Annual Report for LLC

States require an Annual report for the sake of keeping your LLC in compliance. This report will keep an LLC in good standing. Every state has its own fees and due dates. After an LLC is formed, the paperwork is still left. An annual report and an annual filing fee must be paid to the state. An annual report also has the following names:

• Annual Report (every year)
• Annual Statement
• Statement of Information
• Periodic Report
• Biennial Statement (every 2 years)
• Decennial Report (every 10 years)

Purpose of an Annual Report

Companies submit an annual report in order to operate legally within a state. Annual reports provide data on business operations. It explains your business to your investors. It also helps in summarizing your past business activities.

What type of information is in an Annual Report?

Mostly Annual reports cover financial data, recent activity of the business, and the owner. Your state might ask for some additional documents. These documents or information can be:

• Your company’s legal name
• The fictitious name your business uses (DBA)
• The principle business address in the state
• Registered office address
• Names and business addresses of managers and shareholders of the company
• Important identification numbers like EIN and your state entity number
• Purpose of your business
• A list of authorized signatories
• Information of your registered agent

Who needs to file the Annual Report?

If your business exists as a separate legal entity, you need to file an annual report to your state. To be in a good standing, the following entities must file it:

• LLCs
• Nonprofits
• Corporations
• Sole proprietors
• Partnerships

To know if your state requires an annual report, you can click here.

How to file and pay your Annual Report?

There are usually two ways by which you can file your Annual Report with your state:

• By mail
• Online

Your way does not really matter but you must send the report on time. Most states will send you a reminder prior to the deadline. For this reason, you must keep a check and put a reminder for yourself through a calender.

Many people file their Annual Report themselves after they form an LLC. You have to fill out a simple form. Then you only have to confirm the information that the state sends you. After that, you will pay the required amount through online payment or a check. Even if you have paid a company to form an LLC for you, Annual Report is still your responsibility. But you can still ask them whether they will do it for you or not.

Where to get the Annual Report form?

After LLC formation, you can visit your state’s website and can also contact them for proper guidance about getting your Annual Report.

Consequences of Not Filing the Annual Report

 If you do not file your Annual Report on time, your state will charge you a late fee. And if you keep ignoring this requirement, your LLC will be dissolved or shut down by the state.