Module 3: Filing the Paperwork
This is the hands-on module: the actual filing form, the operating agreement most people skip, and the state quirks that catch first-timers off guard. We use New Jersey as the worked example throughout, with "check your state" notes where rules differ. Reminder: this is general information for learning purposes, not legal or tax advice. If your situation has any complexity — partners, investors, regulated work — talk to a licensed attorney or accountant before filing.
Articles of Organization Walkthrough (New Jersey Example)
The Articles of Organization (some states call it a Certificate of Formation) is the one document that creates your LLC. In New Jersey it's filed online through the state's business filing portal; the filing fee is currently $125. Set aside 20–30 quiet minutes. Here's what the form actually asks for, field by field.
Business name: your exact chosen name with the LLC designator, matching your name search. Business purpose: New Jersey allows a general purpose statement — something like "any lawful business purpose" is fine. Registered agent: the name and New Jersey street address you chose in Module 2. Members/managers: New Jersey asks for the names and addresses of members (owners) or managers if the LLC is manager-managed. Management structure: most single-owner LLCs pick "member-managed," meaning the owners run it directly. Effective date: usually the filing date, but New Jersey lets you pick a future effective date if you're planning ahead.
- File on the state's official portal — the URL ends in the state's own domain, never a lookalike .com.
- Have your registered agent's exact name and street address ready before you start.
- Pay by card and save the confirmation — download the stamped certificate and store it where you'll find it (Module 5 covers records).
Processing is often fast — New Jersey online filings are typically approved within days, sometimes the same day. Once approved, the state sends back your filed certificate. That certificate is your proof the LLC exists; banks will ask to see it when you open a business account. Then run through the checklist below so nothing falls through the cracks.
Your path
Business name
Your exact chosen name with the LLC designator, matching your name search.
Business purpose
New Jersey allows a general purpose statement.
Registered agent
The name and New Jersey street address you chose in Module 2.
Members/managers
Names and addresses of members — or managers, if manager-managed.
Management structure
Most single-owner LLCs pick member-managed: the owners run it directly.
Effective date
Usually the filing date — New Jersey lets you pick a future date if you're planning ahead.
Build brief
Single owner or multiple owners? If multiple, write down who owns what percentage and who makes the final call when you disagree.
Saved
Operating Agreements — What to Actually Put in One
For a single-member LLC, keep it short but real: your name as the sole member, 100% ownership, that you manage the LLC yourself, how profits and losses flow to you, and what happens to the LLC if you die or become incapacitated (name a successor). For multi-member LLCs, this document earns its keep: ownership percentages and capital contributions (who put in what money or assets), how profits and losses are split (it doesn't have to match ownership), voting rules and who can sign contracts or take on debt, how a member can leave or be bought out, and a dispute-resolution clause (mediation before lawsuits saves friendships and fortunes).
- Single-member: 1–2 pages covering ownership, management, profit flow, and succession.
- Multi-member: cover money in, money out, voting power, exit terms, and dispute resolution — before there's anything to dispute about.
- Sign and date it, keep it with your formation documents, and update it when ownership changes.
You don't need a lawyer to draft a basic one — state bar associations and reputable legal-form publishers offer templates you can adapt by hand. But read what you sign: a template is a starting point, not a finished agreement. If you have partners, outside investors, or unusual ownership splits, this is one of the places Module 6 says to hire a professional. A $500 review now is cheaper than a partnership fight later.
The internal rulebook
Single-member vs. multi-member agreements
| Single-member | Multi-member | |
|---|---|---|
| Length | 1–2 pages | Longer — earns its keep |
| Covers | Ownership, management, profit flow, successor | Percentages, contributions, voting, buyout, disputes |
| Why | State defaults were not written for you | Mediation clauses save friendships and fortunes |
Operating agreement outline — cover these five:
1. Ownership — who owns what percentage: ___
2. Money in/out — how profits and losses split: ___
3. Decisions — who decides what (day-to-day vs major): ___
4. Leaving — what happens if a member exits or dies: ___
5. Dissolving — how the LLC winds down if it ends: ___
Skipping the operating agreement because you're a single member with no partners. Then the bank asks for it to open your account, or a dispute arises and you have zero paper trail. It's a 30-minute document — write it.
Build brief
In plain words: what should happen to the business if an owner wants out, or if something happens to you?
Saved
Publication Requirements and Other State Quirks
Other quirks to check: some states impose an initial report due shortly after formation (separate from the annual report — miss it and your LLC can be administratively dissolved). A handful of states levy a franchise tax or minimum tax regardless of income — California's $800 annual minimum tax is the one people learn about the painful way. A few states require a business license at the state level just to operate, on top of any local permits (Module 5 covers licenses in depth). And processing times vary wildly: some states approve online filings same-day, others take weeks by mail.
- Check for: publication requirements, initial reports, franchise/minimum taxes, and state-level business licenses.
- Read your state's secretary of state "new business" page end to end before filing — the quirks are all listed there.
- Calendar every deadline the moment you learn it — most compliance failures are forgotten dates, not hard tasks.
Check your state
State quirks, in numbers
Build brief
Does your state have quirks like publication requirements or extra filings? How do they affect your budget and timeline?
Saved
Download your state's Articles of Organization form and read it end to end (don't file yet). Highlight anything you don't understand and look it up before filing day.
Your friend says an operating agreement is pointless for a single-owner LLC because the state doesn't require one. What's the best response?
Your turn: Build your filing checklist — your state, the exact form name, the filing fee, and who your registered agent will be.
Saved.