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Tips for Forming an LLC in Colorado

The Colorado Secretary of State handles the formation and organization of Limited Liability Companies (LLCs) in Colorado.

Detailed information on how to form a Colorado LLC yourself without an attorney can be found on our step-by-step guide to forming an LLC in Colorado.

Who Can be Part of a Colorado LLC?

A limited liability company consists of one or more members which may be individuals, partnerships, limited partnerships, trusts, estates, associations, corporations, other limited liability companies or other business entities.

What do I have to do to form a limited liability company? What are the advantages?

A domestic limited liability company must complete and file Articles of Organization with the Colorado Secretary of State along with paying a filing fee.

Members of a Colorado LLC are afforded limited liability protection like a corporation to protect the owner’s personal assets from legal action against the business.  Another advantage for most is the pass-through taxation which is similar to a sole proprietorship or general partnership.

Does Colorado recognize single-member limited liability companies?

The Colorado Secretary of State will approve single-member LLCs.

How long does the Secretary of State Office take to process my LLC formation documents?

It typically takes approximately 20 days for the Colorado Secretary of State’s Office to process the Articles of Organization and other formation documents for a Limited Liability Company.

Are there any restrictions to naming an LLC?

Before forming an LLC, a business name will have to be selected.  This name has to be unique from any other entities registered in the state.  Do a business entity search through the Colorado Secretary of State to be sure the name you want is available.

State the name of the limited liability company. The name of a limited liability company must contain the term or abbreviation “limited liability company”, “ltd. liability company”, “limited liability co.”, “ltd. liability co.”, “limited”, “llc”, “l.l.c.”, or “ltd.”

Inclusion of any of these terms: “bank” or “trust” or any derivative thereof, “credit union”, “savings and loan”, “insurance”, “casualty”, “mutual”, or “surety” may be prohibited or restricted by Colorado law, and may be regulated by other state agencies (for example, use of the term “bank” requires Division of Banking approval).

The Colorado Secretary of State’s office cannot file a document which contains a name that falsely implies governmental affiliation.

What are the on-going requirements for an LLC in Colorado

Every year, LLC must file a periodic report in addition to paying a $10 filing fee.

Do I need a Registered Agent?

A registered agent must be an individual age 18 years or older whose primary residence or usual place of business is in Colorado, a domestic entity having a regular place of business in Colorado or a foreign entity authorized to transact business or conduct activities in Colorado that has a usual place of business in Colorado. If the business entity has a usual place of business (physical address) in Colorado, it may serve as its own registered agent.

Click here to find out what a Registered Agent service is and whether you need one.