Alex Denne
Growth @ Genie AI | Introduction to Contracts @ UCL Faculty of Laws | Serial Founder

Creating Articles of Organization

23 Mar 2023
28 min
Text Link

Note: Want to skip the guide and go straight to the free templates? No problem - scroll to the bottom.
Also note: This is not legal advice.

Introduction

Creating Articles of Organization is an integral step for any business that desires to become recognized as a legal entity. This set of documents outlines the purpose, structure and organization of the enterprise, forming a key part of the framework needed to register and benefit from operating as a business entity.

At Genie AI, we understand how essential these Articles are in providing legal protection for business owners, whilst enabling potential customers, creditors and other interested parties to gain a clear understanding of the company’s purpose and obligations. The document also limits personal liability for those operating the business and defines rights and responsibilities for those involved in running it.

By working through the process with Genie AI’s open source legal template library – millions of datapoints teaching our AI what a market-standard Articles look like – anyone can draft and customize high quality documents at no cost. That’s why we provide free articles of organization templates without requiring an account – we just want to help.

In conclusion, it is imperative that all businesses create Articles of Organization in order to function lawfully, efficiently and effectively. For more information on how you can access Genie AI’s template library today for free, read on below for our step-by-step guidance.

Definitions (feel free to skip)

LLC (Limited Liability Company): A business structure that limits the liability of the owners for any debts or obligations the business incurs.

Corporation: A business structure that is separate from its owners and treated as a legal entity.

Registered Agent: A person or entity designated to receive legal notices and official documents on behalf of the business.

Articles of Organization: A legal document that establishes a business entity and must be written according to the laws and regulations of the state where the business is located.

Employer Identification Number (EIN): A unique nine-digit number assigned to a business by the Internal Revenue Service (IRS) for tax filing and reporting purposes.

General Liability Insurance: A type of business insurance that covers claims related to property damage, bodily injury, and other losses that may occur in the course of operating a business.

Contents

  • Determine the type of business entity you would like to form (e.g. LLC, partnership, etc.)
  • Choose a registered agent and registered office in the state where the business will be established
  • Prepare the Articles of Organization according to the state’s regulations
  • Determine the management structure of the business (e.g. members, managers, directors)
  • Draft the necessary documents to establish the business, such as a business plan or partnership agreement
  • Submit the Articles of Organization to the appropriate government agency
  • Obtain additional business licenses, permits, or registrations required by the state
  • Notify the IRS of your business formation by filing Form SS-4
  • Maintain accurate records of your business activities, such as financial transactions, customer invoices, and employee records
  • File any required annual reports and tax returns with the appropriate government agencies
  • Open a business bank account and obtain a business credit card
  • Develop a marketing plan to reach potential customers
  • Purchase any necessary business insurance
  • Develop an employee handbook to set expectations and policies
  • Hire any necessary employees and independent contractors

Get started

Determine the type of business entity you would like to form (e.g. LLC, partnership, etc.)

  • Research the different types of business entities and determine which type is best for your business
  • Consider the pros and cons of each type of business entity and decide which type best fits your business needs
  • Consult with a business attorney to learn about the legal ramifications of forming a certain type of business entity
  • When you have determined the type of business entity you would like to form, you have completed this step and can move on to the next step.

Choose a registered agent and registered office in the state where the business will be established

  • Find a registered agent in the state that the business will be established in
  • Ensure the registered agent is legally allowed to do business in the state
  • Make sure the registered office is within the state
  • Update your Articles of Organization with the registered agent and registered office information
  • File the Articles of Organization with the state
  • Once the filing is accepted, you can move on to the next step in the process of forming your business entity.

Prepare the Articles of Organization according to the state’s regulations

  • Read the specific state regulations for forming an LLC in order to understand the requirements for the Articles of Organization
  • Draft the Articles of Organization with the information required by the state regulations, such as the name of the LLC, the purpose of the LLC, the names and addresses of the members, the registered agent, and the registered office
  • Make sure to include any other information that is required by the state regulations
  • When the Articles of Organization are complete, submit them to the state for review and approval
  • When the Articles of Organization are approved by the state, you will receive a notice of approval which you can use to check off this step and move onto the next step.

Determine the management structure of the business (e.g. members, managers, directors)

  • Research the type of management structure that is appropriate for your business and the regulations that must be followed in your state.
  • Identify the roles and responsibilities for each position, such as members, managers, and directors.
  • Decide who will fill each role and if any roles will be left vacant.
  • When complete, you should have a clear understanding of the management structure of the business.

