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How to Form a Alaska LLC in 10 Steps

LLC is short for Limited Liability Company. This is a common business structure. It allows several people to own parts of a company. 

When an LLC earns profits, they are passed down to the LLC members. LLCs don’t have to file unique tax returns; however, corporations do. LLCs reduce owner exposure to liability from activities of the company as well.

Creating an LLC is a straightforward process. Still, you’ll need to follow these particular steps: 

1. Pick a Name for Your Company.

It’s important to choose a name for your company that other companies can’t use. Particularly, you should not choose a name that is already taken in the State of Alaska.

You might also ask that a filing company like SunDuc run your name search or reserve your LLC name for you. For this, we charge a small fee. 

Finally, don’t forget to make sure there’s not a registered trademark on the name you choose.

2. Know the Requirement for an LLC Organizer.

You have to name an LLC organizer on the Articles of Organization form. You are the organizer if you prepare and file yourself. On the other hand, feel free to choose anyone else to be your organizer, including a manager or a member. Some new LLCs will choose an attorney to be their organizer as well. 

Finally, SunDoc can file your Articles of Organization and be your organizer as well. 

3. Designate a Registered Agent.

All new LLCs need to choose a firm or an individual person to be their registered agent. The registered agent will be listed on your Articles of Organization. This article will help you learn more: Registered Agent Service.

4. Decide Your Ownership and Management Structure.

Step four involves answering the following question: How do you want your LLC to be managed? 

This answer needs to go on your Articles of Organization form. You may choose to be managed by one or multiple managers or by all members.

5. Create an Operating Agreement.

You may be required to have an operating agreement, which is a document that details your business’ financial and functional decisions (provisions, rules, and regulations). This document caters to the business owners’ needs and outlines how your internal operations will be governed.

The Operating Agreement is the legal engine that drives your business, creating its governance, managing its working capital, and paying out its profits. Critical matters of money, voting, liability, and fiduciary constraints are at stake here. You may also wish to consult an attorney for advice. 

6. File the Articles of Organization.

The Articles of Organization form provides all required company details to the State of Alaska. The acceptance of your Articles of Organization by Alaska State will be the exact moment that your company is created. 

In order to file your Articles of Organization, you will need the name and address of your company, your LLC organizer, your registered agent, and your management method. You may require the member names to be filed. 

SunDoc can file the Articles of Organization for you if time is an issue or if you'd prefer to have a filing service handle your paperwork. 

7. Obtain an EIN and Open a Business Bank Account.

Congratulations! You are now a registered Alaska LLC. 

Do you have more than a single member? Regardless of whether you have employees, you will need an Employer Identification Number. This is also known as an EIN. You can file with the IRS yourself, or SunDoc can file for you.

An EIN is also required by most banks in order to open a business account. If you've been paying business expenses out of a personal account up until now, this is a good time to set up your company's fiscal management. Make sure you keep all receipts for reimbursement no matter the account you’ve used for payments. At this point you may also want to find an accountant for help with business matters.

8. Pay Taxes to the State of Alaska.

Each year your LLC may be required to pay necessary fees and taxes to your state, possibly including in your first year of operation. If you sell goods in Alaska, you may be required to collect sales tax. You can find more state tax information on the State of Alaska’s tax web site.

9. Learn About Necessary Licenses and Permits.

Most states require that companies have one or several business licenses or permits. These are required at the city level and often at the county level. 

Go to your state’s business website, and you’ll be able to find your company’s unique requirements. It’s essential to check this website even when you assume that your company doesn’t need permits and licenses. You’ll probably be surprised to see what permits and licenses you must obtain. If you operate without the proper licenses or permits, this can result in hefty fines.

10. File an Annual Report (Biennial Report or Initial List).

It’s important to file your Biennial Report, Annual Report, or other similar document right after you form your Alaska LLC. This is a basic form. The goal is to give detailed information to your state about your company, including any changes you make down the line.

After your initial filing, you’ll re-file every one or two years (this depends on your state’s requirements). Any time you make big changes, you’ll likely have to refile as well.

It is essential to file all paperwork, including your annual report, within the required time. If you file your annual report late, it may cost you many times more than the average fee. All LLC forms may be located on the Alaska business web site.

Don’t have time to file on your own? Allow SunDoc to file for you. We are a reliable filing service who can make the LLC formation process much easier.

Important Notice: It is beyond the scope of this article to discuss your potential insurance needs, or matters relating to employees. You should consult an attorney or accountant with any questions about legal or financial matters. Please note that nothing in this article can be construed as legal, tax or accounting advice.

For additional learning, check out our LLC FAQs.

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