WEBVTT 00:00:00.227 --> 00:00:07.107 To start an LLC in South Carolina, you file Articles of Organization, Form F0006, 00:00:07.123 --> 00:00:11.987 with the South Carolina Secretary of State, and the filing fee is $110. 00:00:12.654 --> 00:00:13.827 Is that done online? 00:00:13.827 --> 00:00:16.707 Yes, through Business Entities Online. 00:00:16.767 --> 00:00:19.587 You can mail it in too, and the fee is the same either way. 00:00:19.587 --> 00:00:22.307 This is The Business Formation Podcast. 00:00:22.400 --> 00:00:28.547 Today, South Carolina for 2026: six steps with every cost, a surprise about annual 00:00:28.627 --> 00:00:31.987 reports, and the three best ways to have it filed for you. 00:00:32.080 --> 00:00:33.347 Where do we begin? 00:00:34.087 --> 00:00:40.487 Your LLC's name has to include limited liability company, limited company, LLC, or 00:00:40.700 --> 00:00:43.127 LC, with or without the periods. 00:00:43.127 --> 00:00:44.727 Is there a way to see what's taken? 00:00:44.727 --> 00:00:47.767 Use the Secretary of State's free business search. 00:00:47.895 --> 00:00:51.927 Your name must be distinguishable from the names already on file. 00:00:51.927 --> 00:00:54.167 Can I hold a name while I get ready? 00:00:54.167 --> 00:01:00.566 You can reserve one for $25. It lasts 120 days, and it can't be renewed. 00:01:01.367 --> 00:01:02.647 So that's a hard stop. 00:01:02.647 --> 00:01:07.447 Right. After the 120 days, you either file or start over. 00:01:10.327 --> 00:01:13.047 South Carolina calls this something different, doesn't it? 00:01:13.047 --> 00:01:15.527 It's an agent for service of process. 00:01:15.639 --> 00:01:19.607 That's the person or company who receives legal papers for the LLC. 00:01:19.607 --> 00:01:20.727 Who qualifies? 00:01:20.727 --> 00:01:25.447 An individual who lives in South Carolina, or a business authorized to operate in 00:01:25.467 --> 00:01:28.807 the state. Either one needs a South Carolina street address. 00:01:29.167 --> 00:01:31.447 Can my LLC be its own agent? 00:01:31.447 --> 00:01:34.087 No, the LLC can't name itself. 00:01:34.087 --> 00:01:36.167 I'm Maya, by the way, here with Dan. 00:01:36.167 --> 00:01:42.087 Glad to be here, Maya. One more thing on the agent: that person signs your Articles, 00:01:42.107 --> 00:01:44.407 and the address ends up on the public record. 00:01:44.407 --> 00:01:47.287 And if I change agents down the road? 00:01:47.287 --> 00:01:49.127 That filing is $10. 00:01:50.187 --> 00:01:51.546 Walk me through the form. 00:01:51.546 --> 00:01:58.267 Form F0006 asks for the LLC's name, a designated office in South Carolina, your 00:01:58.334 --> 00:02:01.387 agent, and each organizer's name and address. 00:02:01.387 --> 00:02:02.907 Online or paper? 00:02:02.907 --> 00:02:08.907 The fee is $110 both ways. But online is faster, and it lets you fix errors before 00:02:08.927 --> 00:02:09.466 you submit. 00:02:10.067 --> 00:02:10.748 And by mail? 00:02:10.748 --> 00:02:13.708 You send two copies of the form, along with the fee. 00:02:16.033 --> 00:02:18.113 Does the state want to see an operating agreement? 00:02:18.113 --> 00:02:20.993 No. You keep it with your records. 00:02:21.153 --> 00:02:23.633 It isn't filed, and there's no state fee. 00:02:23.633 --> 00:02:25.313 Is it even required? 00:02:25.313 --> 00:02:28.753 South Carolina law says it doesn't have to be in writing. 00:02:28.973 --> 00:02:32.594 But a handshake is a bad plan, so write it down. 00:02:32.594 --> 00:02:33.394 What goes in it? 00:02:33.394 --> 00:02:39.474 Who owns what, how profits are split, who makes the decisions, and what happens when 00:02:39.514 --> 00:02:40.434 a member leaves. 