Forming an Alaska LLC
How to Start an LLC in Alaska
To get your business up and running, you first need to form your Alaska LLC by submitting Articles of Organization. You’ll then need to file an initial report and get the necessary licenses and tax IDs. Most LLCs will also want to write an operating agreement and open a bank account. So, the typical process for forming an Alaska LLC is:
- File Articles of Organization and pay the $250 fee
- File an Initial Report
- Get an Alaska Business License
- Apply for an EIN (federal tax ID)
- Write an operating agreement
- Open a bank account for your Alaska LLC
Sounds like a lot? We can help! With our formation service package, we’ll form and file your Articles, give you custom documents (including an operating agreement and initial resolutions), and provide you with a full year of registered agent service—all for just $399, including filing fees!
What are Alaska LLC Articles of Organization?
Alaska LLC Articles of Organization are submitted to the State of Alaska to legally create your Alaska LLC as a registered business. Articles of Organization designate information about your LLC, such as its name, registered agent, and management structure.
How to Complete the Alaska LLC Articles of Organization
The Alaska LLC Articles of Organization request information about your business. The requests are categorized in six sections:
- Article 1: Name of the Limited Liability Company
An Alaska LLC’s name must include one of the following: Limited Liability Company, Limited Liability Co., Ltd. Liability Company, Ltd. Liability Co., LLC, or L.L.C. Your name can’t imply that your Alaska LLC is a municipality, so you can’t use words like “City,” “Borough,” or “Village.” To check if your corporation name is unused, use Alaska’s Search Corporations Database.
- Article 2: Disclosure of Corporate Purposes
“Corporate Purpose” is what your company does, like producing or supplying a product. The Articles of Organization form requests an NAICS code. A NAICS (North American Industry Classification System) code is a six-digit code that classifies your type of business. Alaska NAICS Codes can be found on Alaska’s Division of Corporations, Business and Professional Licensing website.
- Article 3: Registered Agent
A registered agent performs an important job—accepting legal documents, service of process, and official notifications on behalf of your company. Per Alaska Statute §10.50.055, an LLC must have and maintain a registered agent. A registered agent must have both a physical and mailing address in Alaska.
Using a commercial registered agent also gives you the added benefit of privacy—instead of listing your own address on public documents (like the Articles of Organization), you can use the registered agent’s address and maintain company privacy and business security. As a commercial registered agent, we provide registered agent service to a large number of clients. For just $49 a year, we can provide our registered agent service to your LLC.
- Article 4: Management
Your Alaska LLC can have one of two management styles. An LLC can be managed by its members. Or, an LLC can have one or more managers who make decisions for the LLC and its members. Managers don’t have to be members.
- Article 5: Optional Provisions
If you would like to add additional articles or provisions, you can attach a page to the Alaska LLC Articles of Organization form.
The document must include the name and signature of at least one organizer. An organizer doesn’t have to be a member or anyone with ownership interest; an organizer is the person who signs and delivers the Articles for filing. If you select our formation services, we will be your organizer—no need to print, scan and send a signature!
How Do I Submit Articles of Organization?
Alaska’s Division of Corporations, Business and Professional Licensing website hosts both online and paper submission forms. Online submissions are payable by Visa or MasterCard. Paper submissions can be paid in cash (in person only), check (in person or by mail), or credit card (in person, by mail or by fax).
How Long Does it Take?
Online submissions are processed immediately. Standard processing for paper submissions is 10-15 days.
What is the Alaska LLC Filing Fee?
The fee is $250.
Alaska LLC Formation Services
We are an LLC filing service in Alaska—forming LLCs is something we do on a daily basis. We know exactly what it takes to get your business up and running. Plus, we’re fast. Our processing time for forming an Alaska LLC is just one day!
How Our Process Works
Click the “Order Now” button to sign up for our services. Answer just a few brief questions, and we’ll create the Articles of Organization for your Alaska LLC and file with the state. We process the filing the day you order.
What are the Costs to Form an Alaska LLC?
Our fee is just $100 to form your Alaska LLC. We also provide one year of registered agent service for $49. With state filing fees of $250, your total cost is $399.
What Do You Get With Our Services?
- 1-Day Processing
- A Year of Registered Agent Service (Renewals at Same Low Price!)
- Instant Access to Services Through Our Secure Online Portal
- Company Privacy and Security (List Our Address–Not Yours)
- Reminders for Alaska Reporting Requirements
- Expert Customer Service Support
- All the Documents Needed to Form Your LLC and Open a Business Bank Account: Operating Agreement, Initial Resolutions, Membership Certificates and More!
What To Do After Forming an Alaska LLC?
