Best Alaska LLC Formation Services: Many entrepreneurs find an LLC service a lifesaver. It can be difficult to start a business. There is a lot to do, so many people become overwhelmed by the legal processes: filing taxes, obtaining business licenses and permits and filling out the forms.
There are also requirements to ensure compliance in Alaska, such as hiring a registered agent or filing annual reports.
LLC services handle most of the work for you. They simply need to know a little bit about you and your company, and they will start your business on your behalf. This is legal and allows you to concentrate on other aspects of your business. Many LLC services offer registered agent services to help you maintain compliance.
Alaska LLC Brief Summary
- LLC Formation Speed – 10-15 business days for filing by mail, usually same-day processing if you file online
- The cost to file an AK LLC is $250 plus any applicable fees
- How to file your Articles of Organization online or by mail
- Biennial reports are due every other year by January 2, and cost $100.
- State General Business License Every business must apply for and keep a $50 general business license each year. Industry licenses may also be available
- PLLCs are not an option in AK
Best Alaska LLC Formation Services
Although LLC formation services can be a great help, not all LLC formation services will be the same.
Some are better due to price differences, extras (or exclusions), and overall quality. You don’t have the time to sort through all of them.
We’ve done all the legwork for you and compared top LLC formation services. We have tried to take into account all important factors, such as cost and ongoing fees. These are the top four services for LLC formation.
#1 Northwest Registered Agent
Northwest Registered Agent might be smaller than other competitors, but they have more industry experience than their competition.
You also get a year of free registered agent service. This keeps your start-up costs low. Northwest is our top choice, but it’s a service that puts customer service above all else.
- LLC Formation Plan: $39
- Registration agent service: $125 per year, but the first is completely free
- Customer Support: Northwest assigns an account representative to each customer, ensuring they receive prompt and personalized service.
- Service: Northwest keeps the order form simple – no upsells clutter the process.
- Customer Reviews: Most 3rd-party review websites have positive reviews. However, there are very few reviews.
Incfile can be a great choice if you are concerned about starting up costs. They offer a free Alabama LLC registration and do not require fees for the first year.
Incfile may not have as many bonuses features as its competitors, but they offer all the essentials for an additional fee: filing an EIN and registering a DBA; annual reports filing, and others.
- LLC Formation plan: Alabama’s minimum charge of $150
- Registration agent service: First Year Free, then $119/year
- Customer Support: Incfile recently increased their customer service team by two, which improved their response times. This is a significant improvement on their previous performance.
- LLC Service: Everything is straightforward when ordering a package through Incfile, there are not a lot of pricey and confusing add-ons.
- Customer Reviews: Strong. More than 98% of 21,000+ Shopper Approved reviews are positive
Thanks to competitive technology and a dedication to affordability, ZenBusiness has one of the most affordable formation-plus-registered-agent packages available.
You can choose the Pro package ($199 annually) for a flat annual fee to get business formation, registered agent service and an operating agreement template.
- LLC Formation plan: Starting from $49, plus a $150 state fee for AL LLC (minimum), for a minimum of $189 (renews annually for $119).
- Registered agent service $99 per month, $119 annually
- Customer Support: Zen Business provides outstanding customer service due to its smaller customer base and individual attention.
- LLC services: Zen Business provides useful tools to track annual reports. However, the ordering process can be confusing.
- User Reviews: Positive reviews on Trustpilot
LegalZoom is a great way to get involved with a well-known brand.
LegalZoom was founded in 2001 and has grown to offer hundreds of services. LegalZoom is more expensive than other services listed in this guide. LegalZoom is not the only option if you need a complete legal service.
- LLC Formation plan: Starting at $79 plus state fees for a minimum of $229
- Registered agent service $249/year (first year $159 if you add to a formation package).
- Customer Support: LegalZoom is a large company so its customer service may not be as personal as the other listed companies.
- Easy of use: Many customers have complained that LegalZoom’s ordering process is confusing and lengthy. Numerous upsells are offered before you can choose your package.
- User Reviews: Mixed. Most negative reviews are due to a misunderstanding of the ongoing fees and package offerings
What is an Alaska LLC?
A limited Liability Company is an entity type in Alaska that combines flexibility and protection for personal assets with the security of a corporation. That’s not a bad thing. Let’s find out what this means.
You would operate as a sole proprietorship if you started selling handcrafted apparel out of your home. Sole proprietorships are legal entities.
This means that everything the business owns, from fabrics to sewing machines, is actually owned solely by the proprietor. All taxes are paid by the proprietor. If the business is sued, or taken to court by a third party, the owner may lose all of his or her personal property to pay the damages.
Registered entities, such as LLCs, have personal asset protection. This is because the business itself is considered an independent legal entity. The business can have assets, maintain a bank accounts, and be sued. If the business goes under, members of the company cannot lose their assets.
LLCs aren’t subject to a lot of complex requirements, unlike corporations. This makes it an attractive choice for entrepreneurs who want to keep their filings simple and still protect their assets.
There are pros and cons to starting a limited liability company
An LLC is one the most common types of entity in America. However, it’s not the right type of entity for everyone.
Only you know your business best and can choose the entity type that is most appropriate for you. Your vision is clear for the future and your products.
It’s important to understand the pros and cons of LLCs in order to decide if an LLC is right for your needs.
- It is easier to create and manage than a corporation
- Protection of personal assets
- A flexible tax structure, can be paid as a partnership (or a corporation)
- Exclusive use of a business name within a state is prohibited
- No authority can issue stock. Therefore, capital raising opportunities are limited.
- Some states have higher annual fees and taxes than sole proprietorships or partnerships.
- Some entrepreneurs may not be comfortable with the extra paperwork.
How to set up an Alaska LLC on your own
You don’t need to use an LLC formation service such as LegalZoom or Zen Business. While these services can be extremely helpful, you can also save money by doing it yourself.
Our complete guide on how to set up an LLC in Alaska is available here. But, let’s take a look at this:
Choose a company name
Each LLC in Alaska must have a memorable name. It should also give potential clients an idea of the products or services available. Names should be unique for both legal and business reasons.
Appoint an AK Registered Agent
As we have mentioned, every LLC requires an agent to accept service of process on its behalf. You can be your own registered agent in most states as long as there is a physical address. However, we recommend you appoint another person (e.g. an online service) as your agent.
File the Articles of Organization
Once completed and filed, this document officially forms your Alaska business. Some important information will be required, such as your contact information, business address, signatures of your LLC members and other details. Alaska charges $250 for filing fees.
It’s easy to set up an LLC. However, it is the maintenance requirements that can be a little more difficult.
Register and pay taxes
You will need an IRS Employer Identification Number if you have employees. There are also state-specific taxes. Alaska does not have an individual income tax. However, the corporate income tax is 9.4%. Although there is no sales tax in Alaska, you might need to consider local sales taxes. There are also miscellaneous taxes that you should consider. You can find more information at the Alaska Department of Revenue.
Get permits and licenses
Alaska requires that every entity within the state has a general business license. This license must be renewed each year. $50 is the fee. A professional license is required by many businesses.
Create an Operating Agreement
Even single-member LLCs need to create a master document that outlines how the business will function in the future.
File your biennial report
Alaska requires that LLCs file a report each other year to inform the state of their business’s status. The filing fee is $100.
Get business insurance
All businesses with employees need to have workers’ compensation insurance. A general business liability policy may be an option.
Open a bank account for your business
Sign up for a bank account in your business name so that you can make purchases and write checks.
This is only the basic info. We recommend consulting an attorney for more information.
My #1 Recommended LLC Formation Service
Northwest Registered Agent
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