Starting an LLC in Colorado feels a little like stepping into wide-open terrain. There’s room to build, space to grow, and a clear set of steps that help you move forward confidently. Colorado makes the process approachable, so you can focus on shaping your business rather than getting stuck on paperwork.
This guide simplifies each part of the process so you know exactly what to do next. You’ll get a clear look at the requirements, the filings you need to prepare, and the steps involved in registering your Colorado LLC. Once you understand how everything works, moving from idea to official business becomes much more manageable.
Related: LLC or LLP
How to start an LLC in Colorado in 5 steps
To open an LLC in Colorado, you need to choose a name, appoint a registered agent, file the Articles of Organization, create an operating agreement, and get an EIN. The process is clear and can usually be completed in a few business days if you file online through the Colorado Secretary of State.
If this is your first time starting a business, you may want to review the role of an LLC organizer and explore the different types of LLCs. Once you’re ready to take action, you can set up your LLC for free with GoDaddy.
Choose a name for your LLC
The first step to forming a business in Colorado is to choose a name for your LLC. Your business name plays a big role in how customers perceive your brand, so it needs to stand out while following state rules. The Colorado Secretary of State requires that your LLC name:
- Includes “Limited Liability Company,” “Ltd. Liability Company,” or an abbreviation like “LLC” or “L.L.C.”
- Is distinguishable from all other businesses registered in Colorado
- Avoids words implying it is a government agency
- Avoids restricted terms like “bank,” “credit union,” or “insurance” unless you have authorization
After landing on a name, search the Colorado Secretary of State’s business name database to confirm that it’s available. You can reserve a name for 120 days for $25 if you want to secure it before officially registering.
Get your business domain name
Once you’ve selected your LLC name, secure your matching domain to strengthen your online presence. This helps customers find you easily and supports brand consistency for your Colorado LLC. Need help choosing the right one? Buy a domain name from GoDaddy in minutes.
Get a DBA
A DBA, or “Doing Business As,” allows your Colorado LLC to operate under a different name from your legal LLC name. In Colorado, this is commonly called a Trade Name. For example, “Front Range Outfitters LLC” could file a Trade Name to operate as “FR Gear.” Trade Names are filed with the Colorado Secretary of State for $20. You can learn more on what is a DBA and how it can support your branding strategy here.
Appoint a registered agent
Every LLC in Colorado must have a registered agent to receive legal notices and official correspondence. Your registered agent keeps your Colorado LLC in good standing by ensuring you don't miss important communications. They must:
- Have a physical street address in Colorado
- Be available during regular business hours
You can serve as your own registered agent, appoint another individual, or hire a professional service. Many business owners choose a professional service for added reliability. Read this separate article on registered agents and their responsibilities for more information.
File Articles of Organization
To officially form your LLC, file Articles of Organization with the Colorado Secretary of State. All filings are submitted online. You’ll need to provide:
- Your LLC’s name and principal office address
- Your registered agent’s name and address
- The name and address of the organizer
- Management structure (member-managed or manager-managed)
The filing fee is $50. The state typically processes filings immediately, so your registration is completed as soon as your form is approved.
Create an operating agreement
Colorado does not require an operating agreement, but it’s strongly recommended for all LLCs. This document outlines how your business will function, protects your limited liability status, and helps prevent disputes among members. Even single-member LLCs benefit from having an operating agreement, as it reinforces your business’s structure and credibility. Some banks and lenders also request an operating agreement before opening accounts or issuing loans.
Your LLC operating agreement should outline:
- Roles and responsibilities of members and managers
- Ownership percentages
- Rules for distributing profits and losses
- Voting rights and decision-making processes
- Procedures for adding or removing members
- Meeting requirements and recordkeeping expectations
- Steps for dissolving the LLC
Get an EIN
An Employer Identification Number (EIN) is a federal tax ID issued by the IRS. Your Colorado LLC will need an EIN to:
- File federal taxes
- Hire employees
- Open a business bank account
- Apply for licenses or permits
You can apply for an EIN through the IRS website. If you’re not sure which tax IDs your business needs, check out this guide to learn the difference between TIN and EIN.
How long does it take to get an EIN?
Online applications are processed immediately. Fax or mail applications typically take several weeks.
How much does an EIN cost?
An EIN is completely free. There are no filing, processing, or renewal fees.
