So you want to start a dog rescue organization?
Whether you’re an individual looking to help out your local animal shelter or someone who has seen too many stray dogs on the streets, then you might be thinking about starting your own dog rescue business. If that’s the case, you’re going to need to know how to start an LLC for your dog rescue business.
In this article, we’ll cover the steps to form an LLC yourself or hire a professional service to do it for you. In addition, we’ll cover the steps to form an LLC if your business works with a pet shelter, not just dog rescue.
So, you’re ready to start your own business? With so many hard decisions to make, it can be hard to know where to start.
How do you set up an LLC? What are the steps to starting your own dog rescue organization? Can I register my dog rescue organization? These are all great questions, and we’ll try to answer them for you here.
What is Dog Rescue Business?
Before we discuss the steps to register your business, let’s first talk about dog rescue. According to shelterexchange.org, there are many reasons someone might become involved in dog rescue, including:
- To save dogs from the threat of euthanasia at an animal shelter (similar to why someone decides to start a non-profit organization)
- A lifelong calling to work with animals
- The desire to make it their career
When you’re considering becoming part of a dog rescue organization, you might be asking: What’s involved in a day of work for an animal shelter make?
A day in the life of one person who works at an animal shelter might include anything from making food to feed the animals to walking dogs to cleaning up. Also, many animal shelters are strictly controlled environments with strict requirements for cleanliness.
How do Rescue Businesses Make Money?
Although the type of organization is mostly nonprofit corporations, dog rescue organizations use their sources of funding for a variety of purposes. Here are some examples:
Hiring staff to work with the animals and perform the various necessary tasks in a dog rescue facility
- Purchase of equipment like cots and water bowls for dogs
- Advertising costs to spread the word about the dog rescue organization
- Relocation services for animals in need of new homes
Where do Dog Rescue Businesses Get Their Money?
It’s important to know where your rescue organization gets its money before you start a dog rescue business. There are many different sources of income for dog rescue organizations:
- Individual and corporate donations
- Adoption fees collected for animals to be adopted out
- Sponsorships from local businesses or other nonprofit organizations
- Grants from nonprofit organizations or the government
- Tax-deductible monetary and in-kind donations from supporters of a rescue organization
Do I need an LLC for My Dog Rescue Business?
One of the first and most important decisions you’ll make before starting a dog rescue organization is whether to form an LLC for your business. As we’ll discuss below, there are pros and cons to running your organization as an LLC.
What is an LLC?
A limited liability company (LLC) is a hybrid type of business structure that provides the limited liability features of a corporation and the tax efficiencies and operational flexibility of a partnership.
Benefits of Registering Your Rescue Business as an LLC
By starting a Limited Liability Company for your Dog Rescue business, you can:
- Protect your personal assets and savings with limited liability protection
- Protect your personal privacy like in an anonymous LLC
- Have more tax benefits in different business structures such as LLC, S-Corp, C-corp, and Sole proprietorship
- Growth potential for Dog Rescue business
- Brand your business’s credibility & name
Limited Liability Protection
One of the major benefits of forming an LLC is that, as with a corporation, your personal assets are protected and you can avoid personal liability and responsibility for business debts.
Personal Privacy Protection
Another major benefit of forming an LLC is that, as with a corporation, you can protect your personal privacy. If for some reason, someone decides to sue your business, that person or group of people would have to contact the LLC itself and not you personally.
Growth Potential for Your Business
If your dog rescue business’s revenue and profits start to increase, you’ll be able to convert it from a sole proprietorship or partnership to an LLC without too much trouble. Then you’ll have the additional tax benefits resulting from being taxed as a corporation for your rescue organization’s income.
LLC Taxation Benefits
If your rescue business is an LLC, you’ll be taxed as either a sole proprietor or a partnership (if you choose to have multiple members).
These taxation methods are advantageous for an LLC as opposed to being taxed as a corporation because profits from sole proprietorships and partnerships flow straight to your personal income tax return. LLCs are not taxed as corporations. See our detailed guideline on how LLCs are taxed article.
Disadvantages of Registering Your Dog Rescue Business as an LLC
The major disadvantage of forming an LLC for your business is that it can be costly, time-consuming, and complicated.
Costs for Registering Your Dog Rescue as an LLC
The first major disadvantage to forming an LLC is that it can have high startup costs. You’ll need to pay filing fees with your state to set up an LLC, and you may also have to hire an attorney or pay for other professional fees to handle the laborious process of filing your documentation and papers. Go can go through our comprehensive guide on the cost to form an LLC in your state.
The second major disadvantage of forming an LLC is the time and effort it takes to set up and maintain. As we’ve discussed, an LLC is a more complicated business structure than a sole proprietorship or partnership, and it will take more time to set up.
