How To Register a Business in California—Quick Guide
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All entities in California, including LLCs, corporations, and nonprofits, must register their business with the Secretary of State and the city they’re located in.
To help you understand the requirements and procedures involved, we’ve created a quick guide that outlines how to register a business in California. As a bonus, we’ll introduce Harbor Compliance, a reliable service provider that can streamline the process.
Prerequisites for California Business Registration
Before you register a firm in California, there are a few requirements you need to fulfill, such as selecting a business name and filing for a fictitious business name (if needed). Here are the key steps you need to complete:
- Appoint a registered agent
- Choose a business structure
- Name your business
Appoint a Registered Agent
When registering a business, you are required to appoint a registered agent. The registered agent acts as the official point of contact for receiving legal documents, tax notices, and other important government communications on behalf of the business.
Your agent must have a physical address in California (no P.O. Boxes) and be available during normal business hours. This is a requirement for corporations, LLCs, and certain other types of businesses operating in California. The registered agent can be an individual or a professional service specializing in providing registered agent services, such as Harbor Compliance.
Choose a Business Structure
If you have complete ownership and control over your business and don’t qualify for any type of business (LLC, corporation, partnership, etc.), you’re eligible to be a sole proprietor and won’t have to file with the state.
Other business types will involve varying steps while registering, such as:
- LLCs—Filing Articles of Organization
- Corporations—Filing Articles of Incorporation
- Nonprofits—Filing Articles of Incorporation
Name Your Business
If you want to operate your business under a name besides the one you used to form it, you'll have to register a fictitious business name (FBN)/doing business as (DBA) name in the jurisdictions where you'll be transacting business. However, this must be completed within the first 40 days of operating a business.
Once filed, you’ll also need to publish a statement in a local newspaper within 30 days and then file an Affidavit of Publication from the county clerk’s office. Conversely, if your business includes your entire legal name, you won’t need to file an FBN with your county/city.
It’s important to note that certain organizations are exempt from this requirement. According to the California Business and Professions Code (BPC) Section 17911, nonprofit corporations or associations, including but not limited to churches, labor unions, fraternal and charitable organizations, foundations, and similar entities, are not required to file an FBN.
How To Register a Business in California
Registering a business in California involves multiple processes and can be divided into three main parts:
- Business entity filing
- Employer registration
- State contract application
Business Entity Filing
Aside from sole proprietorships, all business types must register their company as a legal entity with the Secretary of State. California allows business owners to register in two ways:
- Online—All business entity filings can be completed online using the Secretary of State’s official portal. Here, you can also access all organizational documents that you’ll need to file depending on your business type.
- In-person/Mail—Business owners can register their entity physically by visiting the Secretary of State’s office or mailing their application. The state provides electronic copies of organizational documents that you’ll need.
Employer Registration
Your business will have to complete two basic employer registrations:
- Registration Form—Employers must register with the Employment Development Department (EDD) within 15 days of employing one or more individuals and paying wages exceeding $100 in a calendar quarter. This registration must be completed through the EDD’s online portal.
- Workers' Compensation—If you’ve employed one or more workers, you’ll need to enroll in the Workers’ Compensation Insurance program. You can find instructions for registration at the California Department of Industrial Relations (DIR).
State Contract Application
If you want to conduct business with the state, you may be eligible to apply for Disabled Veteran Business Enterprise (DVBE) and Small Business (SB) certificates. However, these certifications are not a requirement to utilize the Cal eProcure system. This system enables you to explore opportunities to sell services to the state, find procurement agreements, and connect with other certified firms.
Once you’ve formed your entity in California, the next step is getting a business license. California does not issue a statewide general business license. Hence, organizations must check with their city or county to determine specific licensing requirements for their business type and location. The CalGOLD portal enables beneficial owners to check which licenses and permits their entities require.
In addition to securing permits from their jurisdiction, businesses must file initial reports with the Secretary of State within 90 days of registering their entity. This report provides the state with important details about your business, including its principal office address and designated registered agent.
Navigating the business registration process can be tiring and time-consuming, especially if you lack experience. Making a seemingly small mistake can prolong the business formation process significantly. Luckily, you can outsource such tasks to a seasoned professional—Harbor Compliance.
