Each state has its own LLC laws and regulations, along with varying requirements for what to include in an annual report. Typically, though, your annual report will include:
- Your principal business address
- The names and addresses of your members and managers
- All important identification numbers for your business, such as your state entity number
- The purpose of your business
- A list of authorized signatories
- Your registered agent’s information
The reporting schedule and required fees can vary significantly by state. Some states have a predetermined date for all entities to report, while others require that annual reports be filed on the anniversary of your date of formation. Fees vary anywhere from $0 to $500.
Most states allow LLCs to file their reports either by mail or online. Many will send a form and notice to your registered agent when the due date is coming up so that you do not miss your reporting deadline.
While it may seem like no more than a formality, filing your annual report on time is extremely important. Consequences for failing to file can be severe. Some states may impose a late fee, penalties, and/or taxes, while others may even involuntarily dissolve your LLC.
As the name suggests, most states require reports to be filed each year. However, this schedule is not universal. Some states require reporting at different intervals, with several requesting reports be filed biennially rather than annually. Others have entirely different reporting requirements. Pennsylvania, for example, only requires LLCs to file reports once every ten years, while a select few have no reporting requirements at all. Below you will find the details of each state’s reporting requirements.
In addition to annual reports, there are several other types of reports you may consider creating, but are not required to submit to the state:
- Financial Reports: These may include balance sheets, profits and losses, and financial projections and forecasts.
- Executive Summary: This is a one-page document including all key financial and other important information about the business.
- Report on Risks: This report is designed to lay out any risks to the business and how they are being addressed.
Filing timely and accurate reports to your state and practicing good record keeping are critical steps to keeping your LLC in good standing and protecting yourself and your business. When registering your business as an LLC be sure to check all reporting and other compliance requirements in your state or states of formation for the most up to date requirements.