Starting a business in Guam requires careful planning and compliance with local regulations. Forming a Limited Liability Company (LLC) offers benefits such as personal liability protection, flexible management options, and pass-through taxation. Setting up an LLC in Guam, whether for a new venture or an existing business, requires several key steps. Use this guide to make the process easier and set up your business legally.
Essential steps to form your LLC in Guam
Forming an LLC in Guam is simple if you follow the steps carefully. Here is what you need to do to get your LLC up and running:
- Name your LLC: first, you need to choose a name for your LLC. Guam does not offer an online name search tool. To check if a name is available, call the General Licensing and Registration Branch of the Department of Revenue and Taxation.
- File articles of organization: you can file it with the Department of Revenue and Taxation. This involves drafting your own form and paying a registration fee.
- Adopt an operating agreement: this document details how your LLC will operate. Though not legally required, it is a useful document for managing internal affairs. You can draft this document to fit your needs.
- Obtain an EIN: all LLCs with employees need an Employer Identification Number (EIN).
- Get a Guam business license: before you start operations, obtain a license at the License Division or the One Stop Licensing Center.
- File the sworn annual report: all LLCs in Guam must file it to update their business details with the Department of Revenue and Taxation.
- File your BOI report: this report gives details about your business’s beneficial owners and applicants.
Starting an LLC in Guam requires several key actions. Taking the time to complete each step will help you avoid common errors and focus on growing. Investing the time now to get everything right will set a strong foundation for your business’s future success.