This article was originally published in Forbes.
By: Doug Bend
Business owners sometimes would like to change the full legal name of their California limited liability company (LLCs). The three most common reasons for changing the name of an LLC include: the products or services the LLC offers have changed, there has been a legal challenge to the name or the owners have thought of a better name.
There are typically 10 steps to changing the legal name of an LLC in California.
1. Member Resolutions
First, you should review your operating agreement to see what the voting requirements are to change the legal name of the LLC. Most likely you will need written resolutions that are signed by the members who own a majority ownership interest in the LLC to document that a sufficient number of the members approve of the name change.
2. Amendment To The Articles Of Organization
When you formed the LLC, you filed articles of organization with the California Secretary of State’s Office. Those articles included the full legal name of your LLC. You will now need to file an amendment to the articles to change that name.
3. Statement Of Information
Once the amendment to the articles of organization has been approved, you will need to file an updated statement of information with the California Secretary Of State’s Office. This is a one-page filing that can be submitted on the Secretary of State’s website.
4. City Business Registration Certificate
You will also have to update the city business license to change the legal name of the entity.
5. Fictitious Business Name Statement
If you are conducting business under a name other than the full legal name of the LLC, you will need to file an updated fictitious business name statement with the county.
6. Publication Of The Fictitious Business Name Statement
Once you get the endorsed fictitious business name statement back from the county, you will need to have it published in a legally adjudicated newspaper.
7. California Employment Development Office
If your LLC is running payroll for its employees, you will need to update the Employment Development Office (EDD) of the name change.
8. Seller’s Permit
If the LLC collects sales tax, you will need to update the company’s account with the California Board Of Equalization. If you have any trouble, you can call the Board Of Equalization at 1-800-400-7115 and they will walk you through the process step-by-step.
9. IRS
You will need to work with your CPA to update the IRS of the LLC’s new legal name.
10. Vendors
Lastly, you will need to update all of the LLC’s third-party vendors. For example, you will need to update the LLC’s bank account and insurance policies to include the new legal name of the LLC.
You should consult with your attorney as your LLC might have different requirements, but this checklist is a good starting point for strategizing on how to change the legal name of your company. As you can see, numerous government agencies and vendors would need to be updated and so you should make sure that the new name is one you love much more than your LLC’s current name.
Disclaimer: This article discusses general legal issues, but it does not constitute legal advice in any respect. No reader should act or refrain from acting on the basis of any information presented herein without seeking the advice of counsel in the relevant jurisdiction. Bend Law Group, PC expressly disclaims all liability in respect of any actions taken or not taken based on any contents of this article.