The Colorado Limited Liability Company Act is found in Section of the Colorado statutes and became effective back in 1900. It was substantially improved to provide further benefits to Colorado business owners in both 2003 and 2004. radon mitigation colorado springs
Given the massive growth of limited liability company formations in recent years, it is very evident that this legal entity has become the entity of choice for Colorado small business. Colorado has experienced relatively higher growth numbers than most other states with its number of new LLC formations being almost 53,000 in 2007.
When forming an LLC Colorado, it is essential you meet the state’s requirements. These are all outlines in the Colorado Limited Liability Company Act but the major ones are summarized below:
1. LLC Colorado Name Requirements. The state imposes certain name requirements and limitations which can be found in part 6 of Article 90 of the laws. The practical thing here is to make sure you check to confirm that you proposed company name is available as an LLC name in Colorado prior to submitting your filing.
2. Articles of Organization. This is the official name of the filing document you need to prepare and submit to the state in order to form your Colorado LLC. The laws have a list of 8 provisions containing specific requirements. It is important you strictly comply with these. A good LLC filing services company will know these.
3. Colorado Registered Agent. Similar with other states, Colorado imposes registered agent requirements. Every LLC Colorado must have an officially appointed agent and office at all times to avoid losing its status as a legal entity.
4. One Member Requirement. The state requires that every LLC have at least one member. This person is not required to be disclosed on the public records. There are no limits on the # of members one can have. Also, the limited liability company is not subject to the same restrictions as S corporation when it comes to who can be a member.
While the Colorado legislature made it a fairly straightforward process to properly complete a formation of an LLC Colorado, it is important that this is done properly.
One of the biggest benefits of this kind of company is personal liability protection and so you do not want to risk your liability due to a faulty formation with the Colorado state.