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

Launching a business in Ohio, home to a thriving economy and entrepreneur-friendly resources, means making key decisions early on—including how to structure your business. Your options include a sole proprietorship, partnership, corporation, or limited liability company (LLC). Each structure has distinct legal, tax, and operational implications, so it’s essential to choose the one that best supports your vision and goals.

For many new small business owners, an LLC is a smart choice. It offers several advantages for entrepreneurs.

Jump to:

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

Why choose an LLC in Ohio?

A limited liability company is a popular business structure that offers personal asset protection, meaning members’ personal finances are generally shielded from business debts and liabilities. LLCs also provide pass-through taxation by default, allowing profits to be taxed at the individual level rather than at the corporate level. However, an LLC can also be taxed as a corporation if it suits the business better. 

Ready to start your LLC? Whether you're setting up shop in Cincinnati’s startup hub, Columbus’s tech scene, or Cleveland’s manufacturing sector, this step-by-step guide will walk you through the costs, paperwork, and tax considerations involved. You’ll also learn how accounting software could help and access a list of valuable Ohio resources to support your business launch. 

New business data in Ohio in 2025

Ohio’s business landscape remains strong, with small businesses serving as the backbone of the state’s economy. It’s home to almost one million small businesses, making up 99.6% of all employers. Key industries include manufacturing, trade, transportation, utilities, healthcare, education, and technology. 

To further foster economic growth, Ohio is investing in workforce and business development. In January 2025, the state allocated $1.4 million toward programs designed to strengthen communities and support entrepreneurs. Plus, $5.1 million will be distributed to 35 workforce partnerships through the Industry Sector Partnership (ISP) Grant, promoting collaboration between businesses, educators, and community organizations to prepare Ohioans for in-demand careers in manufacturing, IT, transportation, and healthcare.

Ohio’s financial outlook for 2025 is also promising. A recent Office of Budget and Management report highlighted continued growth in economic expansion, employment, consumer income, and industrial activity, reinforcing the state’s stability and business-friendly climate.

With these investments and a thriving entrepreneurial ecosystem, Ohio remains a top destination for business growth and innovation in 2025.

5 steps for creating an LLC in Ohio

Starting an LLC is an exciting step toward building your business, but there are several steps involved. This guide breaks it all down, from selecting a unique business name and filing the required paperwork to obtain an Employer Identification Number (EIN). The next sections explain each step to make setting up your Ohio LLC simple and straightforward.

Step 1: Choose a name for your Ohio LLC

The first step is to decide what you’re going to name your business. While you may already have a name in mind, you must adhere to Ohio’s specific requirements to ensure successful registration.

Ohio LLC naming rules

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

Uniqueness requirement

• Your LLC's name must be distinguishable from existing business entities registered in Ohio. 

LLC designation

• Your chosen name must include one of the following designations:
• Limited Liability Company
• LLC
• L.L.C.
• Limited
• Ltd.
• Ltd

Accurate representation

• Your business name should accurately reflect the nature of your business and not mislead the public about its purpose. 
• Avoid names that imply unauthorized activities or affiliations, such as an affiliation with a government entity.

Restricted words

• Certain terms require prior approval before you can include them in your LLC's name:
• "Bank" or "Trust" necessitate approval from the Ohio Department of Commerce—Division of Financial Institutions.
• Names containing profanity or offensive language related to ethnicity, religion, gender, or heritage are not allowed.

For a comprehensive list of restricted words and additional guidelines, refer to the Ohio Secretary of State's Guide to Name Availability.

Check for name availability

Before finalizing your LLC's name, ensure it's available by conducting a search through the Ohio Secretary of State's business name database. Keep in mind that the Ohio Secretary of State applies specific criteria to determine name distinguishability. For example:

• Punctuation and abbreviations: "Knight and Day" is considered the same as "Knight & Day."
• Articles and conjunctions: "The Big Company" is not distinguishable from "A Big Company."
• Entity designations: Adding terms like "Ltd." or "Co." doesn't create a unique name; "Barnstormers Ltd." is identical to "Barnstormers Co."
• Tense or number variations: "Hometown Bakery, LLC" is the same as "Hometown Bakeries, Inc."

To ensure your business name is unique and meets Ohio's requirements, focus on the core elements of the name when searching, excluding minor variations.

By following these guidelines, you can select a compliant and unique name for your LLC, facilitating a smoother registration process.

Reserve your LLC name

Often, business owners aren't ready to file their LLC paperwork, the Articles of Organization, but they want to secure their desired business name. Ohio lets you reserve a business name for 180 days. As long as you file within that period, no one else can use it. After 180 days, the name becomes available again.

To reserve a name, you must submit the Name Reservation form and a $39 fee. You can find the filing form online. For regular processing (non-expedited), mail the form to P.O. Box 670, Columbus, OH 43216. Send forms for expedited processing to P.O. Box 1390, Columbus, OH 43216. Mailed-in expedited processing costs an extra $100.

