How to Set Up an LLC (Fast & Cheap)

Thinking of starting a business? You’ve probably heard you need an LLC.

✅ It makes you look legit.
✅ It protects your personal assets.
✅ It unlocks business bank accounts, credit, write-offs.
✅ It unlocks large tax returns

But here’s the catch: most people overcomplicate or overpay for what should take less than an hour to set up.

This guide breaks down the two paths—manual (cheapest) and paid (easiest)—plus a pro tip that gets you the best of both worlds.

Want the Click-by-Click Guide on how to setup your business: CLICK HERE?

First, What Is an LLC (and Do You Need One)?

LLC = Limited Liability Company. It’s a legal wrapper around your business that separates your personal life (your car, house, savings) from business risks (lawsuits, unpaid invoices, etc.).

You should set up an LLC if:

  • You’re making or planning to make money

  • You want to protect your personal assets

  • You want to open a business bank account

  • You want access to business credit

 

Two Ways to Set Up Your LLC

 

Option 1: Manual Setup (Cheapest Way)

Steps:

  1. Go to your state’s business portal
     → Search “Your State + file LLC online”
     → In Michigan: Michigan LARA Website

  2. File Articles of Organization
     → Usually costs $50–$200 depending on the state
     → Takes about 15–30 minutes

  3. Get an EIN (Employer Identification Number)
     → Go to irs.gov EIN portal
     → Takes 10 minutes. Totally free.

  4. Save your documents and info
     → Store in Google Drive or Notion for safekeeping

Typical Cost:

  • State filing: $50–$200

  • EIN: $0

  • Total: ~$50–$200

Best For:
 People who are tech-savvy, detail-oriented, and want to save money.

 

Option 2: Use a Filing Service (Fastest & Easiest)

These services do everything for you—LLC formation, EIN registration, and often include registered agent service and cloud storage.

Top Options:

Service

Formation Cost

Renewal (Registered Agent)

Bonus Features

Northwest

$39 + state fee

$125/year

Clean UI, privacy focus

Bizee (formerly Incfile)

$0 + state fee

$119/year

Free basic LLC, upsells add up

LegalZoom

$199 + state fee

$299/year

Known brand, more upselling

ZenBusiness

$199 + state fee

$199/year

Compliance tools, great for beginners

Typical Cost:

  • Formation: $39–$299 + state fee

  • Yearly Registered Agent: $119–$299

  • Total Year 1: $89–$500+

Best For:
 Busy people, first-timers, or those who want peace of mind and done-for-you support.

 

Pro Tip: Combine Both for Maximum Value

Here’s the smart move:

  1. Use a filing service to quickly form your LLC and get everything stored in one place. Use the entry level option that they offer

  2. Get the EIN Number yourself to save on a very common upsell - this takes 5-10 minutes of your time. 

  3. Then manage everything else manually (like your annual filings, address updates, etc.) through your state portal to save money.

This gives you:

  • A clean setup

  • Digital records using the filing service portal

  • No future overpaying for things you can do yourself

 

Quick Setup Tutorial

Manual Setup (DIY)

  1. Google “File LLC in [Your State]” → Click official .gov site

  2. Create account → File “Articles of Organization”

  3. Pay fee → Save your confirmation

  4. Visit IRS EIN Portal → Apply for EIN

  5. Save docs to a Google Drive folder

Time: 30–60 minutes
Cost: $50–$200

 

Paid Service Setup

  1. Go to:

  2. Fill out business info

  3. Choose the standard level of service (usually the middle tier that gets you the EIN)

  4. Pay fee → Receive confirmation + EIN

  5. Login anytime to retrieve docs

Time: 10–20 minutes

Cost: $39–$299 + state fee

 

 

Hybrid Method

  1. Go to:

  2. Fill out business info

  3. Choose the basic level of service (does not include the EIN)

  4. Pay fee → Receive confirmation

  5. Visit IRS EIN Portal → Apply for EIN

  6. Save EIN and business documents to Google Drive 

  7. Login to the portal anytime to retrieve corporate documents (minus the EIN which is saved on your Google Drive)

Time: 20–40 minutes

Cost: $50 + state fee


 

Final Word: Don’t Let Setup Slow You Down

Forming your LLC shouldn’t take more than an hour. Whether you do it manually to save cash or pay a service to handle the busywork, the real value comes from taking action and building your business.

 Just get started. Your future business deserves a real foundation.