How to Start an LLC in Michigan (Step-by-Step Guide)

Forming an LLC in Michigan requires filing Articles of Organization with the Michigan Department of Licensing and Regulatory Affairs (LARA) and paying a $50 filing fee. The process takes about 3-5 business days for online filings.

Follow these steps to start your Michigan LLC in 2026.

How to Start an LLC in Michigan (6 Steps)

Step 1: Name Your Michigan LLC

Your LLC name must be distinguishable from other business names registered in Michigan. The name must include “Limited Liability Company,” “LLC,” “L.L.C.,” “LC,” or “L.C.”

Search the LARA Corporations Online Filing System to check availability. You can also reserve a name for 6 months by filing an Application for Reservation of Name ($25 fee).

Michigan naming rules:

• Must include an LLC designator (LLC, L.L.C., LC, or L.C.)
• Cannot be the same as or deceptively similar to an existing entity on file with LARA
• Cannot contain restricted words like “bank,” “insurance,” or “trust” without proper authorization

Step 2: Choose a Registered Agent

Michigan requires every LLC to have a registered agent (called a “resident agent”) with a physical street address in Michigan. The registered agent receives service of process and official state documents on behalf of your LLC.

You can serve as your own registered agent (if you have a Michigan address), or use a professional service. Our top recommendation is Northwest Registered Agent ($39/year), which also handles LLC formation for $39 + the $50 state fee.

Step 3: File Your Articles of Organization

File your Articles of Organization with LARA. You can file online through the LARA Corporations Online Filing System or by mail.

Filing details:

• Filing fee: $50
• Online filing: LARA Corporations Online Filing System (recommended — faster processing)
• Processing time: 3-5 business days (online), 7-10 business days (mail)

Information required:

• LLC name
• Purpose of the LLC (can be “any lawful purpose”)
• Resident agent name and registered office address in Michigan
• Duration (perpetual is standard)
• Name and address of each organizer
• Whether the LLC is member-managed or manager-managed

Step 4: Create an Operating Agreement

Michigan doesn’t legally require an operating agreement, but having one is strongly recommended. It establishes ownership structure, profit distribution, and management responsibilities — and it’s usually required to open a business bank account.

Step 5: Get an EIN

Apply for an Employer Identification Number (EIN) through the IRS website. It’s free and takes about 15 minutes online. You need an EIN to open a business bank account, hire employees, and file taxes.

Step 6: File Your Annual Statement

Michigan requires all LLCs to file an annual statement (also called a Statement of Information) with LARA. The filing is due by February 15 each year and costs $25.

You can file your annual statement through the MiBusiness portal. Failing to file on time can result in your LLC being administratively dissolved.

Michigan LLC Costs

Total first-year cost: $75-$374 (depending on whether you use a registered agent service). Michigan is one of the more affordable states for LLC formation. See our complete guide to LLC costs by state.

Michigan LLC Taxes

Michigan LLCs are treated as pass-through entities by default — profits flow through to members’ personal tax returns.

• State income tax: Flat 4.25% individual income tax rate
• Corporate income tax: 6% (only if you elect corporate taxation)
• City income tax: Some Michigan cities (such as Detroit) impose an additional city income tax of up to 2.4%
• Sales tax: 6% state rate (no local sales tax)
• Federal taxes: Standard pass-through taxation — profits pass to members’ personal returns
• Self-employment tax: 15.3% on net self-employment income (federal)

Annual Requirements for Michigan LLCs

• Annual statement: Due February 15 each year, filed with LARA. $25 filing fee.
• State income tax: Michigan individual income tax returns are due April 15.
• No publication requirement: Michigan does not require LLCs to publish a notice of formation in a newspaper.
• Maintain a registered agent: Must have a resident agent with a Michigan address at all times.

Frequently Asked Questions

How long does it take to form an LLC in Michigan?

Online filings with LARA are typically processed within 3-5 business days. Mail filings take approximately 7-10 business days, not counting transit time.

When is the Michigan LLC annual statement due?

The annual statement is due by February 15 each year. It costs $25 and can be filed online through the LARA MiBusiness portal. Unlike most states that have mid-year deadlines, Michigan’s February 15 deadline is one of the earliest in the country.

Does Michigan require an operating agreement?

No, Michigan doesn’t legally require an operating agreement. However, we strongly recommend creating one. It protects your personal liability and most banks require one to open a business account.

Can I form a Michigan LLC if I live in another state?

Yes. You can form a Michigan LLC regardless of where you live. You’ll need a resident agent with a physical Michigan address. However, if you primarily do business in another state, you may be better off forming your LLC there instead. See our how to start an LLC guide for more on choosing the right state.

How much does a Michigan LLC cost per year?

The annual statement costs $25 per year. Add $39-$299 for a registered agent service. Michigan is one of the most affordable states for ongoing LLC maintenance.

Start an LLC in Another State

Click your state below for a step-by-step formation guide with filing fees, requirements, and timelines.