Should you form your LLC in Pennsylvania? We’ve collected the relevant information that will help you make this decision.

Pros

  • Qualified workforce
  • Home to one of the top 20 metro areas in the US

Cons

  • 9.9% tax rate
  • Competitive market

Cost of doing business

  • $125 filing fee / $0 annual statement

Privacy

  • No disclosure of owners

Forming an LLC in Pennsylvania

The name
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 also restrictions placed on the use of terms common to the banking, insurance, and engineering industries. Do a FREE name search now.

Ownership
The owners of an LLC are called “members.” The following information must be required regarding your LLCs members:

  • Required number of members
    Pennsylvania LLCs must have at least one member or manager listed in their incorporation documents.
  • Age restrictions
    LLC members in Pennsylvania may be of any age.
  • Residence restrictions
    There are no residence restrictions imposed on LLC members in Pennsylvania.
  • What information needs to be included in the Articles of Organization?
    Outside of the principal member, LLC Members in Pennsylvania 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 Pennsylvania:

Registered agent information
All Pennsylvania LLCs must have a registered agent on file, and submit their name and address (which cannot be a PO box). This agent is required to be accessible during standard business hours, and acts as the state’s point of contact with the company.

Pennsylvania LLC taxation and fee requirements
There are several tax and fee requirements that must be addressed by LLCs in Pennsylvania. They are as follows:

Taxation
All states have complex taxation requirements. For more information regarding taxes in Pennsylvania, it is advised that you visit the state’s official business related website. 

Annual report requirements
LLCs in Pennsylvania are not required to file an annual report.

Tax identification numbers
Pennsylvania requires an EIN (employee identification number) for all LLCs that will have employees, and most banks will require one to open accounts. Pennsylvania does not require LLCs to obtain state tax ID numbers. Learn more about EINs.

Business license requirements

The business licenses and permits required in Pennsylvania 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 these topics. Learn more about licenses and permits.

Need a Pennsylvania corporation instead? Click here.