The ordered path
Choose the structure before filing
Structure affects liability, taxes, ownership, administration, and the filing route. The SBA provides a comparison baseline, but it cannot select the right structure for your specific tax and risk profile.
Check the name and filing path
Use California bizfile to search entity records and access corporation, LLC, and limited-partnership filings. A state name search does not by itself clear federal trademark risk.
Official sourceCalifornia Secretary of State: bizfile CaliforniaCreate and secure the bizfile account
Effective August 1, 2026, California requires User Access for online filings. The Secretary of State says first-time users should review its account setup and access guide before filing or ordering records.
Official sourceCalifornia Secretary of State: bizfile California — See the August 1, 2026 User Access update.File the state formation document
Corporations, LLCs, and limited partnerships file through the Secretary of State. Sole proprietors generally do not form an entity with the Secretary of State, but may still have local fictitious-name, license, permit, tax, or zoning requirements.
Get the EIN after entity formation
If you are creating an LLC or corporation, the IRS says to form the entity through the state before applying for an EIN. Eligible domestic applicants can then obtain the EIN directly from the IRS online for free.
Calendar California recurring obligations
For 2026, every LLC doing business in California or with accepted articles or registration is generally subject to the $800 annual LLC tax, subject to specific exceptions. The 2026 FTB instructions state the timing rules and payment methods.
Verify local and industry requirements
City business licenses, zoning, seller’s permits, professional licensing, health permits, and other requirements depend on what you do and where you operate. Do not treat state formation as permission to conduct every activity.
Build the employer layer before the first start date
An EIN alone does not make a business ready to employ someone. California employer registration, workers’ compensation, wage and leave rules, required notices, onboarding documents, new-hire reporting, and payroll administration come next.
What about federal BOI reporting?
As of this review, FinCEN’s current rule exempts all entities created in the United States—and their beneficial owners—from BOI reporting. Older formation checklists that say every domestic LLC must file may be stale. Foreign entities registered to do business in the United States have a different rule.
Direct filing versus a formation service
| Question | Direct route | Optional paid help |
|---|---|---|
| State filing | File through California bizfile | A service may prepare and submit standard forms |
| EIN | Free through the IRS when eligible | A service may submit as an authorized designee |
| Structure choice | Research the general tradeoffs | Use a qualified lawyer or tax professional for facts-specific advice |
| Recurring reminders | Maintain your own calendar | Some services provide deadline monitoring |
Read the full decision guide →
Completion check
- Structure decision documented.
- Name and trademark risk checked at the appropriate level.
- State formation filing accepted, if forming an entity.
- EIN obtained directly from the IRS or by an authorized designee.
- California tax and Statement of Information deadlines calendared.
- Local and industry-specific requirements checked.
- Employer setup begins before anyone performs work for wages.