How to start an LLC in Indiana: Your 2025 step-by-step guide

Indiana, known for its business-friendly policies and strong entrepreneurial spirit, offers multiple options for structuring your new small business. Whether you’re launching a tech startup in Indianapolis or a family-owned farm in a rural area, selecting the right business entity is an important first step.

Entrepreneurs can register as a sole proprietorship, partnership, corporation, or limited liability company (LLC)—each with distinct legal, tax, and operational implications. 

Jump to:

• Why choose an LLC in Indiana?
• New business data in Indiana in 2025
• 5 steps for creating an LLC in Indiana
• Step 1: Choose a name for your Indiana LLC
• Step 2: Choose a registered agent in Indiana
• Step 3: Complete the Articles of Organization form and file your Indiana LLC
• Step 4: Get an Employer Identification Number (EIN)
• Step 5: Ongoing compliance and required filings
• Types of LLCs to consider in Indiana
• Costs of setting up an LLC in Indiana
• LLC Taxes in indiana
• Frequently asked questions

Why choose an LLC in Indiana?

LLCs are a popular choice in Indiana, particularly for small businesses. This structure combines the liability protection of a corporation with the flexibility and tax benefits of a partnership. Before filing as an LLC, it's essential to evaluate which structure aligns best with your long-term business goals and compliance requirements.

This guide will explain how to start an LLC in Indiana. It covers the costs and paperwork involved, tax considerations, how accounting software could help, and other important information to establish a solid foundation for success.

New business data in Indiana in 2025

There are significant opportunities for entrepreneurs in Indiana. The state’s economy is on the rise, with real GDP expected to grow by 2.9% in 2025, creating a strong environment for new businesses. Indianapolis is leading the way, with even higher projected growth of 3.1%, outpacing both state and national averages. The city is also seeing $9 billion in new capital projects, making it a prime location for retail, hospitality, and service businesses.

In terms of industry-specific markets, life sciences, transportation, and logistics jobs have surged, especially in the metropolitan Indianapolis region. Due to this change, opportunities are expected to thrive for businesses that support bioscience, pharmaceuticals, warehousing, transportation, and distribution.

5 steps for creating an LLC in Indiana 

Forming your LLC is a key step in launching and protecting your business. The process involves choosing a unique name, filing the required paperwork with the Indiana Secretary of State, and obtaining an EIN for tax purposes. Whether you're setting up shop in Indianapolis, Fort Wayne, or a small town, the following sections will guide you through each step to make establishing your Indiana LLC as smooth as possible.

Step 1: Choose a name for your Indiana LLC

Naming your LLCs is an important step in forming your business. Choose a business name that is easy to remember and lets prospective customers know what products or services your company will provide. This is different from a trademark, which requires a separate registration. Your LLC's name must also comply with Indiana’s naming rules. 

Indiana LLC naming rules

When choosing a name for your LLC in Indiana, there are specific guidelines you must follow:

LLC designation

The chosen name must include one of the following designations to indicate its limited liability status:

• "Limited Liability Company"
• "L.L.C."
• "LLC"

Restricted words

Certain terms are restricted or require additional authorization for use in an LLC name, including:

• "Bank"
• "Trust"
• "Insurance"

Your name should also not imply that your LLC represents an official government entity in any way.

Check for name availability

Your LLC's name must be distinguishable from any existing business entity registered with the Indiana Secretary of State. To verify name availability, use the INBiz Name Availability Check.

Reserve your LLC name

If you want to secure your LLC name while preparing your filing documents, you can reserve it with the state by submitting a Name Reservation Request Form. You can complete the form online via INBiz or download the form from the Indiana Secretary of State’s website, fill it out, and submit it by mail.

Fees:

• Standard processing – $25 (regular timeframe)
• 24-hour processing – $30
• 4-hour processing – $50

This reservation holds your chosen name for 120 days, allowing you time to complete the LLC formation process.

Step 2: Choose a registered agent in Indiana

A registered agent is a person or entity designated to receive legal documents and official state communications on behalf of your LLC. 

Who needs a registered agent?

• All LLCs established in Indiana are required to designate and maintain a registered agent within the state.
• Foreign (out-of-state) LLCs registering to do business in Indiana must also appoint a registered agent with a physical address in Indiana. 

Who can be a registered agent?

An individual or business entity that meets the following criteria can act as a registered agent:

• Individual: A person who is at least 18 years old, resides in Indiana, and has a physical street address in the state (P.O. boxes are not acceptable). They must be available during typical business hours to accept paperwork.
• Business entity: A domestic or foreign corporation authorized to do business in Indiana, with a business office identical to the registered office. They must also be available during typical business hours to accept paperwork.

In Indiana, a business cannot serve as its own registered agent. You can only have one agent.

