OK, a little impromptu dance party is definitely appropriate on such an occasion. But now that that’s out of the way…
Here are a few next steps to take after you form your LLC.
Create a bank account for your LLC.
After you set up your LLC, make sure you have a separate bank account set up under the LLC’s name. This account will then be used to receive income. Depending on how you are paying yourself, you will also issue your draws from this account.
If you aren’t sure how to handle the accounting side of your new LLC, we recommend talking to a CPA like Brightwater Accounting.
Obtain any necessary insurance policies for the LLC.
We recommend talking to an insurance broker who specializes in business policies to see what kind of coverage you may need.
If you use PayPal, switch to a business account.
If you are an online business using PayPal to collect payments, you will need to switch the account from your personal account to a business account that is specifically for the LLC.
Update your W9 with any companies that you receive regular payments from.
This may include your clients and customers. If you are a blogger, it may also include influencer networks.
If you have filed a W9 in the past, make sure you update it to reflect the new information for your LLC.
Ensure you enter contracts as your LLC.
Once your LLC is formed, be sure to enter all of your business contracts as your LLC. You will still be the signer, but the contracting party should be the LLC.
Update any ongoing contracts.
If you have existing contracts that should be transferred to the LLC, let the other parties know about the updates. This should also impact who is receiving payments for those existing contracts: make sure that your LLC is the party being paid and that you are depositing the funds into your business accounts.
Make any updates to your website terms.
(Shameless plug: if you don’t have website policies and you’d like to speak with a lawyer about what you need, we offer this as a service at our law firm, Hashtag Legal.)
Transfer any applicable assets into the LLC’s name.
Depending upon what assets you want to transfer to your LLC, you may need to transfer any copyright or trademark registrations into the LLC’s name. You can do the same for your domain registrations.You've decided to start an LLC for your online business. Congrats! Here's what to do next.Click To Tweet
Don’t get overwhelmed by administrative to-do list when you open your LLC. Most of the changes listed here are relatively simple—and once they are done, you won’t have to worry about doing the updates again.
If you need assistance with entity formation, website policies or intellectual property, we offer these services (and more!) at our law firm, Hashtag Legal.