00:02:41.770 --> 00:02:43.050 Now the federal side. 00:02:43.050 --> 00:02:47.050 Apply for an EIN with the IRS at IRS.gov. 00:02:47.183 --> 00:02:51.610 It's free, and you do it after the Secretary of State files your Articles. 00:02:51.610 --> 00:02:52.810 What do I need? 00:02:52.810 --> 00:02:56.410 The Social Security number or ITIN of the person in charge. 00:02:56.597 --> 00:03:00.170 If the online application is approved, the number comes right away. 00:03:00.170 --> 00:03:03.370 And the ownership report I keep hearing about? 00:03:03.370 --> 00:03:07.290 You can skip it. FinCEN no longer requires one from U.S. 00:03:07.338 --> 00:03:07.930 companies. 00:03:10.243 --> 00:03:13.107 Okay, so what does South Carolina want every year? 00:03:13.107 --> 00:03:18.547 Here's the surprise. A standard LLC files no annual report. 00:03:18.547 --> 00:03:20.307 Really? None? 00:03:20.307 --> 00:03:25.107 The Department of Revenue says an LLC that isn't taxed as a corporation isn't 00:03:25.157 --> 00:03:27.987 subject to the annual report or license fee. 00:03:27.987 --> 00:03:31.267 What's a standard LLC, in their terms? 00:03:31.267 --> 00:03:34.547 Multi-member LLCs are taxed as partnerships. 00:03:34.616 --> 00:03:38.227 Single-member LLCs are disregarded for income tax. 00:03:38.227 --> 00:03:40.787 And if I elect corporate tax treatment? 00:03:40.787 --> 00:03:46.467 Then you file Form CL-1 with the Department of Revenue, with a $25 minimum license 00:03:46.527 --> 00:03:47.106 fee. 00:03:47.243 --> 00:03:49.507 Any way to lose the LLC by accident? 00:03:49.507 --> 00:03:54.227 Unpaid state fees can lead to dissolution after a 60-day notice. 00:03:54.327 --> 00:03:57.667 And you need a registered agent in place at all times. 00:03:58.746 --> 00:04:00.266 Give me the do-it-yourself math. 00:04:00.266 --> 00:04:05.786 $110 to file the Articles. Then nothing for a yearly report, if you're a standard 00:04:05.926 --> 00:04:08.186 LLC. The EIN is free. 00:04:08.186 --> 00:04:10.106 What are the optional extras? 00:04:10.106 --> 00:04:15.306 The name reservation is $25. And changing your agent later is $10. 00:04:15.306 --> 00:04:18.026 So the whole first year, with no extras? 00:04:18.026 --> 00:04:19.706 $110. 00:04:21.310 --> 00:04:24.990 With no annual report, what keeps the LLC on the state's radar? 00:04:24.990 --> 00:04:30.990 Mostly the agent. If the agent changes or goes away, you'll want to file the change. 00:04:30.990 --> 00:04:32.909 Which costs $10. 00:04:32.909 --> 00:04:37.310 Right. And the agent signed your Articles, so choose someone who plans to stick 00:04:37.367 --> 00:04:37.711 around. 00:04:38.338 --> 00:04:40.110 What if I list myself? 00:04:40.110 --> 00:04:42.271 You can, if you live in South Carolina. 00:04:42.383 --> 00:04:44.751 Your home address then becomes public. 00:04:44.751 --> 00:04:47.392 That's why people hire a commercial agent. 00:04:47.392 --> 00:04:51.151 Yes. They keep the address public instead of yours. 00:04:51.808 --> 00:04:54.928 Let me go back to Form CL-1. Who files it? 00:04:54.928 --> 00:04:57.728 An LLC that elects to be taxed as a corporation. 00:04:57.835 --> 00:05:01.328 It goes to the Department of Revenue, not the Secretary of State. 00:05:01.328 --> 00:05:03.007 And the $25? 00:05:03.007 --> 00:05:04.847 That's the minimum license fee. 00:05:04.847 --> 00:05:07.407 So most small LLCs never see it. 00:05:07.407 --> 00:05:12.448 Most never do. A standard multi-member or single-member LLC doesn't file it. 00:05:12.978 --> 00:05:15.327 But the election changes things. 00:05:15.327 --> 00:05:19.088 It does, so check with a tax professional before you make it. 00:05:19.136 --> 00:05:22.528 This is general information, not legal or tax advice. 