The Secretary of State's office can't guarantee name reservations until the filing is processed and accepted by the office. The fastest, most convenient way to reserve a name is through online filing.

Step 2: Choose a statutory agent in Ohio

Forming an LLC in Ohio requires appointing a statutory agent, known in other states as a registered agent. This agent is responsible for receiving legal documents on behalf of your LLC.

Who needs a statutory agent?

• All Ohio LLCs must designate a statutory agent.
• Foreign LLCs registering to do business in Ohio are also required to appoint a statutory agent within the state.

Who can serve as a statutory agent?

• You (if you're an Ohio resident): You can act as your own statutory agent if you meet the following requirements:
• You are at least 18 years old.
• You have a physical street address in Ohio.
• You are available to receive legal documents during normal business hours.
• Individual: A natural person who is a resident of Ohio and at least 18 years old.
• Must have a physical street address in Ohio (P.O. boxes are not acceptable).
• Must be available during regular business hours to receive legal documents.
• Business entity: A domestic or foreign business entity authorized to do business in Ohio, with a physical address in the state.
• Statutory agent service: Professional services that provide statutory agent representation, offering a physical Ohio address and ensuring availability during business hours.

For more detailed information about statutory agents, visit the Ohio Secretary of State website. 

Choosing a statutory agent service

There are many statutory agent services available in Ohio. 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 Ohio-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 statutory agent services as part of a package.

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

Once you've selected your LLC's name and appointed a statutory agent, the next step is to file the Articles of Organization with the Ohio Secretary of State.

What is an Articles of Organization?

The Articles of Organization is a legal document that officially establishes your limited liability company in Ohio. This document includes essential details such as your LLC's name, principal office address, statutory agent information, and any other provisions you choose to include. Filing this document grants your LLC legal recognition to operate within the state.

Articles of Organization filing process in Ohio

In Ohio, the Articles of Organization is filed with the Secretary of State. The standard filing fee is $99. You have two primary options for submission:

Option 1: Online filing

Ohio encourages online submissions through the Ohio Business Filings Portal. This platform allows for efficient processing, and many filings are processed automatically.

Option 2: Mail-in filing

If you prefer to file by mail, you can download the necessary form from the Ohio Secretary of State's website. Complete the Articles of Organization form and mail it, along with a check or money order for the $99 filing fee, to the address specified on the form. Processing times for mail-in filings may be longer than online submissions.

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

The time it takes to process your LLC formation in Ohio depends on the submission method. Online filings may be processed as fast as automatically, or a review may be required and processing may take 3-7 business days. Mail-in filings may take longer. 

If you are not an Ohio resident

To conduct business in Ohio as a non-resident and establish a foreign (out-of-state) LLC, follow these steps:

1. Ensure compliance with Ohio’s naming requirements.
2. Appoint a statutory agent.
3. Obtain a Certificate of Good Standing (or its equivalent) from your LLC's home state, issued within 60 days prior to your Ohio registration.
4. Complete the "Registration of a Foreign Limited Liability Company" form (Form 617).
5. Submit the application with the filing fee.

Click here for further instructions. The Ohio Secretary of State website also provides a Start a Limited Liability Company in Ohio resource. 

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

Completing the Articles of Organization form is a fairly simple process since not much information is required. You will be asked to provide:

• The name of your LLC
• The purpose of your LLC
• The name of your statutory agent and their signature
• Any additional provisions, if applicable
• Your signature

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 Ohio. 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. To continue doing business, you must adhere to the state and federal laws and regulations to keep your LLC compliant, which include:

• 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.
• Fees: There is no filing fee.
• Business licenses and permits
• Requirement: Depending on your industry and location, specific licenses or permits may be necessary. Businesses selling certain products may require additional licensing.
• Examples: 
• Professional services
• Food and beverage establishments
• Contractors and construction firms
• Healthcare providers
• Verification: Consult the Licenses & Permit page on Ohio.gov and your professional association or governing agency 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 Ohio Department of Taxation. 
• Tax determination: Use the Department’s resources to identify the taxes applicable to you.
• Registration methods: Register online and learn more at the Ohio Department of Taxation website.
• Purchase insurance
• Requirement: Depending on the type of business you operate, you may also need to get specific insurance coverage, such as:
• Commercial auto insurance
• Liability insurance
• Workers’ compensation insurance
• Information: For guidance, speak to an attorney or insurance agent to ensure your business has adequate coverage.
• Annual and biennial report filing requirements
• Unlike many other states, Ohio does not have annual or biennial report filing requirements for most LLCs. However, Professional Associations and Limited Liability Partnerships are required to file biennial reports.
• Other filing requirements
• In some circumstances, certain actions by the LLC might trigger a filing requirement. Examples of some common filings include:
• Certificate of amendment or restatement
• Statement of authority; amendment or cancellation; and statement of denial
• Certificate of correction
• Mergers

To learn more, visit the section of the state's website pertaining to Ohio business forms and the site’s Frequently Asked Questions about starting a business.

