How to Start an LLC in North Dakota

Last updated on 04 Apr 2025

How to Form an LLC in North Dakota | Complete Guide

A Step-by-Step Guide

How to Form an LLC in North Dakota

Forming a Limited Liability Company (LLC) in North Dakota is a great idea to secure your personal assets while setting up your business. Nevertheless, it is crucial to know the steps and adhere to the correct process to prevent delays or errors. Here is a step-by-step guide to help you form your LLC in North Dakota without any hassles.

What is an LLC?

An LLC (Limited Liability Company) is a company structure that provides liability protection for its owners (members). Your personal assets—your home and car, for example—are kept safe from business debts and lawsuits. LLCs also enjoy pass-through taxation, which means business profits are taxed only once at the individual, not corporate, level.

Personal Asset Protection

An LLC provides a legal barrier between your personal assets and business liabilities, protecting your savings, home, and other personal property from business debts and lawsuits.

Tax Flexibility

LLCs offer pass-through taxation by default, meaning business income passes through to your personal tax return, avoiding double taxation while providing options for how you're taxed.

Management Freedom

North Dakota LLCs provide flexibility in management structure, allowing you to choose between member-managed or manager-managed operations to suit your business needs.

Steps to Form an LLC in North Dakota

Select a Special Name for Your LLC

Picking out the perfect name for your LLC is one of the initial steps in the formation process. Here are some crucial points to consider:

Required Words: Your LLC name has to contain "Limited Liability Company" or a shortened version such as "LLC" or "L.L.C."
Prohibited Words: It cannot have words like "Agency," "Board," "Bureau," "Commission," "Department," or "Municipal."
Restricted Terms: The name cannot be confusing with government agencies or organizations such as the FBI, State Department, or the like.
Domain Name: It is a good idea to ensure that the business domain name is available, particularly if you anticipate setting up a website in the future.

Be sure to confirm the name's availability using the North Dakota Secretary of State's business name database prior to continuing.

Select a Registered Agent for Your LLC

All North Dakota LLCs are required to have a Registered Agent. This person or service is your official point of contact for accepting legal documents, government notices, and tax documents on behalf of your LLC.

Registered Agent Requirements

You can nominate:
- Yourself
- One of your members in your LLC
- A professional Registered Agent service

Professional Service Benefits

A professional Registered Agent service guarantees you stay up to date with state regulations because they receive and forward important documents in a timely manner.

Best Registered Agent Services for North Dakota

ZenBusiness

ZenBusiness provides an effortless experience for the formation of LLCs, and their Registered Agent service for $199 annually is included. ZenBusiness also supplies compliance tools that will keep your LLC in compliance with the state.

Quick, guaranteed LLC registration.
Convenient compliance services.
Simple online platform with document access.

Cons: No nonprofit formations.

Northwest Registered Agent

Reputed for outstanding customer service, Northwest Registered Agent offers top-notch Registered Agent services for $125 per year. They specialize in data security and offer you access to an encrypted online portal to handle your documents.

Strong data privacy policy.
A+ rating with the Better Business Bureau.
Supports corporation and LLC registration in all 50 states.

Cons: Higher upfront incorporation costs.

File Your LLC Formation Documents with the State

After you've finished naming your LLC and chose a Registered Agent, you'll need to submit your Articles of Organization with the North Dakota Secretary of State. This official filing creates your LLC as a valid business entity.

Filing Fee

The cost to file the Articles of Organization in North Dakota is $135.

Filing Options

You may file online or by mail:

By Mail:
Secretary of State
Business Registration Unit
600 E. Boulevard Avenue Dept 108
Bismarck, ND 58505-0500
Fax: 701-328-2992

The time it takes to process LLC formation is around 4 weeks when filed online or by mail. Expedited processing is an additional cost.

After your documents are processed, you will receive notification from the state that your LLC has been established.

Subsequent Steps After Your LLC is Registered

After your LLC has been registered, a couple of further steps are necessary to establish smooth operations:

Keep Personal and Business Finances Separate

Open an LLC business bank account to keep personal and business finances separate. This is important to preserve your liability protection.

Make an Operating Agreement

North Dakota doesn't require an LLC Operating Agreement, but it's strongly advisable. This document explains the management setup, members' responsibilities, and how your LLC operates. It prevents disputes in the future.

Apply for an EIN

If your LLC is going to have employees or requires a business bank account, you will need to get an Employer Identification Number (EIN) from the IRS.

Think about Business Insurance

Regardless if you are a single member LLC or have employees, business insurance offers important protection from future lawsuits, liability claims, and other hazards.

Frequently Asked Questions (FAQs)

How much does it cost to register an LLC in North Dakota?

The filing fee for North Dakota Articles of Organization is $135.

Do I require a DBA (Doing Business As) for my LLC?

Most North Dakota LLCs do not require a DBA unless you intend to operate under a name other than the official LLC name. If you choose to operate under a different business name, you will have to file for a DBA.

How long does it take to process my LLC formation in North Dakota?

The time it takes to process LLC formation is around 4 weeks when filed online or by mail. Expedited processing is an additional cost.

Can I serve as my own Registered Agent in North Dakota?

Yes, you can be your own Registered Agent in North Dakota, as long as you have a physical street address in the state. Many business owners, however, prefer to hire a professional Registered Agent service to receive timely delivery of critical documents and stay in compliance.

Do I need an Operating Agreement for my LLC?

There is no requirement for an Operating Agreement in North Dakota by law, but it is highly advisable. The agreement provides the management structure and operational policies for your LLC and avoids future internal conflicts.

What is the requirement for the Annual Report for my LLC in North Dakota?

North Dakota LLCs need to file an Annual Report every year with the Secretary of State. The fee for filing the Annual Report is $50. The report needs to be filed every year by November 15.

Can I alter my LLC name once I've registered it?

Yes, you may rename your North Dakota LLC by submitting an Amendment to Articles of Organization with the Secretary of State. There will be a filing fee for the amendment.

Do I need an EIN for my North Dakota LLC?

If your LLC will have employees or if you want to set up a business bank account, you will be required to get an Employer Identification Number (EIN) from the IRS. You will need this number for tax reporting purposes as well and can get it online at no charge from the IRS website.

Ready to Start Your North Dakota LLC?

By following these steps and ensuring compliance with North Dakota's regulations, you'll be well on your way to establishing a successful LLC in the state. Remember that while the process is straightforward, taking care of post-formation tasks like insurance, taxes, and business structure will help your LLC run smoothly and remain protected.

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