Choosing a resident agent service

If you prefer, you may hire a professional registered agent service. These services provide a physical address in Indiana and are available during business hours to accept legal documents on your behalf.

There are registered agent services throughout the state. If you’re thinking about hiring a professional provider, here are some tips for finding the right one.

Research and compare

Be sure to research different providers and compare factors such as:

• Cost: Fees typically start around $50 per year.
• Reputation: Choose a reputable company with a proven track record.
• Customer support: Ensure they provide excellent customer service and support.
• Knowledge: Select a provider with a strong understanding of Indiana-specific compliance requirements to ensure your business stays in good standing.
• Coverage: For businesses operating in multiple states, choose a provider that offers services across all the states where you plan to operate.

Consider bundled services

If you're using a company formation service or an attorney to set up your LLC, they may offer registered agent services as part of a package.

Step 3: Complete the Articles of Organization form and file your Indiana LLC

Once you’ve decided on your name and your registered agent, the next step is to file an Articles of Organization form. Filing an Articles of Organization will officially establish your LLC in Indiana. 

What is an Articles of Organization?

An Articles of Organization is a legal document that includes essential details about your LLC, such as its name, principal office address, registered agent information, and management structure. Filing the Articles of Organization legally creates your LLC within the state. In Indiana, you file the Articles of Organization with the Indiana Secretary of State’s Business Division. The filing fee is $100.

You have two options for obtaining and submitting the form:

Option 1: Online

Online filing is highly recommended through INBiz, the state's one-stop business portal.

Option 2: Mail-In

If you prefer to file by mail, download and complete the Articles of Organization form available on the Indiana Secretary of State's website.

Prepare a check or money order for the filing fee, payable to "Secretary of State." Mail the completed form and payment to:

Secretary of State

Business Services Division

302 West Washington Street, Room E018

Indianapolis, IN 46204

How long does it take for an LLC to get approved in Indiana?

Online LLC filings are typically approved instantly. Mail-in filings can take between two and three weeks. 

If you are not an Indiana resident

To conduct business in Indiana as a foreign (out-of-state) LLC, follow these steps:

1. Appoint a registered agent: Designate a registered agent with a physical street address in Indiana to receive legal documents on behalf of your LLC.
2. Ensure compliance with naming rules: Your LLC's name must be distinguishable from existing entities registered in Indiana. If a conflict exists, you may need to register under an assumed business name.
3. Obtain a Certificate of Good Standing:

• Provide a Certificate of Good Standing (known as a Certificate of Existence in Indiana) or similar document from your LLC's home state, issued within the last 60 days, to accompany your Indiana LLC registration.

1. Complete the application for registration: Fill out the "Foreign Registration Statement" form, available through the Indiana Secretary of State's Business Services Division.
2. File the application with the filing fee: Submit your completed application and accompanying documents to the Indiana Secretary of State. Online filing is recommended for efficiency, but you can also file by mail. The filing fee for registering a foreign for-profit entity is $125; foreign master LLCs are $250.

For more information on registering as a foreign LLC in Indiana, visit the Indiana Secretary of State's Business Services Division.

What to include in your LLC's Articles of Organization form

When completing the Articles of Organization form in Indiana, you will need to provide:

• LLC name
• Principal office address (P.O. boxes are not acceptable)
• Registered agent information: Name and address of the registered agent in Indiana
• Management structure indicating whether the LLC will be managed by managers or members
• Duration of the LLC, specifying if the LLC is perpetual or has a designated dissolution date

Step 4: Get an Employer Identification Number (EIN)

You’ll likely need an Employer Identification Number (EIN) from the Internal Revenue Service to form an LLC in Indiana. An EIN is a nine-digit number that identifies a business for tax purposes, similar to a Social Security Number for your company.

According to the IRS, you need an EIN if any of the following apply:

1. You have employees.
2. Your business operates as a corporation or partnership.
3. You file employment, excise, or alcohol, tobacco, and firearms tax returns.
4. You withhold taxes on income, other than wages, paid to a non-resident alien.
5. You have a Keogh plan (a tax-deferred pension plan).
6. You are involved with certain types of organizations, including trusts, estates, real estate mortgage investment conduits, non-profit organizations, farmers' cooperatives, or plan administrators.

Single-member LLC considerations

If you are a single-member LLC, you may not be required to obtain an EIN. However, getting one is still a smart idea, as your business needs might change over time, and obtaining an EIN is free.

An EIN becomes mandatory if your LLC elects to be taxed as a corporation, hires employees, or files excise or employment tax returns.

Having an EIN also simplifies opening a business bank account and protects your personal Social Security Number, reducing the risk of identity theft.

Requesting an EIN

You can request an EIN by mail or phone, but the fastest method is completing the process online on the IRS website. After obtaining an EIN, use accounting software to track business expenses and ensure your company’s finances remain separate from your personal finances. 

