How to Form an LLC in Virginia

For American Citizens and Worldwide Entrepreneurs

Virginia, also known as “The Mother of States,” is now one of the most popular locations for starting a business in the US. Because of the developed infrastructure and existing business activities around Washington D.C., the state is a business opportunity hub.

For domestic business owners or foreign founders considering entering the US market, starting an LLC in Virginia is sensible and practical.

This guide provides comprehensive and detailed instructions to form an LLC in Virginia, starting from name selection and compliance, tailored to both local and global entrepreneurs.

Why Virginia for Your LLC?

Virginia consistently ranks among the best states for business in the US, and for good reason.

1. Unique Strategic Location

Virginia is in the East Coast and is one of the states that borders Washington D.C. This makes the state and its businesses have unparalleled access to global business networks, foreign government agencies, international embassies and other businesses.

Because of this, the state is a good home for consultants, government contractors, import and export businesses, tech service providers and for other businesses that require or want US credibility and a market scale.

2. Strong, Diverse Economy

Virginia has a very diversified economy. These sectors are particularly prominent:

• Information technology
• Cybersecurity
• Healthcare
• Advanced manufacturing
• Logistics and shipping, particularly through ports like Norfolk
• Government contracting

This diversification promotes stability and multiple opportunities in resources across varying industries.

3. Business-Friendly Environment

Unlike Texas and Delaware, Virginia imposes no annual franchise tax on LLCs.

• Moderate filing fees and straightforward compliance requirements
• Predictable and transparent legal system for dispute resolution
• Dispute resolution system for legal matters is unbiased and consistent

4. Skilled Workforce

The state hosts world-class institutions such as the University of Virginia and Virginia Tech, providing access to a highly educated and tech-savvy talent pool. This is advantageous for businesses in need of skilled workers in engineering, information technology, law, and finance.

5. Perfect for Global Entrepreneurs

Virginia encourages foreign direct investment. You do not need to be a US citizen or have a US address to register for an LLC. You must have a registered agent in the state, which is a service provided by Bizstartz.

✅ Step-by-Step Guide to Form an LLC in Virginia

Step 1: Choose a Name for Your LLC

Choosing a name is an essential first step. Your name must be:

• Unique and distinguishable from all other registered businesses in Virginia.
• Make sure to end with “Limited Liability Company,” “LLC,” or “L.L.C.”
• Do not use “Bank,” “University,” or “Insurance” without prior legal permission.

💡 Pro Tip: Use Virginia’s Entity Name Check Tool to find out whether or not the name you want to use is taken.

You can hold a name for a business for 120 days by submitting an Application for Reservation of Name and paying $10.

Step 2: Choose a Registered Agent.

Every Virginia Limited Liability Company (LLC) has to have a Registered Agent. This agent must be a legal representative of the business.

The agent must:

• Be a legal resident of Virginia or a corporation certified to act as a registered agent in Virginia.
• Have an actual street address (P. O. Boxes are not acceptable).

🔐 Having a registered agent will ensure that you receive all of your legal notices and documents from the state in a timely and efficient manner.

📌 Registered Agent services are available in Virginia from Bizstartz for locals and for non-residents business owners.

Step 3: File Articles of Organization

Formally set up your LLC by filing the Articles of Organization (Form LLC-1011) with the Virginia State Corporation Commission (SCC) and give them your LLC’s: VA Articles of Organization LLC-1011.

The SCC needs the following:

• Business name
• Registered agent’s name and address
• Business address
• Organizer’s details

📝 Filing Options:

• Online: CIS Portal
• Mail: SCC P.O. Box 1197 Richmond VA 23218
• In-Person: SCC Clerk’s Office, Richmond

💰 Filing Charge: $100 (one and only)

⏱️ Processing Duration:

• Online: 1-3 business days
• Mail: 7-10 business days

You’ll receive a Certificate of Organization, showing your LLC is legally set up after the approval is done.

