As of July 1, 2022, the price tag to kind a Colorado LLC is just $1. This is thanks to the implementation of the “Colorado Small business Cost Reduction Act” (Home Monthly bill 22-1001). 

If you’re asking yourself what this indicates for small business owners and business owners in the Centennial Point out, you’ve occur to the suitable area. Retain studying to study all the things you have to have to know about the new Colorado LLC submitting charges. We’ll explore which filings are $1, how long the new costs will be in result, and everything which is new about commencing an LLC in Colorado. 

Which Colorado filings are now $1? 

In accordance to the Colorado Business Price Aid Act, two precise filings are now $1. They contain new minimal liability business (LLC) formation and trade identify registration. That implies the subsequent paperwork now price $1 to file: 

  • Posts of Firm (Colorado LLC formation)
  • Trade Title Statement (Colorado trade identify registration)

Formerly, the Colorado state fee to file Articles of Group was $50, and the rate to file a Trade Identify Assertion was $20. The way Residence Bill 22-1001 operates is that filers will now acquire a credit score against every single of these submitting charges of $49 and $19, respectively. 

How lengthy will the new costs be in effect? 

A push release from the Colorado Secretary of State’s Office environment states the new rates will continue to be in area throughout Fiscal Yr 2022-2023, or “until the sum of the normal fund is fatigued.” The Section estimates this relief will past until June 30, 2023. 

Why was the Colorado Organization Payment Reduction Act executed?

In accordance to Colorado Secretary of Point out, Jena Griswold, this aid act was handed to enable and assist Colorado enterprise entrepreneurs during a tumultuous time.

“I will always operate to lower charges and pink tape for Colorado enterprises that are the backbone of our communities. This fee aid will preserve revenue in the pockets of modest small business entrepreneurs, lots of of whom have faced adversity and uncertainty over the past handful of a long time,” reported Griswold.

Forming a Colorado LLC

Though the Colorado Posts of Corporation submitting fee is now $1 as a substitute of $50, the techniques for forming an LLC in the point out are still the identical as right before. To variety a Colorado LLC, you are going to need to: 

  1. Title your LLC
  2. Appoint a registered agent
  3. File Articles of Business
  4. Generate an operating settlement
  5. Use for an EIN

Discover all about the process for beginning an LLC in Colorado. 

Find out much more about the charges associated with producing an LLC in Colorado including state expenses

Registering a Trade Identify in Colorado

The identical is real for registering a trade title in Colorado. When the payment is now $1 alternatively of $20, the approach continues to be the exact same. 

If you want to carry out company less than a distinctive moniker than your formal business title, you will want to sign-up a trade identify. This is typically referred to as a “doing enterprise as” or “DBA” identify in other states. 

Illustrations of when a trade name might be made use of incorporate: 

  • A company with the formal title “ABC Toys, LLC” would like to sell puzzles on the internet as “ABC Puzzles”
  • A enterprise with the formal name “ABC Toys, LLC” desires to promote on Amazon as merely “ABC Toys”
  • A enterprise with the formal identify “XYZ Electronics, Corp.” needs to promote MacBooks as “XYZ Macs” 

To sign up a trade name in Colorado, you’ll file a Trade Identify Assertion with the Secretary of State’s Office environment and pay back your submitting payment (which is just $1 for Fiscal Yr 2022-2023). We can also cope with this for you.

We can enable

All set to turn your aspiration of setting up your possess business into a actuality? With Colorado LLC development and trade name registration fees at just $1, there is never ever been a greater time to get started a new small business in the Centennial Point out. But you are going to need to have to act promptly, as the Colorado Company Price Aid Act is only established to be in result for Fiscal Year 2022-2023, or until the common fund is fatigued. 

If the believed of attempting to comply with all the guidelines to kind an formal business enterprise entity would seem overwhelming, don’t strain. We’re listed here to assistance you through the full system. Let us reduce via the purple tape and cope with anything from development to compliance for you. Our staff of formation professionals can validate your organization identify availability, put together your Articles of Business, coordinate filing expected legal documents with the Secretary of State, and additional. Arrive at out to us currently!

Disclaimer: The information on this site is for informational needs only, and does not represent legal, tax, or accounting guidance. If you have specific inquiries about any of these subject areas, look for the counsel of a licensed experienced.

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