Can I register an LLC in any state for an online store or do I need to register it in the state I live in?

You can choose any state that you’d like to form your LLC in. There are some things that you should keep in mind for this:

  • You’re going to need a registered agent in that state. A registered agent is someone who can accept legal service on behalf of your LLC. If you’re registering your LLC in another state, you’d likely have to pay someone to act as your registered agent. Some of the third parties that form LLCs for people may act as registered agents for an extra fee, but keep in mind that they may or may not get legal documents to you on time if needed.
  • – Some states are more business friendly than others. If you’re going to form your LLC in another state (outside of where you live), make sure that you know the laws.
  • – Think about the need to register the business in another state as a foreign corporation. I have two thoughts here. Thought #1 – You mentioned that you’re getting into reselling / dropshipping that will have customers in several states. You may need to register your business in each state as a foreign corporation. This is an additional expense. In every state that you register your business in as a foreign corporation, you’ll pay an extra fee. Thought #2 – If you register your LLC in a state where you do not live and you’re running the business out of your home or an office / warehouse in your state, then you must register your business in your own state as a foreign corporation. All of this registering may complicate your taxes. If you’re doing business internationally, you could be subject to more business registration fees, fees for customs, import fees, and possibly export fees (depending on what you’re sending overseas and where it is going).

To determine which state would offer you the most benefits, consider talking to an attorney through LawTrades. We are a legal marketplace and we’ve helped thousands of people start their businesses. As experienced lawyers, we understand the considerations involved when it comes to forming an LLC. We want to help and that’s why LawTrades provides advice and help forming business entities affordably and efficiently.