The LLC Annual Report is something that you must file after forming an LLC. Most states will send you a reminder to file your Annual Report prior to the deadline. Not all states require an LLC annual report but if you formed your LLC in Delaware you will need to file an annual report and pay the fee associated with it to stay in good standing with the state.
What is an LLC Annual Report?
Each year there is a requirement for an LLC to file an annual report. This filing includes all the details of a company’s activities throughout the entirety of the year. The importance of the annual report is huge.
Essentially, the purpose of the Annual Report is to keep your LLC in compliance. If you fail to file your Annual Report, then your LLC will automatically be shut down by the state in which it is formed.
These reports are created to give state governing authorities more information regarding all of the names and addresses of those who encompass an LLC. This includes the directors, managing members as well as company and registered agent address.
Delaware LLC Annual Report Fee
Delaware’s Annual Report is due by February 15 every year except the initial year your LLC was formed. The Delaware LLC annual report fee is $25, $50 if you are late filing after February 15. All you need to pay the fee is the $25 and your LLC State ID number.
Information Included in the Annual Report
Company Address
This should be the legal head office address of the company.
Members and Managers
In an LLC, the “members” are the owners of the company. The Annual Report should include the names and addresses of all the managers as well as members of the business.
Purpose of Business
Whether your business invests in real estate or creates cat toys, you must declare the purpose of why you do business.
Business ID Numbers
These are any and all identification numbers for your business, including State ID.
Shares Issued
You must state how many members exist in the business. This includes if you have any shares of stock issued by the business.
Registered Agents
If you choose to have someone other than the members (owners) as the registered agent, then you will need to declare this. Be sure to recognize any authorized signatories and registered agents.
How to File a Delaware LLC Annual Report
There are two methods by which you can file an annual report in Delaware, online or by mail. In Delaware, your Annual Report will be due by February 15 each year, while in other states you may only need to file every two years.
By Mail
Filing by mail means you will need to either write in your answers to the report in blue or black ink. You can also fill it out digitally and then print it out. Be sure to make one copy for your records before sending out the other copy to the state. You will need to include your annual fee with your report.
Online
If you decide to file online, then you will do everything on the Delaware state website. You can pay the filing fee with a debit or credit card, and send it off. This seems to be the simplest option with less room for error.
Where to Find the Annual Report
You can find the Annual Report on the Delaware Secretary of State Office, through the Delaware Corporations, Securities & Commercial Licensing Bureau.
Annual Report Cost
Filing fees vary when it comes to annual reports. This can range anywhere from $9 per year up to $800 per year depending on the state. In Delaware the LLC filing fee is $50, while the annual fee is $25 payable on February 15 to the Delaware Department, using the LARA form.
What Happens if you Don’t File an Annual Report?
If you fail to report annually in Delaware the first consequence is a late fee of $50. You should be given a few reminders to pay this fee. If you continue to ignore this, then your LLC will be dissolved. This means that you will no longer have an LLC in the state of Delaware, and you will need to start over and re-file should you hope to continue business under an LLC. Be sure to continue to file your annual report and pay your annual filing fee should you hope to continue business.