Should Business Owner Form Their Company As a Wyoming LLC?
Are you thinking to form a business in Wyoming? But confused whether you should form your company as a Wyoming LLC or not? Do you know that Wyoming is known for being the first state to have a limited company status? Due to its long history with LLCs, Wyoming’s LLCs are designated, as being superior to the LLCs of other states.
But of course, there are many other reasons to form a Wyoming LLC, so the three highlights of starting a business in Wyoming LLC are:
- Lower Taxes
- Superior Asset Protection
- Lower Fees
Check out about the every detail of starting a company as Wyoming LLC below.
Advantages of Forming LLC in Wyoming (Limited Liability Company)
Asset Protection
A Wyoming LLC offers its directors the highest level of protection from the lawsuits. It helps in maintaining their privacy while allowing the asset protection. A properly formed LLC is identified as an independent legal entity with its own Federal tax ID Number. The LLC is responsible for its debts and liabilities, not the owner’s. It has the strongest laws to protect your assets.
Privacy Allowed
If you own a company in Wyoming, you enjoy unparalleled privacy and security due to these reasons:
- Wyoming LLC ownership is not stated in Wyoming public records.
- Reporting and Disclosure commitments are minimal.
- No need to list a member for the duration of your Wyoming LLC.
No citizenship requirements
To open an LLC in Wyoming, it is not necessary that you have a U.S citizenship. You can live anywhere in the world and operate your company in Wyoming. But you are required to know about your Wyoming address and mail forwarding service.
You can be everything in Wyoming
While starting a business in Wyoming, one person can fill all the required positions hence providing you the ultimate control and flexibility.
No state income tax
Wyoming is one of the very few states that do not have the personal or corporate income tax. Whether in Wyoming or not, the owners of pass-through LLC’s do not have to think about state tax. The business-friendly tax system and lack of income tax in Wyoming make it easy to run a business with Wyoming LLC.
Also, Wyoming doesn’t hold:
- Personal & Corporate income tax
- Franchise tax
- Business or “per-capita” tax
- Inventory tax
- Gross receipts tax
- Excise tax
- Oppressive regulations
- Disclosure of shareholders
How Long Does it Take to Set Up an LLC in Wyoming (Limited Liability Company)
Usually, the turnaround time for forming an LLC in Wyoming is 10-15 business days. If you hire us, we will fill in all your forms and submit it to the Wyoming Secretary of State, which will take about 3-6 business days to process your Wyoming LLC. Online Filings are processed immediately. Our fees is $89 for Incorporation and Registered Agent along with the state fees.
Business License Requirements
If you are planning to form a business in Wyoming, you must meet state and local requirements and get a license to do business.
In most of the cases, you will also require to apply for additional specific licensing or permits concerning your particular business activities.
Below is the list of the business licenses in Wyoming:
- Sales/use tax license
- Food service license
- General contractor’s license
- Commercial vehicle license
- Vehicle disposal license
- Liquor license
- Retail license
- Bulk deal license
- Wholesale license
- Cigarette wholesaler license
- Special fuel license
- Motor vehicle dealer license
- Local Health Department license
Here is the list of industries that are expected to take different types of business permits:
- Agriculture
- Insurance
- Non-Wyoming Businesses
- Transportation
- Environmental Protection
- Construction Contractors
- Fire Prevention
- Consumer Credit
- Large-Scale Projects
- Foreign Corporations
- Public Land
- Wholesale and Retail Sales
- Wildlife
- Service Establishments
Remember that Wyoming does not provide a statewide general business license. Instead, permits and licenses are dictated by profession and industry, or by the location of your LLC.
Business Name Requirements
About to finalize a name for your business? Check out the few important things to keep in mind before finalizing your business name.
The foremost requirement that a Wyoming LLC have regarding the names is that it can’t be confused with any other entity name, fictitious name, trademark name or reserved name. If you register your company with Startupr, we will help you in checking the availability of your intended name that meets Wyoming’s standards.
All the Wyoming LLC names need approved designations that include,
- Limited Liability Company
- Limited Company
- Limited Liability Co.
- L.C.
- LLC
- L.L.C.
- LC
- LTD. Liability Company
- Ltd. Liability Co.
Also, there is a restriction on the usage of certain words in LLC names in Wyoming, which means special approval by the state is required. These include:
- Bank
- College
- School
- Trust
- University
LLC Taxes and Fees
Check out the ongoing fees and taxation requirements for Wyoming LLCs:
Annual report
Wyoming needs LLCs to file a yearly report on or before the first day of the completion of one year of the LLC’s incorporation. The cost is $50, based on the portion of the LLC’s assets established and employed in Wyoming.
State tax identification number
A business in Wyoming does not need a state tax identification number.
Federal tax identification number (EIN)
An EIN is needed for LLCs if it has employees. Additionally, most of the banks in Wyoming ask for an EIN in order to open a business bank account.
Is a Registered Agent Required While Setting Up a Company in Wyoming?
It is advisable for all business entities to hire a registered agent to accept the service of process. Failure to keep a registered agent may result in the dissolution of the business entity.
Role of a Registered Agent
- If in any case the business is sued, the registered agent needs to notify the client about the same.
- Registered agents are expected to maintain regular information about the companies, they represent on-site at the physical Wyoming address.
The Information includes
- Key Individuals, i.e., name and address of officers, directors, limited liability company members, or anyone else in a related capacity and
- Communications Contact, i.e., the name, address, and the working business phone number of the person who is entitled to receive communications from the registered agent and is not an employee of the registered agent
This information is required if the law enforcement or a state agency (like the Secretary of State’s Office) wants to contact an appropriate business.
Cost To Start Wyoming LLC
If you choose us as your registered agent, the total cost structure would be:
- Wyoming State fees $100 + $89 our service fee
- If you ship your articles via email is does not cost you anything whereas international courier costs $80
- Wyoming Apostille is $20; our fee is $15, So the total cost becomes $35.
- The first LLC Organizational Meeting would cost you $20.
- If you choose our Wyoming address for your corporation filing and mail, you need to sign up for mail forwarding. It is free of cost. Otherwise, you can see the rest of our plans at order form
Hence, the total cost for setting your company in Wyoming comes out to be approx $313.
How much does a Wyoming LLC cost each year?
The State fees for Articles filing is $100 for both LLC. The State fees for annual list is $50.00 for LLC. You can renew it online immediately, and we will remind you to file your Wyoming annual report each year.
Conclusion
A Wyoming LLC offers numerous advantages for business owners searching for cost efficiency and strong asset protection. It is a fabulous option to consider for small business owners who want the same protection as the bigger companies. Finally, a final decision on a business structure should always depend on your specific situation. It will serve you, in the long run, to speak with your lawyer and analyze your situation thoroughly.
Once you have decided it’s time to form your Wyoming Limited Liability Company (LLC) or a corporation, IncParadise can assist you in the complete process easily, quickly, and economically. You can start accessing the required information now and save it for when you’re ready to form your business in Wyoming. You’re under no commitment, and we do not charge until you actually place your order.
Order LLC now