Complications of Running Your Dog Rescue as an LLC
There are also a number of other minor disadvantages that can be inconvenient for running your business as an LLC. For instance, if you have employees, you need to make sure your business will be covered by workers’ compensation insurance.
How do I Register a Dog Rescue Organization as an LLC?
If you’re looking to register a dog rescue organization as an LLC, then the process is going to vary from state to state. There are mainly two ways you can start an LLC for your dog rescue business:
- Hire any of the Best LLC Services that are reviewed and tested.
- Or Form an LLC by yourself with our step-by-step guidelines.
There are pros and cons to both methods of forming an LLC, but the best method for you will depend on your specific needs.
How to form an LLC for Dog Rescue?
Now you know why LLC is significant for Shelter take carers and all its benefits. Let’s move forward with the process of forming an LLC. First of all, remember that every state has its own laws in forming an LLC so you need to check your state’s laws.
I’ll be listing down some major steps to start your LLC but if you want the detailed guideline on LLC, you can click here.
- Select your state
- Pick a name for your LLC
- Hire an LLC Registered Agent
- Create an LLC Operating Agreement
- File your Article of Organization
- Get an EIN
#1: Select your state
Choose in which state you want to start your LLC. It is wise to start your LLC where you live and will carry out your business.
#2: Pick a Name for Your LLC
You need to choose your LLC name carefully. Your business name should be attractive to your customers as it will be the first thing any customer will look up to.
Check if your name is available. After picking your name you also need to check its availability in your state and if your name is not available then you need to pick another. You can check your name’s availability at many different websites.
After checking your name’s availability, you need to secure it as well. It usually takes two months to start your LLC and you do not want anyone else grabbing your name in that period.
#3: Hire an LLC Registered Agent
Every state demands you to have a registered agent. Your agent will deal with all your legal matters so you do not miss out on anything. He will be a vital factor in your company’s success.
You can also look up to your town’s top registered agent service provider if hiring an agent seems complicated to you.
#4: Create an LLC Operating Agreement
An operating agreement will highlight your company’s standards and rules. If your business includes more than one member then creating an LLC operating agreement is vital.
It showcases the responsibilities, rights, and voting power of every member. It also tells how your business’s revenue will be distributed among members which avoids any conflict regarding money.
Many states do not demand you to create an operating agreement but by creating an agreement you can avoid any future conflicts between your company’s members. You can also use an operating agreement tool to create a document for free.
#5: File your Articles of Organization
The Article of Organization or Certificate of Formation is a simple document that gives you access to officially enter LLC. This document must be filed with proper consultation and must be filed correctly.
Many other online platforms like Legalzoom offers methods to solve this process quickly.
#6: Get an EIN
EIN stands for Employer Identification Number. It is like a social security number required by your LLC for many purposes like opening a bank account, filing company taxes, etc. This number allows the IRS to identify and tax businesses.
Even if you have a shelter available, an EIN will help you keep your personal finance away from your professional finances You can get an EIN for free if you will directly apply to the IRS.
LLC Service Providers for Dog Rescue Business
Now you have learned about the steps needed to form an LLC but if the formation of your LLC seems to you a hectic job then you should consider hiring LLC service providers.
There are many great companies that offer LLC services but I’ll be discussing a few of them. If you want to know about all the best service providers like ZenBusiness then you can read our detailed guide.
If you are looking for the complete package then ZenBusiness is the best choice. They have got everything; at just $49 their starter pack includes LLC formation, a free registered agent for one year, an operating agreement template, and much more.
They have 4500+ reviews and mostly all of them are positive. It also offers a pro-package that has a worry-free guarantee feature. This feature provides good care to the customer’s annual report filing.
If you want to read the full review of ZenBusiness then click here.
If you are looking for a more experienced company then Northwest is a definite choice. They have been providing LLC services form 1998 and have established themselves as the best LLC service provider
Northwest has got the best customer support as their team is filled with highly professional staff. They also provide LLC registered agents free for one year.
One major downside of Northwest would be its pricing. Northwest is quite expensive as compared to others and mainly that is because of its experience in providing LLC service.
You can also read the full review of Northwest for complete guidance.
If you are looking for a service provider in which you don’t have to spend a penny, then Incfile is the best choice.
Incfile is the most affordable LLC service provider; they literally charge you $0 for their services. They have a lot of experience as well; they have started 250,000 businesses in just 16 years.
They have excellent customer feedback and have 15,000 positive reviews. Their customer service is also considered to be the best; customers receive unlimited support via email and phone calls.
If you want to read the complete guide of Incfile, then click here.
Hi, Wilson here. I’m here to help small business owners and entrepreneurs form an LLC for free and affordable prices in any of the 50 States. In my opinion, Forming an LLC shouldn’t be so complicated, and I mean it. Stay with me to see how!