If you are forming an LLC in Alabama, then this page’s content would be vital. As you learn how to start an LLC, you will realize that the bulk of your initial work and cost comprises filing an Alabama certificate of formation, which we will elaborate on this page.
On this page, you’ll learn about the following:
What is a Certificate of Formation?
A Certificate of Formation, also known as an LLC certificate or Articles of Organization in some states, is a document filed with the secretary of state to form an LLC.
Each state has a different requirement to fill out a form. A Certificate of Formation usually includes the following:
- The name of the LLC,
- the effective date of the LLC,
- the company’s principal office,
- the business purpose,
- the duration of the business,
- a copy of the LLC’s name registration certificate, and
- the name and address of the registered agent, organizers, and
- at least one member of the company.
You can file a Certificate of Formation online, by mail, or in person.
Note that the certification of formation is a legal requirement, not to mention, the core of your LLC formation. It even makes up the bulk of your LLC cost. Without it, you have no LLC. So, take the time to complete and file this certificate.
How to File an Alabama Certificate of Formation
These are the simple steps to follow in filing a Certificate of Formation in Alabama.
Step 1: Find Forms Online
Go to the Alabama Secretary of State to download the certificate of formation form for your LLC or to log into the online service.
Step 2: Fill Out Form
When filling out the form, you must have reserved an LLC name. Do a name search. Go to Alabama LLC Name Search to check whether your chosen business name is available to use in this state.
You must attach a copy of your Name Reservation to your filled-out Certificate of Formation form when filing. You also need to nominate a registered agent. Here are 3 of the best LLC services on our list.
Step 3: File Formation Certificates
File your formation certificate either online or by mail by filling out a form and sending it to the Secretary of State Business Services, P.O. Box 5616, Montgomery, Alabama 36103-5616.
File Alabama Certificate of Formation Online
Time needed: 5 minutes.
Forming an LLC is a very easy aspect if you go with the proper rules and steps. Filing the certificate of formation is possible through two methods: online or by mail. You can go with either of them and the formation process will be legit. But the method that is used the most is online filing. Let’s check out the step to step guide:
- Visit the official website of the Alabama Secretary of State
The very first thing you have to do is get to the official website for this aspect. You need to click on “Services” then a drop-down menu will appear. Click on business entities and then online services. You will get to the page of the secretary of state online services.
- Now click on the domestic business filing
You need to file for the formation of a domestic LLC, so you need to click on the option of domestic business filing.
- Click on the domestic formation
Once you have clicked on the “Domestic business filing” you will get to another page. This menu has two options, they are domestic formation and domestic dissolution. You have to select the option of “Domestic Formation” from both of them.
- Scroll down and continue to the application
When you click on the domestic formation, you will get to the page which has an application to the formation of the LLC. If you are a subscriber you can directly get to that option. But if you are not, you need to click on the option of “Continue to application.”
- Add the contact information
After performing all the above-mentioned steps, you have to provide your contact information in the blanks. The email address you are providing is the one that will get the approval mail of LLC. The contact information or the address you provide will be kept private so be sure to provide the correct one. The address doesn’t have to be the location of the LLC as it can be any address.
- Name reservation
Once you fill in the contact information and the address, you can press continue. Once you do that, you will see two options, you have to fill in the name of the LLC that you have decided in the “New name reservation” column. Then, press continue.
- Mention the entity type
Then you have to mention the type of reservation. You have two options here, and you have to select the “Domestic” one to start an entity in Alabama. After that, you have to select the type of entity. Just select the option, add the legal name and then press continue.
- Register Formation Data
You will see two options, the options can be “Name reservation only” or “Register Formation Data”. You need to click on the Register Formation Data and press continue.
Filing Alabama Certificate of Formation by Mail
If you prefer to send the form by mail, then it’s possible to do that too. Just follow the instructions below.
- You have to download the certificate of formation.
- Fill out the form completely.
- You need to accomplish two copies of the certificate of formation.
- Attach the LLC name reservation certificate to the two forms in a self-addressed stamped envelope.
- Send all documents to the Secretary of State, Business Services, PO Box 5616, Montgomery, Alabama 36103-5616.
Cost of Filing an Alabama Formation Certificate
The filing of the formation certificate makes up the majority of the cost of forming an Alabama LLC. Filing online is strongly recommended as it is much more convenient, and you do not have to wait in line for your LLC to be approved.
- Online filing costs $208
- By-mail filing costs $200.
Where Can You Find Your Alabama Certificate of Formation
Certificate of Formation for Alabama LLC can be accessed through the Alabama Secretary of State website. You can also download the PDF from the same website.
Alabama is one of the best states in the United States when it comes to doing business. It is an exciting state with a booming economy and a supportive government. Whether you’re a small business owner or a big company CEO, Alabama has plenty to offer. However, to start a business in Alabama, one needs a certificate of formation from the Alabama Secretary of State’s office.
A certificate of formation is an official document from which the State of Alabama recognizes a business as a legal entity. It is like the birth certificate of the company. A certificate of formation establishes the business’s identity, which can be necessary for obtaining licenses and business insurance policies.
There are several ways to obtain a certificate of formation in Alabama. One way is to apply online through the Alabama Secretary of State’s office website. The process is user-friendly and straightforward. You need to create an account, fill out the details about your company, choose a type of business entity, and pay the requisite filing fees. After submitting your application, you will receive confirmation about the steps to be taken next.
Another way to apply for a certificate of formation in Alabama is through the mail. The process is similar to the online submission. You need to fill out the forms and mail them to the Secretary of State’s Office. However, you might need someone who is knowledgeable about the process to help with the filing, ensuring you fill out everything completely before you mail in.
One may also visit the Alabama Secretary of State’s office in person to submit their application. This approach might be the best for those who prefer face-to-face interaction with the officials instead of submitting everything virtually. Here, you will receive immediate confirmation of your submission.
It’s important to keep in mind that the Alabama Secretary of State’s office acknowledges the submission of the application based on their receipt. Typically, a Certificate of Formation takes around 48-72 hours to process once everything has been received. This could take longer if there are errors in the submission. Ensuring that all of your forms are accurately filled out will help ensure that you receive your Alabama Certificate of Formation with minimal hassle.
In summary, obtaining an Alabama Certificate of Formation can be an easy process overall. Doing your research is key before attempting each avenue of submission, whether online, by mail, or in-person. With your certificate in hand, you can open for business in Alabama and develop your operation from there. So long as you follow the rules of operating a business locally and keep accurate records, then your company is legally sound. Better still, within weeks you could be experiencing the amazing benefits that can come from doing business in Alabama.
A Certificate of Formation is a legal document that will officially make your LLC into existence. This document is needed specifically for Alabama in forming an LLC business structure.
The application form for the Certificate of Formation needs to include the LLC name, date of establishment, the company’s registered office, business purpose, how long the business will exist, and a copy of the LLC’s name registration certificate.
Filing by mail or in person is neither highly recommended nor required; waiting an extra week for your LLC to be approved isn’t that bad. The LLC approval you send in will be returned by mail. Online filing, meanwhile, is more convenient as you won’t have to stay in a queue.
Articles of Organization or Certificate of Formation is the most important document for your Alabama LLC. Before you submit/file the document make sure to provide proper and correct information about your company. If you have any questions, share that below in the comment section.