How is an LLC Formed?
An LLC is formed when it is recognized as its own separate person under state law. Each state has its own set of LLC laws and its own requirements for forming an LLC. Basically, an LLC is formed when certain statutory papers containing required information is filed and processed with a State and the State issues an official formation document. The processing time varies with each state but in most states, once the processing is completed the LLC has a formation date of the initial date the filing was submitted. This is not always the case so check with your specific state. In Virginia, for example, the LLC has a formation date of when the processing is completed. In any event, it is advised you not conduct any business activity until the LLC has been completely formed as this best protects your liability risk.