Step 5: Ongoing compliance and required filings 

Getting your LLC certificate is the first step of the business compliance journey. In Indiana, both domestic and foreign LLCs are required to fulfill specific filing obligations to maintain compliance:

• Business Entity Report:
• Filing requirement: LLCs must submit a Business Entity Report every two years. The initial report is due two years after the LLC's formation or registration date. Subsequent reports are due biennially in the anniversary month of the LLC's formation or registration. 
• Purpose: To confirm the LLC's active status and provide updated business information to the state.
• Filing method: Reports can be filed online through the INBiz portal. The Secretary of State typically sends a reminder notice the month the report is due. 
• Fee: $50
• Beneficial Ownership Information Report
• Filing requirement: Submit a Beneficial Ownership Information Report to the U.S. Department of the Treasury within 30 days of forming your LLC.
• Purpose: This report helps prevent money laundering and other financial crimes by identifying the true owners of the LLC.
• Who needs to file: All LLCs formed in 2024 or later are required to file.
• How to file: File the report online through the U.S. Treasury Financial Crimes Enforcement Network website.
• Business personal property tax return:
• Filing requirement: LLCs owning, leasing, or holding taxable personal property as of January 1 each year must file a Business Tangible Personal Property Return by May 15. However, if the total acquisition cost of your business personal property is less than $80,000 within a county, your business is entitled to an exemption and is not required to file a return.
• Purpose: To report the value of the company's personal property for assessment and taxation purposes.
• Filing Method: Returns can be filed online via the Personal Property Online Portal – Indiana (PPOP-IN) or by submitting paper forms to the appropriate county assessor's office.
• Fees: There is no fee for filing the personal property tax return itself. However, taxes are assessed based on the reported value of the personal property. 
• Business licenses and permits
• Requirement: Depending on your industry and location, specific licenses or permits may be necessary. Businesses selling certain products or offering particular services may require additional licensing.
• Examples:
• Professional services
• Construction firms
• Sellers of alcoholic beverages

Verification: Consult the INBiz portal and your local county or city government offices to determine the specific requirements for your business. 

• State tax registration
• Requirement: If your LLC will collect state taxes, such as sales tax, you must register with the Indiana Department of Revenue (DOR).
• Tax determination: Use the Department of Revenue's business tax resources to identify the taxes applicable to you.
• Registration methods: Register online through the INBiz portal. Visit the Indiana Department of Revenue website for more information.
• Purchase insurance
• Requirement: Depending on your business type and industry in Indiana, specific insurance coverage may be necessary. Common types of business insurance include:
• Commercial auto insurance
• Liability insurance
• Workers’ compensation insurance
• Information: For detailed guidance on business insurance requirements and options in Indiana, consult the Indiana Department of Insurance.
• Certificate of Existence (Optional):
• Requirement: While not always legally required, obtaining a Certificate of Existence can be beneficial.
• Purpose: This certificate verifies that your LLC is in good standing with the state of Indiana.
• Why you may need it: It may be necessary for opening a business bank account, obtaining certain licenses, or applying for credit card processing.
• How to obtain It: You can request a Certificate of Existence online through the INBiz portal.
• Fee: $15
• For more information on obtaining a Certificate of Existence, refer to the Indiana Secretary of State's guidelines.

Types of LLCs to consider in Indiana 

When establishing an LLC in Indiana, it's important to understand the different types available to determine which best suits your business needs.

Single-member LLC

A single-member LLC is owned by one individual or entity, providing liability protection while allowing for simplified management and taxation. In Indiana, a single-member LLC can be treated as a disregarded entity for federal income tax purposes, meaning the business activities are reported on the owner's personal tax return.

Multi-member LLC

A multi-member LLC consists of two or more members who share ownership. This structure offers flexibility in management and profit distribution among members. Multi-member LLCs are typically treated as partnerships for tax purposes unless they elect to be taxed as a corporation.

Professional LLC (PLLC)

Designed for certain licensed professionals, such as physicians, a PLLC allows individuals to offer professional services under an LLC structure. It's advisable to consult with the appropriate Indiana licensing boards to determine eligibility and specific requirements. 

Manager-managed LLC

In a manager-managed LLC, members appoint one or more managers to handle the daily operations, allowing non-managing members to act as passive investors.

Member-managed LLC

A member-managed LLC involves all members actively participating in the management and decision-making processes of the company. This is the default management structure for LLCs in Indiana unless otherwise specified in the Articles of Organization.

Costs of setting up an LLC in Indiana

Establishing a Limited Liability Company (LLC) in Indiana involves several fees:

• A one-time fee of $100 is required to file your Articles of Organization with the Indiana Secretary of State.
• If you choose to hire a registered agent service, fees typically start at $50 per year.

