Members nor Managers are not listed with the state
My main issue with out-of-state LLCs though is you typically have to file in whatever state you're operating/living in as a foreign LLC, so you end up with double the paperwork and filing requirements.
IMHO its better, especially for sole-proprietor / pass-through LLCs to just register in whatever state you're living in.
> 100% not worth the headache so better to file in the state you "do business in" = home state!
This is only true until someone attempts to sue for a triviality. Most companies get sued at some point in time. This is why such a service is of value.
From our experience, most customers go for Wyoming LLCs because of the cost-effective option of a $50 Annual filing charge as compared to Delaware which has a $300 Annual franchise tax. The option is totally up to you.
We wrote a guide around how to choose the best state for new LLCs [1]
My understanding is that if you create your LLC out-of-state, you still need to register your llc as a foreign entity, which often, puts forth the same requirements as an in-state LLC.
Take specifically California. If you live and operate in CA, but register your LLC in Delaware (or Wyoming), you still need to pay the $800/yr franchise tax and complete all of the same tax paperworks that you would if the LLC was registered in CA.
Isn't it just simpler (and cheaper in time and money) to register in the state you operate in?
If you live in the US, correct! It's best to form an LLC in the state you live in.
If you live internationally, you can actually choose any state to form an LLC in (and Wyoming + Delaware tend to be the two most popular options, Wyoming for online digital businesses due to the lower ongoing annual costs = $50 per year to the state vs $300 per year in Delaware!)