How much does it cost to start and run an LLC in Colorado
Starting and maintaining a Colorado LLC is generally straightforward and affordable. Here’s what you can expect to pay:
- Articles of Organization: $50 filing fee
- Name reservation (optional): $25 for 120 days
- DBA / Trade Name registration (optional): $20
- Registered agent service (if applicable): $50–$300 per year
- Periodic Report (annual filing): $10
- Business licenses and permits: Vary by industry and location
- Taxes: Colorado LLCs do not pay a state-level LLC tax, but members owe state income tax on business profits. Your LLC may also need to collect sales tax or pay employer-related taxes, depending on your activities.
Overall, most new business owners can expect to spend around $100–$250 to form and maintain a Colorado LLC in the first year, plus any industry-specific licensing costs.
What happens after your LLC is up and running
Forming a Colorado limited liability company is a milestone worth celebrating, but there are a few more important tasks to complete to keep your business compliant and protect your LLC status.
Open a business bank account
A separate bank account for your Colorado LLC helps keep your business and personal finances distinct. This separation supports your liability protection, simplifies tax filing, and strengthens your company’s credibility with customers, lenders, and vendors. To open a business bank account, you’ll typically need:
- Your business address
- Your Articles of Organization
- Your EIN from the IRS
- Your operating agreement
- A valid photo ID for all account holders
- An initial deposit (varies by bank)
File for permits and required business licenses
Depending on your industry and location, your LLC may need specific licenses or permits before operating. Colorado does not issue a statewide general business license, but many cities and counties do. State-level occupational licenses also apply to certain professions. To find out what your business needs:
- Check the Colorado Department of Regulatory Agencies (DORA) license lookup tool for occupational licensing rules
- Visit your city or county clerk’s website for local business license requirements
- Review federal regulations if your business involves areas like health, food service, or transportation
File the Colorado Periodic Report
Every Colorado LLC must file a Periodic Report (often also called an LLC Annual Report) to remain in good standing with the state. This filing keeps your business information up to date and confirms that your LLC is still active.
- Deadline: During the three-month window that includes the first day of your LLC’s anniversary month
- Filing fee: $10
- How to file: Online through the Colorado Secretary of State’s filing system
If you miss your filing window, the state may assess late fees or eventually dissolve your LLC, so it’s important to track this deadline each year.
Things to know about Colorado LLCs
Colorado LLCs come with a few rules and requirements that help keep your business compliant. From tax requirements to important compliance documents, these essentials make it easier to stay organized and maintain good standing.
Filing taxes for a Colorado LLC
Colorado LLCs use pass-through taxation, meaning profits flow to members, who then pay federal and state income tax on their share. If you have employees, you’ll handle payroll and withholding taxes as well. Your LLC may also need to collect and remit state and local sales tax, depending on your activities. For help estimating sales tax, try this sales tax calculator.
Get a Certificate of Good Standing
A Certificate of Good Standing confirms that your Colorado LLC is active, compliant, and up to date with state filings. Banks, lenders, and partners often request it for verification. You can obtain one through the Colorado Secretary of State’s Business Entity Search.
Launch your Colorado LLC today
Opening an LLC in Colorado becomes much more manageable once you understand each step and know what to expect along the way. With your formation complete and your business structure in place, you can shift your attention to building your brand, connecting with customers, and setting up systems that help you grow.
GoDaddy Airo gives you the support to move quickly from planning to launch. Airo can help you find a domain, create a professional website, generate branded content, and build a presence that reflects your vision. If you’re ready to take the next step, set up your LLC and let GoDaddy Airo help you bring your business to life.
FAQ
How much does an LLC cost in Colorado?
Forming an LLC in Colorado costs $50 to file the Articles of Organization. Additional optional expenses include $25 for name reservation, $20 for a Trade Name (DBA), and $50–$300 per year for a registered agent service if you use one. Each year, you’ll also file a $10 Periodic Report to keep your LLC in good standing. Overall, entrepreneurs can expect to spend around $100–$250 in their first year.
How long does it take to get an LLC in Colorado?
Most Colorado LLCs are approved immediately when filed online through the Secretary of State. Once your Articles of Organization are submitted and accepted, your LLC is officially formed.
Can a single person form an LLC in Colorado?
Yes. Colorado allows single-member LLCs, giving individual entrepreneurs the same liability protection and flexibility as multi-member LLCs. You’ll follow the same filing steps and ongoing requirements as any other LLC.
