree holder in tax law, I have compiled a comprehensive guide to determine the timeline for starting an LLC. My research involved analyzing state regulations, legal documentation requirements, and processing times.
Quick Summary
- The time it takes to form an LLC varies, but it usually takes 1 to 5 working days if you file online or two to six weeks by mail, depending on the state and circumstances.
- Most states offer expedited processing for a fee. The option will allow you to register your LLC in less time.
- Between March 2021 and March 2022, the U.S. saw the creation of 1.4 million new businesses, where the time required for processing varied according to the document filing method used.
- Having established several LLCs across the states, I can attest that the expedited option is the most efficient and convenient way to file.
What is The Fastest Way to Start an LLC?
The fastest way to start an LLC is by availing of the expedited service or by filing online.
Expedited processing typically incurs an additional filing fee, which can significantly reduce the waiting period to a few hours or within 1 business day.
Online submissions are reviewed and approved in real time or within a few days of filing.
LLC Processing Time and State Variations
The processing time for LLC formation can vary depending on the state where you file.
As per 2023 data from the U.S. State Business Administration, there are 33.3 million small businesses in the U.S., making up 99.9% of all businesses in the country.
While some states have efficient online filing systems, others may require in-person, or paper submissions, which have longer processing times due to high filing volumes [1].
1. Expedited LLC Processing Time (Same-day processing + accelerated fee)
Many states offer expedited filing options if you're looking to accelerate the limited liability company formation process.
In my experience, this option can be beneficial if you have time-sensitive business requirements or need to secure contracts or financing quickly.
2. Non-Expedited LLC Processing Time By Mail (2-6 weeks)
Standard mail processing has an average processing time of 2–6 weeks, which includes the time it takes the state to review and approve your formation documents as well as the mailing period.
Remember that this is an approximation based on my experience with filing in different states, and the actual processing time can be shorter or longer.
3. LLC Processing Time Online (1–5 business days or immediate approval)
All states offer online submissions for filing LLC formation papers. Depending on the state, the approval time varies and may take an average of 1–5 business days to be completed.
I prefer online submissions since it’s convenient and efficient.
4. LLC Processing Time In Person
In-person filings are processed immediately for an additional fee or the approval time may take a few days to a week, depending on the volume of applications.
"LLC formation timelines vary across the United States. While many states offer expedited online filing with fast processing times, others might take longer."
- Jon Morgan, CEO, Co-Founder & Editor-in-Chief of Venture Smarter
How Long Does It Take To Start an LLC - Choose Your State:
| State | Expedited Online Filing | Non-Expedited Online Filing | Non-Expedited Mail Filing | Expedited Mail Filing |
|---|---|---|---|---|
| Alabama | Not available | Immediate approval | 4-6 weeks | 3 business days (+$100) |
| Alaska | Not available | Immediate approval | 10-15 business days | Not available |
| Arizona | Same-day processing (+$200) | 13-15 business days | 13-15 business days | Same-day processing (+$200) |
| Arkansas | Not available | 3-5 business days | 3-5 business days | Not available |
| California | Same-day processing (+$750) | 3-5 business days | 3-5 business days | Not available |
| Colorado | Not available | Immediate approval | 7-10 business days | 3 business days (+$150) |
| Connecticut | 24-hour processing (+$50) | Immediate approval | 3-4 weeks | Not available |
| Delaware | 1-hour processing (+$1000) | 1 business day | 10 business days | 1-hour processing (+$1000) |
| Florida | Not available | 1-2 business days | 5-7 business days | Not available |
| Georgia | 2-day processing (+$100) | 7 business days | 15 business days | 2-day processing (+$100) |
| Hawaii | 1 business day (+$25) | 3-5 business days | 3-5 business days | 1 business day (+$25) |
| Idaho | 1 business day (+$40) | 3 business days | 7-10 business days | 1 business day (+$40) |
| Illinois | 24-hour processing (+$100) | 10 business days | 21 business days | 24-hour processing (+$100) |
| Indiana | Not available | 1 business day | 2-3 weeks | Not available |
| Iowa | Not available | Immediate approval | 2-3 weeks | 2-day processing (+$50) |
| Kansas | Not available | Immediate approval | 2-3 business days | Not available |
| Kentucky | Not available | 1-5 business days | 1-5 business days | Not available |
