The 2026 American LLC
Compliance Index.

Effective 2024, the Corporate Transparency Act requires almost all new LLCs to file a Beneficial Ownership Information (BOI) report with the U.S. Department of Treasury (FinCEN). This must be filed within 90 days of formation (for 2024 companies) or 30 days (for 2025+ companies). Failure to file carries civil penalties of up to $500 per day. This is a federal requirement separate from your state filings.

Yes, legally you can serve as your own Registered Agent in all 50 states. However, your address will be listed on the public state database, accessible to marketers and anyone searching for you. Additionally, you must be physically present at that address during all normal business hours to accept service of process (lawsuits). If you value privacy or travel often, a professional service (~$100/yr) is recommended.

Yes. If you fail to file your Annual Report or pay your Franchise Tax, the state will place your LLC into 'Bad Standing.' If left unresolved, the state will 'Administrative Dissolve' your company. This removes your liability protection, meaning you could be personally sued for business debts incurred during that time.

Yes, practically speaking. While single-member LLCs with no employees technically can use the owner's Social Security Number (SSN), most banks require an EIN to open a business bank account. Using an EIN also helps prevent identity theft by keeping your SSN off vendor forms.

Yes. California imposes an $800 minimum annual Franchise Tax on all LLCs doing business in the state, regardless of revenue. For your first tax year, this fee is currently waived for new LLCs (until 2024 regulations update), but you must pay it every year thereafter to the Franchise Tax Board.