00:05:23.482 --> 00:05:25.563 What can the public look up about my LLC? 00:05:25.563 --> 00:05:30.523 What's on your Articles: the name, the designated office, the agent, and the 00:05:30.588 --> 00:05:31.323 organizers. 00:05:31.323 --> 00:05:33.723 Does that include my operating agreement? 00:05:33.723 --> 00:05:35.883 No. That stays with you. 00:05:36.763 --> 00:05:39.483 And if I'm the organizer myself? 00:05:39.483 --> 00:05:41.563 Then your name and address are on it. 00:05:41.656 --> 00:05:43.563 Think about whose you want there. 00:05:44.945 --> 00:05:46.865 Give me the order of operations. 00:05:46.865 --> 00:05:50.745 Search the name. Choose your agent, and make sure the agent will sign. 00:05:50.817 --> 00:05:55.905 File Form F0006 online for $110. 00:05:55.905 --> 00:05:56.945 Then what? 00:05:56.945 --> 00:06:01.265 Write your operating agreement, get your EIN, and keep your agent current. 00:06:01.478 --> 00:06:06.785 If you elect corporate tax treatment, add Form CL-1 to your list. 00:06:07.492 --> 00:06:09.092 What if I'd rather hand this off? 00:06:09.092 --> 00:06:12.345 Here are the three best ways to file in South Carolina. 00:06:12.408 --> 00:06:19.092 Number one, our pick, is Mainstay Filing, $199 a year plus the 00:06:19.159 --> 00:06:25.172 state fee. With the $110 state fee, checkout comes to $309. 00:06:25.172 --> 00:06:26.612 What does that cover? 00:06:26.612 --> 00:06:31.732 Your Articles filed, your EIN application, and your registered agent every year. 00:06:31.892 --> 00:06:35.092 It renews at the same $199. 00:06:35.092 --> 00:06:37.212 And the annual report? 00:06:37.212 --> 00:06:42.212 In South Carolina, a standard LLC doesn't have one, so there's no separate yearly 00:06:42.281 --> 00:06:43.572 filing to worry about. 00:06:43.572 --> 00:06:44.372 Number two? 00:06:44.372 --> 00:06:49.892 SC Registered Agent.org. It prepares and files your Articles for 00:06:49.952 --> 00:06:55.492 $199 plus the state fee, also $309 at checkout. 00:06:55.588 --> 00:07:00.292 Your first year of agent service is free, then $99 a year. 00:07:00.292 --> 00:07:01.812 And number three? 00:07:01.812 --> 00:07:05.412 South Carolina Registered Agent.co. 00:07:05.556 --> 00:07:12.292 Same offer: $199 plus the state fee, first year of agent service free, then 00:07:12.349 --> 00:07:13.812 $99 a year. 00:07:15.675 --> 00:07:17.115 How do they compare over time? 00:07:17.115 --> 00:07:20.555 Because there's no annual report, it comes down to the agent. 00:07:20.731 --> 00:07:26.715 Mainstay is $199 a year, so $597 over three 00:07:26.795 --> 00:07:27.755 years. 00:07:27.755 --> 00:07:28.635 And the other two? 00:07:28.635 --> 00:07:34.715 $199 in year one, then $99 in each of the next two years, for 00:07:34.768 --> 00:07:36.875 $397. 00:07:37.195 --> 00:07:39.115 A $200 gap. 00:07:39.115 --> 00:07:45.275 Yes. From year two, numbers two and three cost less, at $99 a year for the agent 00:07:45.355 --> 00:07:50.155 alone. Mainstay is the pick when you want one price that covers everything. 00:07:51.402 --> 00:07:52.282 Can you recap? 00:07:52.282 --> 00:07:58.042 Choose a name with LLC in it, name a registered agent who signs your Articles, file 00:07:58.106 --> 00:08:04.842 Form F0006 for $110, write an operating agreement, get your 00:08:04.922 --> 00:08:08.042 free EIN, and keep your agent current. 00:08:08.362 --> 00:08:11.562 A standard LLC files no annual report. 00:08:11.562 --> 00:08:16.282 The links to all three services and every official source are in the show notes. 00:08:16.339 --> 00:08:19.962 Thanks for listening to The Business Formation Podcast, and good luck with your new 00:08:20.002 --> 00:08:21.562 South Carolina LLC.