Draft the necessary documents to establish the business, such as a business plan or partnership agreement

  • Research the legal requirements for your business to determine what documents you will need to create.
  • Create a business plan that outlines the purpose of the business, the business structure, the management and ownership structure, and any other relevant information.
  • Draft any other documents required for the business, such as a partnership agreement if the business is a partnership.
  • Make sure all documents are legally binding and properly executed.
  • Have the documents reviewed by a lawyer or accountant to ensure that they are properly worded and in compliance with state and federal laws.

Once you have drafted all the necessary documents to establish the business, you can check this step off your list and move on to submitting the Articles of Organization to the appropriate government agency.

Submit the Articles of Organization to the appropriate government agency

  • Gather the relevant documents as well as the applicable filing fees
  • Submit the Articles of Organization to the appropriate government agency, such as the Secretary of State or the state’s Department of Business Services
  • Once your Articles of Organization have been accepted and processed, you will receive an official stamped copy as proof of filing
  • You will also receive a certificate of existence or good standing
  • You can check this off your list and move on to obtaining additional business licenses, permits, or registrations required by the state once you have successfully submitted the Articles of Organization and received the official stamped copy and certificate.

Obtain additional business licenses, permits, or registrations required by the state

  • Research and identify the licenses, permits, and registrations required by the state for your business.
  • Contact the appropriate government agency to request the necessary licenses, permits, and registrations.
  • Submit the necessary forms, paperwork, and fees to obtain the additional business licenses, permits, or registrations.
  • When you receive the licenses, permits, and registrations, keep them in a safe place.
  • You can check this off your list when you receive all the necessary licenses, permits, and registrations.

Notify the IRS of your business formation by filing Form SS-4

  • Gather the necessary information - business name, address, employer identification number (EIN), and other relevant information
  • Go to the IRS website and locate Form SS-4
  • Complete the form and submit it to the IRS
  • Receive a confirmation from the IRS that your business is registered
  • Once you receive the confirmation, you can check off this step and move on to the next step in the guide.

Maintain accurate records of your business activities, such as financial transactions, customer invoices, and employee records

  • Set up a filing system for all documents related to your business activities
  • Keep track of all financial transactions, invoices, and employee records
  • Store all documents securely and in a safe place
  • Ensure that you have backup copies of all important documents
  • Check with your state or local government to find out if any additional record-keeping requirements apply
  • You can check this off your list when you have put in place a filing system for all documents related to your business activities and have secured all records and documents.

File any required annual reports and tax returns with the appropriate government agencies

  • Determine which government agencies require annual reports and tax returns. This may vary by state, so make sure to do your research.
  • Gather the necessary documents and forms that are required for the annual reports and tax returns.
  • Fill out the forms and compile the documents for the annual reports and tax returns.
  • Submit the forms and documents to the appropriate government agencies.
  • Pay any applicable fees associated with filing the documents and forms.
  • Monitor the progress of the filing and make sure it is completed as required.

How you’ll know when you can check this off your list and move on to the next step:

  • Once the forms and documents have been submitted and the applicable fees have been paid, you can be reasonably sure that the filing has been completed and you can move on to the next step.

Open a business bank account and obtain a business credit card

  • Research your banking options, such as fees and minimum deposits, to find the best option to meet your needs
  • Visit the bank in person and bring the Articles of Organization, your EIN, and any other necessary documents
  • Fill out the application to open a business account and obtain a business credit card
  • Make sure to keep the account details, such as the account number and login information, in a secure place
  • You can check this step off your list once you have opened the business account and obtained the business credit card.

Develop a marketing plan to reach potential customers

  • Research the target market for your business and develop a plan for how to reach them
  • Decide on what type of marketing will be used (e.g. TV, radio, print, digital) and consider a budget for each
  • Make sure to define objectives for each campaign and measure the success of each
  • Outline the channels you will use to reach your target audience (e.g. social media, email marketing, etc.)
  • Consider what type of content will be most effective to reach your target customers
  • When you have an outlined plan with all necessary elements, you can check this off your list and move on to the next step.

