Should you form your LLC in Hawaii? We've collected the relevant information that will help you make this decision.
- Taxed as a partnership
- Good quality of life
- High opportunity for new entrepreneurs
- High cost of living
- Among "Worst States for Business" (Forbes 2016)
Cost of doing business
- $50 filing fee / $15 annual report
- Owner disclosure in annual report
Forming your LLC in Hawaii
In order to communicate to the public that your new business is an LLC, its official name will need to end with one of the following signifiers (or abbreviation of): “Limited liability company”, “LLC”, or “L.L.C.” In addition, it is required that the name of your business is not intentionally misleading to consumers, for any reason. Your company’s new name must also be completely unique, and not deceptively similar to any other organizations name or trademarks. There are also restrictions placed on the use of the word “partners”, geographical location names, and several terms common to the financial industry. Do a FREE name search now.
The owners of an LLC are called “members.” The following information must be required regarding your LLCs members:
- Required number of members
Hawaii LLCs must have at least one member or manager listed in their incorporation documents.
- Age restrictions
LLC members in Hawaii may be of any age.
- Residence restrictions
There are no residence restrictions imposed on LLC members in Hawaii.
- What information needs to be included in the Articles of Organization?
Outside of the principal member, LLC Members in Hawaii are not required to list their name or addresses in their Articles of Organization.
Requirements for the Articles of Organization
The Articles of Organization is a document that must be filed during the LLC formation process in every state. Here is the information that must be included in this document when filing in Hawaii:
Registered agent information
All Hawaii LLCs must have a registered agent on file, and submit their name and address (which cannot be a PO box). This agent will be required to be accessible during standard business hours, and act as the state’s point of contact with the company. Learn more about registered agents.
If your business is a professional practice
Professional service companies are not permitted to form under the professional limited liability company (PLLC) structure.
Hawaii LLC taxation and fee requirements
There are several tax and fee requirements that must be addressed by LLCs in Hawaii. They are as follows:
All states have complex taxation requirements. For more information regarding taxes in Hawaii, it is advised that you visit the state’s official business related website.
Annual report requirements
LLCs in Hawaii are required to file an annual report every year before the end of the business quarter in which the company’s incorporation anniversary date falls. The cost of this filing is currently $15. Learn more about annual reports.
Tax identification numbers
Hawaii requires an EIN (employee identification number) for all LLCs that will have employees, and most banks will require one to open accounts. Hawaii does not require LLCs to obtain state tax ID numbers. Learn more about EINs.
Business license requirements
The business licenses and permits required in Hawaii vary wildly depending on the county or municipality in which your new LLC is located. If you would like to see more in-depth information on licenses and permits, please feel free to visit the content in our learning library that covers business licenses and permits.
Need a Hawaii corporation instead? Click here.