Enjoy Seamless Business Formation With Harbor Compliance
At Harbor Compliance, we can help streamline the business formation process by providing expert guidance and support every step of the way. Whether you’re starting an LLC, corporation, or nonprofit, our comprehensive services ensure your business is properly set up and compliant with state and federal requirements.
Here are some of the services we offer:
- Registered Agent—Our nationwide Registered Agent service securely handles legal and government notices on your behalf, providing efficient and reliable service for businesses operating across multiple states. Powered by advanced compliance software, we ensure maximum security and efficiency.
- Business Licensing—Avoid fines, penalties, and delays by relying on our compliance experts to ensure your business has the correct licenses and permits, helping you stay compliant and operational.
- Annual Reports—Our Managed Annual Report Service ensures timely, accurate filing of your annual reports, keeping your business in good standing and saving you time throughout the year.
- Foreign Qualification—If your business operates outside its state of formation, we handle the entire foreign qualification process, obtaining the certificates of authority needed to legally transact business in other states.
Our Software Suite streamlines entity management, license tracking, tax compliance, and record-keeping through Entity Manager, License Manager, Records Manager, and Tax Manager modules, providing full visibility and automation of compliance tasks. This simplifies the often daunting process for new entrepreneurs, offering ongoing support to help manage and maintain your business structure efficiently.
How To Order Harbor Compliance’s Services
Regardless of whether your business is an LLC, corporation, or nonprofit, you can rely on Harbor Compliance for a stress-free business registration.
Follow the four easy steps below to order our Managed Annual License service:
- Visit the following links based on your business type:
- Click on the “Order Now” or “Start My Nonprofit” tab.
- Follow the prompts and submit your form.
If you want to take advantage of our award-winning Software Suite and its various modules, you should keep in mind that they’re sold separately.
Schedule a Free Demo
Here’s how to schedule a free demo to see how it works first:
- Visit the Software Suite page.
- Click on the Schedule a Demo tab.
- Choose the date and time that work best for you.
- Provide the requested information and submit the form.
Once you're done, someone from our team will contact you to schedule the demonstration.
Additional Harbor Compliance Services
Navigate the table below to access a portfolio of our most popular services:
| Service Category | Services |
|---|---|
| Business licensing support | Construction, Architecture and engineering |
| Nonprofit management | Charitable registration, 501(c) tax exemption |
| Document filing and retrieval | Certified copies, Certificate of good standing, Drop-off filing, Articles of reinstatement |
| Beneficial ownership information (BOI) reporting | BOI reporting, Records Manager |
| Tax services | Payroll tax registration, Employer Identification Number (EIN), Sales and use tax registration |
| Entity lifecycle management | DBA registration, Amendments, Name reservation, Initial and annual reports |
California Business Registration FAQs
Below, you’ll find answers to some commonly asked California business registration questions. Access our Information Center to learn more about licensing in other states.
According to the state, your entity counts as a California business if you meet any of the following four conditions:
- Your business drives the majority of its revenue from California.
- Your business has a physical office in California.
- One or more of your employees work in California.
- You frequently hold in-person client meetings in California.
If you still have doubts about whether your business meets the conditions above, you can use California’s small business support network to find a business advisor.
Yes. Unless you’re a sole proprietor, you need to register your nonprofit, LLC, or corporation as a legal entity with the Secretary of State.
Depending on your business type, you’ll have to pay varying charges. For instance, the fee for Articles of Incorporation (providing shares) is $100, while Articles of Organization cost $70.
Unlock Simplified Licensing With Harbor Compliance
If you want to do business within the state of California, you must register your entity with the Secretary of State.
For new business owners, managing the complexities of business formation and ongoing compliance can be challenging. With our formation services and proprietary software, you can delegate this workload to us. Get started with our services and schedule a free demo of our software to discover all the ways we can help you.
Once you’re set, feel free to use our FREE Harbor Compliance Score™ and view your entity’s regulatory standing with the state.
Want to learn more about business formation throughout the U.S.? Check out the table below:
