[0:00] The short answer Dan: To start an LLC in Illinois, you file Articles of Organization, Form LLC-5.5, with the Illinois Secretary of State and pay the $150 filing fee. Maya: A hundred and fifty. That's higher than a lot of states. Dan: It is, and the yearly report adds $75 more. We'll get to that. Maya: This is The Business Formation Podcast. Today, Illinois for 2026, in six steps, with what it all costs and the three best ways to have it filed for you. First, the name. [0:34] Step 1: Choose a name Dan: An Illinois LLC name has to include limited liability company, LLC, or L.L.C., and be distinguishable on the Secretary of State's records. Maya: Anything I can't put in it? Dan: Yes. Words like corporation, inc, ltd, and co aren't allowed, and neither are limited partnership or L.P. Maya: So an LLC can't call itself Smith Company. Dan: Not with "co" in the name, no. Drop that word and you're fine. Maya: How do I see what's taken? Dan: The Secretary of State has a free business entity search. And you can reserve a name for 90 days for $25. [1:16] Step 2: Name a registered agent Maya: Registered agent next. What are Illinois's rules? Dan: Your agent has to be an Illinois resident, or a business authorized in Illinois, at an Illinois street address. You list it right on your Articles. Maya: Is a P.O. box okay? Dan: Not by itself. And your LLC can't serve as its own agent. Maya: So who does it? Dan: You, if you live in Illinois, or a commercial agent. Remember that the agent's name and address go on the public record, which is a big reason many owners hire one. Maya: And switching later? Dan: That costs $25. [1:51] Step 3: File Articles of Organization Maya: Okay, the main event. Dan: You submit Form LLC-5.5 to the Secretary of State, online or by mail, and pay $150. By mail, it goes in duplicate. Maya: What's on the form? Dan: The name, a principal address, your registered agent, the purpose, and the names and addresses of any managers, or of members who have management authority. Maya: I'm Maya, by the way, here with Dan. Dan: Great to be here with you, Maya. Maya: How fast is it? Dan: Standard online filings take about 10 business days. Maya: And if I can't wait? Dan: Twenty-four hour service costs $100 more, so $250 in all. Maya: That's a big jump. Dan: It is, so decide whether the speed is worth it for you. Maya: What does the form let me choose about management? Dan: You list the managers, or the members who have management authority. That's a decision to make before you file, not after. [2:45] Step 4: Write an operating agreement Maya: Do I file the operating agreement with the state? Dan: No. Keep it with your records. There's no state fee for it. Maya: But do I need one? Dan: Illinois law counts agreements that are oral, written, or even implied. That's exactly why putting yours on paper helps. Maya: What goes in it? Dan: Who owns what, how profits are split, who makes decisions, and what happens if a member leaves. Maya: Even with just me? Dan: Even with just you. A one-page agreement still beats an argument about what was implied. [3:17] Step 5: Get a free EIN Maya: What about the tax ID? Dan: Apply free with the IRS at IRS.gov, after the Secretary of State has filed your Articles. Maya: How quick? Dan: If the online application is approved, the number is issued right away. Have the Social Security number or ITIN of the person in charge ready. Maya: And the ownership report? Dan: U.S. companies can skip it. FinCEN no longer requires it. [3:40] Step 6: File the annual report ($75) Maya: What does Illinois want every year? Dan: An annual report with the Secretary of State, filed before the first day of your LLC's anniversary month. The fee is $75. Maya: So if I formed in June, I file before June 1. Dan: Right, every year. Maya: Who files it, the agent? Dan: Not automatically. The LLC files it, so unless a service does it for you, it's on you. Maya: And the penalty for forgetting? Dan: If it's still missing two months later, there's a $100 penalty, plus $100 more for each extra year it stays missing. Maya: Does it end there? Dan: No. After a notice, an LLC that doesn't catch up within 120 days is dissolved. Maya: So a $75 report becomes a real problem. Dan: It can, which is why an anniversary-month reminder matters. [4:32] What it costs Maya: What's the state bill if I do it all? Dan: $150 to form, then $75 a year for the annual report. The EIN is free. Maya: And the optional costs? Dan: A 90-day name reservation is $25. Twenty-four hour service is an extra $100. Changing agents is $25. Maya: So a fast, reserved, first-year LLC could cost how much? Dan: $150 plus $25 plus $100 is $275, before the annual report. Maya: Good to see the math. Dan: The basic path is $150, though. Everything else is a choice. Maya: And the choice that matters most? Dan: Whether to pay for speed. Standard online filing is about 10 business days, and many founders can wait. [5:26] A year-one checklist Maya: Give me an order of operations. Dan: Search and choose the name. Line up an Illinois agent. File Form LLC-5.5. Write the operating agreement. Get your EIN. Maya: And then? Dan: Find your anniversary month and set a reminder a month before it. Maya: When does the first report come due? Dan: Before the first day of the anniversary month of your LLC, which is when you formed. Put it on the calendar now. [5:53] The 3 best ways to file in Illinois Maya: What if I'd rather have someone else do it? Dan: Here are the three best ways to file in Illinois. Number one, our pick, is Mainstay Filing, $199 a year plus the state fee. With the $150 state fee, checkout comes to $349. Maya: What's included? Dan: Your Form LLC-5.5 filed, your EIN application, and your registered agent every year. It renews at the same $199. And in Illinois, it prepares and files your annual report before your anniversary month. Maya: And what's my cost for the report? Dan: Just the $75 state fee. Maya: Number two? Dan: IL Registered Agent.org. It prepares and files your Articles for $199 plus the state fee, with a free first year of registered agent service, then $99 a year. Maya: Three? Dan: Illinois Registered Agent.co. The same offer: $199 plus the state fee, a free first year of agent service, then $99 a year. Maya: How should I choose? Dan: If you'll file your own annual report, two and three cost less from year two, at $99 for the agent alone. If you want the agent and the report taken care of at one steady price, that's Mainstay. The $75 fee is the same either way. [7:14] Three years of service fees Maya: Three-year numbers? Dan: Mainstay is $199 a year, so $597. The other two are $199 in year one, then $99 and $99, for $397. Maya: A $200 difference. Dan: Yes. And in Illinois, that difference includes someone else watching the anniversary-month deadline. [7:40] Recap Maya: Give us the whole path one more time. Dan: Choose a name with LLC in it, name an agent at an Illinois street address, file Form LLC-5.5 for $150, write an operating agreement, get your free EIN, and file your $75 annual report before your anniversary month every year. Maya: The links to all three services and every official source are in the show notes. Thanks for listening to The Business Formation Podcast, and good luck with your new Illinois LLC.