Regulations require that your Alaska LLC submit an initial report and have a business license. Your Alaska LLC will most likely want an EIN and an operating agreement as well.
SUBMIT YOUR INITIAL REPORT
- What is an Initial Report?
An initial report is a statement of information about your LLC to the State of Alaska. This report includes general contact and ownership information for your Alaska LLC. You’ll need to submit an updated report every year.
- How do I submit my report?
An electronic form is available on Alaska’s Division of Corporations, Business and Professional Licensing website. On the electronic form, there is the option to file online or to print and then fax or mail the form. Note that paper submissions can take over two weeks to process.
Sign up for one of our services, and we’ll provide the forms you need, pre-filled with your information, in your account.
- How much does the Initial Report cost?
There is no filing fee for this report.
APPLY FOR AN ALASKA BUSINESS LICENSE
- What is an Alaska Business License?
An Alaska Business License grants permission to engage in business within the State of Alaska. If required for your business activities, you must have a business license before your LLC can conduct any business in Alaska.
- Do I need an Alaska Business License?
If your business activities are limited solely to the one of the following activities, you are not required to have a business license (but need another specialized license): liquor sales, fishing, mining, and insurance.
You also do not need a business license for investment clubs, supplying services as an employee, or furnishing goods or services if you do not represent yourself as regularly engaged in furnishing goods or services.
- How can I apply?
Both online and paper application forms are available from Alaska’s Division of Corporations, Business and Professional Licensing website. Online applications are processed immediately, and you can print your Alaska Business License certificate directly after filing. Paper applications can take over two weeks to process, and certificates are sent by mail.
Many professions in Alaska require professional licenses as well. If you have also applied for a professional license, you must submit a paper application.
- What is the fee for an Alaska Business License?
A business license is $50 per year or $100 for two years. The license expires at the end of the filing year.
Online application fees are payable by Visa or MasterCard. Paper application fees are payable by check, money order, Visa or MasterCard.
OBTAIN AN EMPLOYER IDENTIFICATION NUMBER (EIN)
- What is an EIN?
An Employer Identification Number is a tax identification number from the IRS. Many LLCs need an EIN. In particular, if you plan to set up a business bank account, have employees, or plan to file tax forms such as Employment, Excise, or Alcohol/Tobacco/Firearms returns, you should get an EIN.
- How do I get an EIN?
You can apply through the IRS website. Online applications are processed immediately. There is no fee for an EIN.
CREATE AN ALASKA LLC OPERATING AGREEMENT
- What is an Operating Agreement?
An operating agreement is a document that outlines the structure and internal operations of your Alaska LLC. Some topics that can be covered in an operating agreement include management, finance, and members’ rights and responsibilities.
- Is an Operating Agreement required?
No, but operating agreements are common practice. A well-written operating agreement can help your business run smoothly and resolve member disputes.
With our formation service, a free, custom operating agreement is included.
- Do I file my Operating Agreement?
No. Any operating agreements sent to the State of Alaska will be returned. Operating agreements are documents for internal use in your Alaska LLC.
Alaska LLC Advantages
LLCs offer all the limited liability of a corporation but without the corporate net income tax. Their flexible structure is also a perfect fit for a variety of businesses. LLCs are great options for small businesses, and Alaska hosts advantages for small and single-member LLCs.
Limited liability means the debts of your business aren’t your personal debts. Your personal financial responsibility is limited to your investment. So, if your LLC lost a financial lawsuit, the LLC would pay—not you. Forming an Alaska LLC can help you protect your personal assets.
LLCs are not like typical corporations, made up of shareholders and a board of directors. An LLC is made up of owners, called members. This gives LLCs flexibility. In an LLC, you can decide if members should manage themselves or if there should be separate managers. You can also quickly make decisions and changes without a formalized meeting.
LLCs are, by default, considered to be separate entities from their members. However, a common legal tactic used against LLCs is to try to convince a court that the LLC isn’t truly separate from its members. This tactic is called “piercing the veil.” Single-member LLCs are most at risk because it can be more difficult to prove separation. An Alaska LLC, however, is well protected because strict laws prohibiting creditors from accessing single-member assets make piercing the veil incredibly difficult.
No Double Taxation
One drawback of corporations is that they’re often subject to “double taxation.” A corporation pays corporate net income tax. Afterwards, profits are distributed to shareholders, and then these profits are taxed again when shareholders report these profits on their tax returns.An LLC, however, is considered a “pass-through entity.” This means that the LLC itself doesn’t pay income taxes. The LLC’s profits are only taxed once—when members report the profits on their tax returns.
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We create and file your formation paperwork, serve as your registered agent, provide you with an operating agreement, and more! We have everything you need to form your Alaska LLC today!