• Certificate of Good Standing (optional):
• Requirement: While not always legally required, a Certificate of Good Standing can be beneficial.
• Purpose: It verifies that your LLC is in good standing with the state of Ohio.
• Why you may need it: To open a business bank account, obtain certain licenses, or apply for credit card processing.
• How to obtain it: Apply online or download and mail the printed form. 
• Fee: $5. 

Types of LLCs to consider in Ohio

When forming an LLC in Ohio, it's essential to understand the various structures available to determine which best suits your business needs.

Single-member LLC

Owned by one individual or entity, a single-member LLC offers liability protection while allowing for simplified management and taxation.

Multi-member LLC

Comprising two or more members sharing ownership, a multi-member LLC provides flexibility in management and profit distribution among members.

Professional Association (PA)

In Ohio, licensed professionals such as doctors, lawyers, or accountants may form a Professional Association (PA) to provide their services. This structure is governed by specific regulations outlined in the Ohio Revised Code.

Manager-managed LLC

In a manager-managed LLC, members appoint one or more managers to handle 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.

Costs of setting up an LLC in Ohio 

To get an LLC up and running in the Buckeye State, you’ll have to pay:

• A $99 one-time fee to file your Articles of Organization
• A statutory agent fee if you choose to hire a professional service

Other costs you may have to cover include fees to expedite paperwork and license or permit fees if your business operates in a regulated industry.

Open an Ohio LLC business account

One of the advantages of forming an LLC is protecting your personal assets if your business faces legal action. However, this protection can be jeopardized if you mix personal and business finances.

To preserve this protection and keep your business running smoothly, open a dedicated bank account for your LLC. This not only ensures a clear separation between personal and business funds but also helps you stay organized, making bookkeeping, tax filing, and financial management much easier.

What you'll need 

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

• Your EIN 
• Articles of Organization
• (Possibly) an operating agreement and Certificate of Good Standing
• 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 track and manage your finances. 

LLC Taxes in Ohio 

As a business owner, you need a good understanding of various tax classifications and your obligations at both the federal and state levels.

Federal tax classification

Ohio LLCs can choose their federal tax classification, which influences their taxation at the state level:

• Single-member LLCs: By default, these are treated as disregarded entities, with income and expenses reported on the owner's personal federal tax return.
• Multi-member LLCs: These default to partnership taxation, 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 taxes

Ohio imposes specific taxes that may affect LLCs:

Commercial Activity Tax (CAT)

In Ohio, LLCs that elect to be taxed as C corporations are subject to the state's Commercial Activity Tax (CAT) rather than a traditional corporate income tax. The CAT is a tax on gross receipts for businesses with taxable gross receipts of $6 million or more. Read more about Ohio’s Commercial Activity Tax.

State income tax

Ohio LLCs are not subject to state income tax at the entity level. Instead, their profits pass through to the members, who report and pay state income tax on their individual returns. Ohio's personal income tax rates range from 2.750% to 3.5%, depending on income levels.

Municipal taxes

Depending on the location of your LLC, local municipalities in Ohio may impose additional taxes or require registrations. Consult with local tax authorities to ensure compliance with all local tax obligations.

Sales and use taxes

For LLCs engaged in retail sales or certain services, Ohio mandates the collection of sales tax from customers. Businesses must register for a vendor's license with the Ohio Department of Taxation to comply with this requirement. 

Employment taxes

Employers in Ohio are responsible for withholding state income tax from employee wages and remitting these taxes to the Ohio Department of Taxation. Employers must also pay unemployment insurance taxes, which fund unemployment benefits for workers. 

Ohio-related resources

• The Ohio Chamber of Commerce: This is the state's leading business advocate and resource. It champions free enterprise, economic competitiveness, and growth for the benefit of all Ohioans.
• Governor’s Office of Workforce Transformation: The Office of Workforce Transformation connects Ohio's business, training, and education communities to build a dynamically skilled, productive, and purposeful workforce.
• Ohio Secretary of State: The Ohio Secretary of State’s office oversees business registrations, elections, and state records. On its website, businesses can register an LLC, manage compliance filings, and access business search tools.
• Ohio Small Business Development Centers (SBDC): This network offers free, confidential counseling and training to individuals starting or growing their businesses. Services include business assessment, strategic planning, financial analysis, marketing strategy development, and assistance in identifying sources of capital. 
• Ohio Department of Taxation: This department provides resources and guidance for businesses on tax registration, filing, and compliance. Entrepreneurs can use the Ohio Business Gateway to register for taxes, file returns, and make payments online. 

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.