| Louisiana | Same-day processing (+$50) | 7-20 business days | 2-3 weeks | Same-day processing (+$50) |
| Maine | Not available | 1-2 business days | 25-30 business days | Same-day processing (+$100) |
| Maryland | 3-hour processing (+$325) | 6-8 weeks | 6-8 weeks | 3-hour processing (+$325) |
| Massachusetts | 1 business day (+$20) | 1-2 business day | 1 week | Not available |
| Michigan | Same-day processing (+$100) | 10 business days | 4 weeks | Same-day processing (+$100) |
| Minnesota | 3-5 business days (+$20) | 7 business days | 3-4 weeks | Not available |
| Mississippi | Not available | 24-hour processing | Not available | Not available |
| Missouri | Not available | 24-hour processing | 15-20 business days | Not available |
| Montana | 1 business day (+$20) | 5-6 business days | 5-6 business days | 1 business day (+$20) |
| Nebraska | Not available | 1-2 business days | 7 business days | Same-day processing (Contact the SOS for the expedited fee) |
| Nevada | Not available | Same-day processing | 3-6 weeks | 24-hour processing (+$125) |
| New Hampshire | Not available | 10-15 business days | 10-15 business days | Not available |
| New Jersey | Not available | 2 business days | 7-10 business days | Not available |
| New Mexico | Not available | 1-3 business days | 7-10 business days | Not available |
| New York | Same-day processing (+$75) | 7 business days | 7 business days | Same-day processing (+$75) |
| North Carolina | Same-day processing (+$200) | 5-7 business days | 5-7 business days | Same-day processing (+$200) |
| North Dakota | Not available | 5 business days | 4 weeks | Not available |
| Ohio | 4-hour processing (+$300) | 3-7 business days | 3-7 business days | 4-hour processing (+$300) |
| Oklahoma | Not available | 2-3 business days | 5-7 business days | Not available |
| Oregon | Not available | 1-2 business days | 2-8 weeks | Not available |
| Pennsylvania | Same-day processing (+$100) | 10 business days | 15 business days | Not available |
| Rhode Island | Not available | 1-2 business days | 2 weeks | Not available |
| South Carolina | Not available | 24-hour processing | 2-3 business days | Not available |
| South Dakota | Not available | Immediate approval | 3-5 business days | 1-2 business days (+$50) |
| Tennessee | Not available | 2 business days | 2-3 weeks | Not available |
| Texas | 10-15 business days (+$25 per document) | 5-7 business days | 70-72 business days (due to heavy volume) | 12-14 business days (+$25 per document) |
| Utah | Not available | 1 business day | 2-3 weeks | 1-2 business days (+$75) |
| Vermont | Not available | 1 business day | 2 weeks | Not available |
| Virginia | Same-day processing (+$200) | 5 business days | 2 weeks | Not available |
| Washington | Not available | 5 business days | 4-6 weeks | 3 business days (+$100) |
| West Virginia | 24-hour processing (+$25) | 5-10 business days | 5-10 business days | 24-hour processing (+$25) |
| Wisconsin | Not available | 1 business day | 5-7 business days | 1 business day (+$25) |
| Wyoming | Not available | 1 business day | 15 business days | Not available |
Factors Influencing the Formation Timeline of LLCs
Although the states have established processing timeframes, several factors can affect the formation timeline.
These include the following:
- Filing method: The processing period is primarily influenced by the filing method you opted for. Standard processing has a longer approval time, while expedited service considerably shortens the turnaround period.
- Documentation: The state rejects formation papers with inaccurate or incomplete details. The processing time is prolonged since you’ll have to amend and refile the document.
- Requirement issues: I always advise entrepreneurs to ensure all state requirements are met in order to prevent delays in the processing time.
- Heavy workload: Some states had extended their approval period due to the high volume of filings.
- Time of the year: The majority of businesses renew and apply during the end or beginning of the year. Colleagues and clients of mine don’t file their LLC paperwork during busy seasons to prevent delays.
- Weekends and holidays: Public offices do not conduct business during this period. It’s ideal to file after the weekends and holidays so that your documents are reviewed and processed within the standard approval time.
Related Articles:
FAQs
How Can I Streamline the LLC Formation Process?
You can streamline the LLC formation process by complying with state laws and requirements, ensuring all documents are in order, choosing the filing method suited for your business situation, and avoiding filing during busy seasons.
Can I Check the Status of My LLC Formation During the Processing Period?
You can check the status of your LLC formation during the processing period. You may contact the Secretary of State, verify the status online, or wait for an email confirmation.
References:
- https://www.sba.gov/business-guide/launch-your-business/register-your-business
