Cost to Form Illinois LLC
How much does it cost to form Illinois LLC? In Illinois, the Secretary of State charges $500 in fees ($614.10 for expedited service). Illinois Secretary of State fees must be paid whether or not you use an attorney.
How much are attorney’s fees to form an Illinois LLC? Attorneys’ fees to form an LLC vary. Several online services advertise that they can form limited liability companies for as little as $99 to $359 + state fees. If that is true, why should you nonetheless choose an attorney to form your LLC?
Your attorney can draft an operating agreement that fits your unique needs and situation. An operating agreement is the basic contract that governs the management of the LLC – who has the legal authority to make binding contracts and decisions, which members contribute capital and who can deduct losses. Unlike the generic form template supplied by online services, an the attorney can tailor the operating agreement to the client’s actual needs after interviewing the client.
In addition, the newly formed LLC might benefit from other related contracts. For example, your attorney can include a non-compete contract to prevent a key member or employee from leaving the new enterprise and starting his own competitor. Similarly, a non-solicitation clause to keep a key member or employee from stealing your clients. In addition, only an attorney will recognize if you may be violating the corporate opportunity doctrine by leaving your current employer and starting a competing business in the same or similar industry. An online service will not ask the client the right questions and recognize these legal issues.