Purchase any necessary business insurance

  • Research and compare the different types of business insurance available, such as liability, property, and workers’ compensation insurance
  • Evaluate the coverage and costs associated with each type of insurance
  • Depending on the type of business, consider purchasing additional coverage such as product liability, professional liability, or cyber insurance
  • Contact a licensed insurance agent to discuss the coverage needs for your business
  • Once you have identified the appropriate coverage, purchase the necessary insurance for your business
  • Once you have purchased the insurance, keep a copy of the policy and proof of payment in a secure location

How you’ll know when you can check this off your list and move on to the next step:

  • Once you have purchased the necessary coverage, you can move on to the next step of developing an employee handbook to set expectations and policies.

Develop an employee handbook to set expectations and policies

  • Determine what employee policies you want to include in the handbook
  • Write or have a lawyer draft the handbook
  • Ensure the handbook is in compliance with federal, state and local regulations
  • Have the handbook reviewed by a lawyer
  • Have employees sign an acknowledgment that they have read the handbook
  • Make sure to keep a copy of the signed acknowledgment for your records
  • Distribute the handbook to employees

When you can check this step off your list and move on to the next step:

  • When all employees have read, signed and returned the acknowledgment
  • When the handbook is in compliance with all necessary regulations
  • When the handbook has been reviewed by a lawyer

Hire any necessary employees and independent contractors

  • Create job descriptions for each role and determine the qualifications needed
  • Post the job openings on job boards and other hiring platforms
  • Review resumes and applications
  • Conduct interviews
  • Make a decision and send offers to chosen candidates
  • Have each employee fill out the necessary paperwork, such as tax forms and I-9 forms
  • Have independent contractors sign contracts
  • Confirm that all new hires have completed their paperwork and signed their contracts

When you have successfully hired any necessary employees and independent contractors, you can check this step off your list and move on to the next step.

FAQ:

Q: What is the difference in creating an Articles of Organization in the UK, USA, and EU?

Asked by Charlie on March 24th 2022.
A: The process of creating an Articles of Organization will vary slightly depending on which jurisdiction you are operating in. In the UK, the Articles of Organization are created as part of the incorporation process, and the rules around their content and structure are specified in the Companies Act 2006. In the USA, Articles of Organization may also be required when forming a corporation or limited liability company (LLC). These documents must be filed with the Secretary of State and must include certain information such as the company name, purpose, registered agent, and registered office address. In the EU, each country has its own rules governing the creation of Articles of Organization. Generally, these documents must include detailed information about the company’s purpose, structure, and capital requirements.

Q: Is an Articles of Organization necessary for a SaaS business?

Asked by Jessica on August 8th 2022.
A: An Articles of Organization is not strictly necessary for a SaaS business; however, it can be a helpful tool for protecting both your company and your customers. By clearly setting out the terms and conditions by which your customers will access your services, an Articles of Organization can help to ensure that your customers understand their rights and obligations. Additionally, having a written document can help to provide clarity for any disputes that may arise between your business and its customers.

Q: How do I register my Articles of Organization?

Asked by Noah on April 18th 2022.
A: Once you have drafted your Articles of Organization, you will need to register them with the relevant authorities in order to make them legally binding. This process will vary depending on your jurisdiction; in some countries you may need to submit your documents to a government registry or filing office, while in other countries it may be possible to register them online or through a private service provider. Once you have submitted your documents for registration, you should receive confirmation that they have been accepted and are legally valid.

Q: Are there any additional documents I need to submit when creating an Articles of Organization?

Asked by Emma on June 10th 2022.
A: Depending on your jurisdiction, there may be additional documents that need to be submitted alongside an Articles of Organization when registering them with the relevant authorities. For example, in some countries it is necessary to submit a notarized copy of the document alongside other required documents such as proof of identity or business registration papers. Additionally, if you are forming a limited liability company (LLC), you may need to file additional documents such as operating agreements or share certificates with the relevant government body.

Q: What information should I include in my Articles of Organization?

Asked by Liam on January 15th 2022.
A: The information that needs to be included in an Articles of Organization will vary depending on your jurisdiction; however, generally speaking it should include details such as the company name, purpose, registered agent and registered office address. Additionally, it should outline information about ownership structure (if applicable), capital requirements and voting rights. It is also important to ensure that all relevant legal terms and conditions are included in order to protect both your company and its customers from any potential disputes or misunderstandings.

Q: What are the implications if I don’t create an Articles of Organization?

