---
title: What are the legal steps for starting and registering a new business in Illinois?
description: Looking to start a new business in Illinois? Legal Faqs shares the legal steps you need to take to register your company properly. Learn about the legal requirements to ensure your business is compliant with state law.
image: https://www.legalfaq.ai/hubfs/LegalFAQ/illinois-legal-faqs.jpg
---

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 March 31, 2023

# What are the legal steps for starting and registering a new business in Illinois?

![Picture of Chris Battis](https://www.legalfaq.ai/hs-fs/hubfs/battis-mug.jpg?width=50&name=battis-mug.jpg) By  [Chris Battis](https://www.legalfaq.ai/faqs/author/chris-battis)  ·   1 minute read

## To start and register a new business in Illinois, there are several legal steps that must be followed.

1. **Choose a business structure:** The first step is to select the right legal structure for your business. You can either form a sole proprietorship, partnership, limited liability company (LLC), corporation or a cooperative. The type of business you choose will have a significant impact on personal liability, taxation, and ownership structure.
2. **Choose a name:** Your chosen name must be unique and distinguishable from any other business in the state. You can check if your desired name has already been taken by searching the Illinois Secretary of State’s business name database.
3. **Register your business:** You will need to register your business with the Illinois Secretary of State by filing Articles of Incorporation, Articles of Organization or a Certificate of Limited Partnership as applicable.
4. **Obtain necessary licenses and permits:** Depending on the industry of your business, you may need to obtain various licenses and permits such as sales tax permits from the Illinois Department of Revenue, permits from the Department of Business Affairs and Consumer Protection, etc.
5. **Register for taxes:** New businesses are required to register for federal and state taxes, Social Security tax, Medicare tax, and federal unemployment tax.
6. **Register for workers' compensation insurance:** Illinois requires all businesses with employees to obtain workers' compensation insurance.
7. **Create relevant legal documents:** As a new business owner, it is important to create legal documents for your business, such as a partnership agreement, LLC operating agreement, bylaws, and contracts.

It is important to note that there may be additional steps and requirements depending on the specific industry and location of your business. It is recommended to consult with a licensed attorney to ensure all legal requirements are met.

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