Step 4: Draft an Operating Agreement

In Virginia, it is not mandated by law to have an Operating Agreement, but it is highly beneficial. It details:

• Business structure
• Profit-sharing rules
• Voting rights
• Roles and responsibilities of each member
• Procedures for adding/removing members

This document is critical for multi-member LLCs to resolve any disputes that may arise later on.

Single-member LLCs helps in reinforcing the limited liability protection, arms with easier dealings with banks, and compliance wrap-ups.

📌 Bizstartz can provide you with a customizable, attorney-drafted Operating Agreement template.

Step 5: Obtain EIN (Employer Identification Number)

The IRS issues an EIN as a 9-digit number that identifies your business for tax purposes. It’s similar to how a Social Security Number functions for individuals.

You need an EIN to:

• Open a U.S. business bank account
• File federal and state taxes
• Hire employees
• EIN Application Methods

U.S. Citizens & Residents: Apply free on IRS.gov

Non-Residents: File Form SS-4 via fax or mail. Processing time is 4-6 weeks.

📌 Global founders can get an EIN without an SSN through Bizstartz.

Step 6: Register for Virginia State Taxes (If Needed)

Depending on your business activities, your LLC might need to register with the Virginia Department of Taxation. You need to register if you:

• Sell physical goods (sales tax obligation)
• Have employees in Virginia (withholding tax)
• Elect corporate taxation

🖥️ Registration is possible through the VATAX portal.

Step 7: Apply for Local Business Licenses and Permits

Although Virginia does not have a state-level general business license, several localities have their own licensing criteria. We have listed the cases in which you may need a business license:

If you are:

• Setting up a physical storefront or office.
• Operating within regulated industries such as food, construction, childcare, and health services.
• Business activities in certain counties and cities.

For assistance, you may contact the local county / city clerk office, or reach out to Bizstartz.

Step 8: Set Up a U.S. Business Bank Account

In order to sustain your LLC’s legal protection, you must separate your business and personal finances.

To open a business bank account in the U.S., you will need to provide the following:

• Certificate of Organization
• EIN
• Operating Agreement
• Valid Passport (non-U.S. residents)
• A business address in the U.S. (optional for some banks)

Bizstartz enables international founders to open U.S. business bank accounts online without visiting the states.

Step 9: Comply With Annual Requirements

In order to have your Virginia LLC actively registered, you will need to comply with ongoing annual maintenance.

The Virginia LLC’s annual reporting requirements state the following:

📅 Annual Report

The report has to be submitted by the last day of the month which marks a year since the formation of the LLC.

• Submitted via SCC Online’s Gateway
• Submission Fee: $50

Other Compliance Concerns:

• Ensure your registered agent is current.
• Review and renew business licenses
• File federal and state taxes correctly

Could lose your LLC if you do not comply.

🌍 Creating a Virginia LLC for foreign citizens

Virginia is one of the easiest states to set up a business for foreign non-residents. One can set up and own an LLC in Virginia without being a U.S. citizen or a visa holder.

As a non-resident foreigner, you can:

• Establish a LLC with foreign ownership fully
• Manage the company from any other country
• Apply for an EIN from outside the country
• Establish a bank account in the U.S.
• Access American clients and services, marketplaces and payment processors like Stripe, PayPal, Amazon, etc.

📌We assist founders and non-residents with US compliance, banking, taxation, and LLC setups.***

📋 Quick Summary Table

🚀 Start Your Virginia LLC with Bizstartz

Creating an LLC in Virginia is one of the best decisions you can take to ensure your business is legal, credible, and positioned for growth in the United States. Bizstartz offers a streamlined, swift, and compliant approach to supporting entrepreneurs from anywhere in the world.

Our Services Include:

• Formation of LLC in Virginia
• Applying for an EIN without an SSN
• Registered Agent Services
• Drafting of the Operating agreement
• BOI Filing
• Opening a U.S. bank account
• Tax and bookkeeping advice
• Guided tax and bookkeeping services

📞 Looking to establish your LLC in Virginia

Get LLC Bizstartz for additional guidance and book a consultation