How to Start an LLC in Vermont

Last updated on 05 Apr 2025

How to Form an LLC in Vermont | Complete Guide

A Step-by-Step Guide

How to Form an LLC in Vermont

Forming a Limited Liability Company (LLC) in Vermont is a great way to organize your business and safeguard your personal assets from business debts. The process of creating an LLC may appear to be complex, but dividing it into easy steps makes it much easier. Below, we provide the steps you will need to follow to form your LLC in Vermont.

3 Simple Steps to Create Your Vermont LLC

Select a Name

Choose a unique name for your Vermont LLC that complies with state requirements and isn't already in use by another business.

Appoint a Registered Agent

Designate an Initial Agent for Service of Process who will receive legal documents and official correspondence on behalf of your LLC.

File Articles of Organization

Submit your Articles of Organization to the Vermont Secretary of State along with the required filing fee to officially form your LLC.

Formation Process

Select a Name for Your Vermont LLC

Naming your Vermont LLC is the key first step. Your name can't be similar to and in use by an existing Vermont business. To find out if your desired name is available, make use of the business name search tool offered by the Vermont Secretary of State.

Required Words: Your Limited Liability Company name must have the words "Limited Liability Company" or the abbreviation like "LLC," "L.L.C.," "Ltd.," "Co.," or "Company."
Prohibited Words: Don't use restricted names such as "Agency," "Commission," or "Bureau" since they usually are reserved for government use.
Name Restrictions: Your LLC name should not be similar to that of a government agency, such as "State Department" or "Treasury."
Domain Name: Also, as a precautionary measure, check the domain name availability for your business website even if you aren't going to establish one presently. This secures your virtual presence in the future.

Appoint an Initial Agent for Service of Process

In Vermont, your LLC will need to appoint an "Initial Agent for Service of Process"—also referred to as a registered agent in most states. This individual or service receives legal papers, tax notices, and official state mail on behalf of your LLC.

Agent Options

You may be your own registered agent, have another member of your LLC serve, or use a professional registered agent service. Professional services are usually suggested to make sure your LLC is in good standing, particularly if you do not have an address in Vermont or you wish to maintain compliance with state standards.

Professional Services

The following are two good registered agent services for Vermont LLCs:

Best Vermont Registered Agent Services

ZenBusiness

ZenBusiness is known for its efficient LLC formation process and highly rated customer service. They offer a registered agent service for $199 annually and help you stay compliant with state requirements.

Pros:

Affordable LLC formation and compliance services
5-star ratings from thousands of customers
User-friendly platform for managing your LLC

Cons:

Does not support nonprofit LLCs

Northwest Registered Agent

Northwest Registered Agent has been in the registered agent business for more than 20 years and is renowned for its privacy-oriented services. They offer a secure online portal to access your LLC's forms and documents.

Pros:

Low-cost registered agent services at $125 per year
A+ Better Business Bureau rating
Superb data security

Cons:

Incorporation services are a bit pricier

File the Articles of Organization with the Vermont Secretary of State

Once you've picked out your LLC name and made your registered agent appointment, file the Articles of Organization with Vermont Secretary of State. You file online or via mail.

Filing Options

Online Filing: This is easiest and fastest option. Your Articles of Organization usually take one business day to be processed.

Mail Filing: If you have to file through the mail, mail your documents to:

Vermont Secretary of State
Corporations Division
128 State St.
Montpelier, VT 05633

Filing Fee

The Articles of Organization filing fee is $125. If you would like to have your filing expedited, the state provides an expedited processing service for a fee.

What to Do After Your LLC is Registered in Vermont

After your LLC is actually formed, there are some further steps to take to make sure that your business is up and running:

Keep Personal and Business Assets Separate

It's necessary to keep your personal finances separate from your LLC's. Open a dedicated business bank account to keep your personal assets, in the event of legal trouble, safe.

Have an Accountant

An accountant will help you through your LLC's taxation and make sure your business is compliant with all tax legislation.

Get an EIN

If you have employees, or if you want to open a business checking account, you need an Employer Identification Number (EIN). You can apply for an EIN on the Internet through the IRS.

Get Business Insurance

Although you are a small company, you might want to take out business insurance. It could guard you from risks and law troubles. When you do employ staff members, look at investing in workers' compensation coverage that would reimburse any accidents within your place of employment.

Frequently Asked Questions

How much it cost to file for an LLC in Vermont?

The cost to file Articles of Organization for an LLC in Vermont is $125. With expedited processing, an extra fee will be charged.

Is a Trade Name (DBA) required for my LLC?

In Vermont, all but the most common LLCs are not required to have a "Doing Business As" (DBA) name. If you intend to do business using any name other than your LLC's legal name, then you must file a DBA.

How long does Vermont take to process the Articles of Organization?

If you file online, your Articles of Organization will typically be processed in one business day. If you file by mail, the processing period is generally 7-10 business days.

Is it possible for a non-resident to file an LLC in Vermont?

Yes, non-residents can file an LLC in Vermont. However, you will require a registered agent with a Vermont physical address to receive official documents on behalf of your LLC.

Must an Operating Agreement be prepared in Vermont?

It is not necessary for an LLC to have an operating agreement in Vermont, but it is strongly advised. An operating agreement establishes the internal framework and regulations for your LLC, such as the members' roles and how operations will be managed.

Do I have to file an annual report for my Vermont LLC?

Vermont does not have an annual report requirement for LLCs. You do need to file any taxes required and maintain your business information current with the state.

How do I rename my LLC in Vermont?

If you wish to alter the name of your LLC, you will have to submit an amendment to your Articles of Organization with the Vermont Secretary of State. There is a filing fee for this submission.

Ready to Start Your Vermont LLC?

By following these steps and ensuring compliance with Vermont'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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