How to Set up An LLC in South Carolina
Setting up an LLC in South Carolina provides the benefits of both corporations and partnerships. It’s a great option for business owners who want more legal protection than a sole proprietorship but who don’t want a corporation. South Carolina has a specific process that you must follow to form an LLC, but it’s not as complex as you might think.
Choose a Valid Business Name
South Carolina requires that you add “LLC,” “LC,” “Limited Liability Company,” “L.L.C.,” or “L.C.,” to your business name to set it up as an LLC. Business formation law also prevents you from using the same name as another LLC in the state. You can check South Carolina Business Entities Database to see if your name is available.
Assign a Registered Agent
You’ll need a registered agent to form an LLC. A registered agent accepts paperwork on your behalf when you face legal issues. In South Carolina, registered agents need to have a physical address in the state and either be a resident or own a business that’s allowed to offer its services in the state.
Write an Operating Agreement
South Carolina doesn’t require that you submit your operating agreement, but it’s in your best interest to have one. Your operating agreement offers protection from partner disputes and other business-related issues. It helps provide clarity on how your business operates and what to do in certain situations as well.
Open a Business Bank Account
You need a business bank account because you could lose your LLC status without one. Keeping business and personal expenses separate is important. You may want to consider getting a business credit card too.
File Articles of Organization
It costs $125 to file South Carolina’s Articles of Organization online and $110 to send the form through mail. You’ll need to know the names and addresses of your registered agent and all LLC organizers.
To set up an LLC in South Carolina, you need to find a registered agent and submit the state’s Articles of Organization. Check the law around setting up LLCs to ensure you cover all the key areas.