Single Member LLC State

by Travis
(Westport, Connecticut)

What state would be the best to form a single member LLC?

Answer

The state you are a resident of (assuming you are not electing to have your SMLLC taxed as a corporation).

Because the taxes flow through to you as an individual, you won't save any state taxes by forming your SMLLC out of state. Instead, you'll just have more paperwork and expense, because you'll have to register in your home state as a foreign LLC.

Form your single member LLC in your home state.