Open an Indiana LLC business bank account

One of the biggest benefits of forming an LLC is shielding your personal assets if your business is sued. However, this protection can be lost if you mix personal and business assets.

To maintain this protection, open a separate bank account for your LLC. This ensures your business finances remain distinct from your personal ones.

What you'll need 

When opening a business bank account, you’ll typically need:

• Your EIN 
• Articles of Organization, typically a certified copy 
• (Possibly) an operating agreement and Certificate of Existence
• Personal identification

Out-of-state residents should consider choosing a bank with a presence in the state.

After opening your bank account, use QuickBooks accounting software to keep track and manage your finances. 

LLC Taxes in Indiana 

Indiana LLCs can be classified differently for federal tax purposes. They may be treated as a sole proprietorship (for single-member LLCs), partnership, C corporation, or S corporation. This classification affects how the LLC is taxed at both the federal and state levels.

Federal tax classification

In alignment with federal guidelines, Indiana LLCs can choose their tax classification:

• Single-member LLCs: By default, these are treated as disregarded entities, with income and expenses reported on the owner's personal tax return.
• Multi-member LLCs: Typically classified as partnerships, requiring the filing of Form 1065 with the IRS.
• Election as a corporation: LLCs can opt to be taxed as a C corporation or S corporation by filing the appropriate forms with the IRS.

State income tax

Indiana imposes a state income tax on personal income, which affects LLC members differently based on the entity's tax classification:

Pass-through entities

For LLCs taxed as sole proprietorships, partnerships, or S corporations, profits pass through to members' personal tax returns. Members are then subject to Indiana’s state income tax rates on their share of the income. The state has a flat 3.05% individual income tax; however, there may be additional local income tax rates.

C Corporations

LLCs electing to be taxed as C corporations are subject to Indiana's corporate income tax. As of 2025, the rate is 4.9%.

Business property tax

Indiana requires businesses to file an annual Business Tangible Personal Property Assessment Return if they own, lease, or hold personal property in the state. This includes items such as furniture, fixtures, tools, machinery, and equipment. The assessment is filed with the township assessor or county assessor's office, depending on the property's location.

Sales and use tax

LLCs selling tangible goods or certain services in Indiana are required to collect sales tax from customers. Additionally, if an LLC purchases items for business use without paying sales tax, it may owe use tax. Registration for sales and use tax can be completed through the Indiana Department of Revenue.

Employment taxes

If your LLC has employees, you must handle state employer taxes, including withholding Indiana income tax from employee wages and paying unemployment insurance tax. Employers need to register with both the Indiana Department of Revenue and the Indiana Department of Workforce Development.

Indiana-related resources

• Indiana Department of Workforce Development (DWD): Oversees unemployment insurance and workforce training programs, ensuring businesses comply with employer tax requirements and providing resources for hiring and employee development.
• Indiana Department of Revenue (DOR): Manages state tax collection and business tax compliance, including sales tax, corporate income tax, and employer withholding tax for Indiana businesses. 
• Indiana Secretary of State (SOS): Handles business registrations, including LLC formations, foreign entity qualifications, and compliance filings such as the Business Entity Report. 
• Indiana Small Business Support Center (SBSC): Provides guidance, tools, and resources to help new businesses navigate licensing, taxation, and regulatory requirements in Indiana.
• Indiana Economic Development Corporation (IEDC): Provides funding opportunities, business incentives, and economic development programs to support startups and expanding businesses in Indiana. 

Federal-related resources

• Small Business Administration (SBA): The SBA supports small businesses through various loan programs, provides resources for government contracting, and offers counseling and training programs to help entrepreneurs start and grow their businesses.
• Internal Revenue Service (IRS): The IRS provides essential information for LLCs, including tax classifications, employer identification numbers (EINs), and filing requirements. Its Small Business and Self-Employed Tax Center offers guidance on tax obligations specific to LLCs.
• U.S. Patent and Trademark Office (USPTO): For businesses looking to protect their intellectual property, the USPTO provides resources on how to apply for patents and register trademarks, which can be essential for safeguarding your unique products or services.
• U.S. Department of Labor (DOL): The DOL's website offers information on federal labor laws, workplace safety regulations, and employee benefits that LLC owners need to consider when hiring staff.

Disclaimer: 

This content is for information purposes only and information provided should not be considered legal, accounting or tax advice or a substitute for obtaining such advice specific to your business. Additional information and exceptions may apply. Applicable laws may vary by state or locality. No assurance is given that the information is comprehensive in its coverage or that it is suitable in dealing with a customer’s particular situation. Intuit Inc. does not have any responsibility for updating or revising any information presented herein. Accordingly, the information provided should not be relied upon as a substitute for independent research. Intuit Inc. cannot warrant that the material contained herein will continue to be accurate, nor that it is completely free of errors when published. Readers should verify statements before relying on them.