Asked by Ava on November 22nd 2022.
A: If you choose not to create an Articles of Organization for your business or organization then there may be legal repercussions depending on your jurisdiction; however, generally speaking it is best practice to create one as it provides clarity around rights and obligations both for yourself as owner/founder/director and for any customers accessing your services or products. Having a written document outlining these terms can help to protect both parties from any potential misunderstandings or disputes that may arise in future.

Q: What is the difference between an LLC’s articles of organization and its operating agreement?

Asked by Mason on February 26th 2022.
A: An LLC’s articles of organization are filed with state authorities when forming an LLC; these documents set out basic information about the company such as its purpose and ownership structure (if applicable). An LLC’s operating agreement is a more detailed document which outlines how the LLC will be managed; this document typically sets out rules around voting rights, capital contributions, profit sharing arrangements etc., as well as detailing any other relevant information relating to how the LLC will operate from day-to-day.

Q: Can I make changes to my Articles of Organization after they have been filed?

Asked by Olivia on July 1st 2022.
A: Depending on which jurisdiction you are operating in it may be possible to make changes or amendments to an Articles of Organization after they have been filed; however this process can vary between countries so it is best practice to check with local authorities before making any changes to ensure that you remain compliant with all relevant laws and regulations. Generally speaking though amendments can often be made without needing to file an entirely new document with authorities; instead changes can usually just be added onto existing versions which have already been filed.

Q: Are there any specific requirements for different industries when creating an Articles of Organization?

Asked by Abigail on October 12th 2022.
A: Depending on which industry you are operating in there may be certain requirements that need to be included within an Articles of Organization; for example businesses in certain sectors such as banking or finance may need to include details about capital adequacy requirements or risk management controls within their documents. It is always best practice to check with local authorities before filing any documents so that you remain compliant with all applicable regulations and laws within your jurisdiction; this will ensure that there are no issues when trying to register your Articles of Organization with relevant authorities later down the line.

Q: Are there any restrictions regarding who can author an Article’s Of Organisation? Asked by Brandon on May 5th 2022.

A: Generally speaking anyone can author an Article’s Of Organisation; however it is important that whoever drafts these documents has a thorough understanding of both legal requirements within their jurisdiction as well as any specific requirements related to their industry or sector (e.g., banking or finance). Additionally it is usually beneficial if someone who has experience in running similar businesses or organisations also contributes towards drafting these documents; this will help ensure that all relevant points are taken into account when writing up these agreements so that they remain legally compliant at all times.

Q: Are there any additional steps I need take after filing my Article’s Of Organisation? Asked by Isabella on August 29th 2022.

A: After filing an Article’s Of Organisation with relevant authorities there may be some additional steps required depending on your particular circumstances; for example if you are forming a limited liability company (LLC) then you may need to file additional documents such as operating agreements or share certificates with state authorities at a later date in order for them to become legally valid. Other steps might involve setting up accounts with banks or insurance companies related specifically to your business activity; generally speaking though it is best practice to check with local authorities before taking any further action so that you remain compliant with all applicable laws within your jurisdiction at all times.

Example dispute

Lawsuits referencing Articles of Organization

  • A plaintiff may raise a lawsuit referencing Articles of Organization if they believe the company has violated their rights in some way.
  • This could include claims of fraud, breach of contract, negligence, or any other legal claim which is supported by the Articles of Organization.
  • The plaintiff must prove that the Articles of Organization were violated and that they suffered losses or damages as a result.
  • The plaintiff may also seek damages to be awarded, such as reimbursement for lost wages, medical costs, and pain and suffering.
  • Settlement may be reached through negotiation or mediation, or the plaintiff may seek a court verdict.
  • If damages are awarded, a court may order the defendant to pay the plaintiff a specified amount, which may include punitive damages.

Templates available (free to use)

Articles Of Amendment Of Articles Of Organization Massachusetts
Articles Of Organization And Initial Report Louisiana
Articles Of Organization Arizona
Articles Of Organization Florida
Articles Of Organization Georgia
Articles Of Organization Maryland
Articles Of Organization Massachusetts
Articles Of Organization Michigan
Articles Of Organization Minnesota
Articles Of Organization Missouri
Articles Of Organization New York
Articles Of Organization North Carolina
Articles Of Organization Oregon
Articles Of Organization Professional Service Llc New York
Articles Of Organization Tennessee
Articles Of Organization Virginia
Certificate Of Amendment Of The Articles Of Organization New York

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