LLC Formation Checklist for Personal Errands & Concierge Services
Launching a Personal Errands & Concierge Service means you'll be helping clients with a wide range of tasks, from grocery shopping for seniors to managing busy professionals' to-do lists. Properly setting up your business, especially forming an LLC, isn't just one step—it's seven distinct actions, each building on the last. Many common business mistakes happen because new owners do these out of order or skip one entirely. This complete checklist ensures you set up your personal errand or concierge business in the right sequence, protecting yourself and your assets from day one.
READY TO TAKE ACTION?
Use the free LaunchAdvisor checklist to track every step in this guide.
The Quick Answer
To successfully form an LLC for your personal errands or concierge service business, follow these seven steps in order: choose your entity type and state, check your chosen business name for availability, file your Articles of Organization, get your Employer Identification Number (EIN), open a dedicated business bank account, draft a solid Operating Agreement, and secure all required local, state, and specialized licenses and permits. Each step unlocks the next. Do not skip ahead.
Step 1: Choose Your Entity Type and State
For most solo errand runners, personal shoppers, or independent senior companions, an LLC in your home state offers essential personal liability protection without the complexity of a corporation. This is critical in an industry where you're entering clients' homes, handling their property, or even transporting them. An LLC protects your personal assets (like your home and savings) if an incident occurs while you're on a client's errand—for example, accidentally damaging property or a mishap during a task. While you could start as a sole proprietorship, the minimal cost of an LLC is often a worthwhile investment for the peace of mind. Reference a comparison guide if you're weighing more complex options like a multi-member LLC for future partnerships. Time: 30-60 minutes of research. Cost: $0 to decide.
Step 2: Check Business Name Availability
Your business name should be memorable and convey trust for a personal service. Before settling on names like 'Caring Hands Concierge LLC' or 'Reliable Errands Today,' run three key searches: 1) Your state's business name database (Secretary of State website) to ensure no other businesses have it. 2) The USPTO federal trademark database (tess.uspto.gov) to prevent future legal issues, especially if you plan to expand or franchise. 3) Domain registrar search (Namecheap or Google Domains) to secure your website address and social media handles. All three must come back clear to avoid headaches. Time: 30 minutes. Cost: $0.
Step 3: File Your Articles of Organization
This is the official registration for your LLC with your state. You'll file through your Secretary of State's online portal or use a formation service. You'll need: your chosen business name (e.g., 'Helping Hands Errands & Concierge, LLC'), your registered agent's name and address (this is who receives legal mail), your name and address as a member, and a business purpose. For errand and concierge services, most states accept 'any lawful purpose,' but you could specify 'providing personal assistance, errand running, and senior companion services.' Time: 15-60 minutes to file, 1-3 weeks for state processing. Cost: $50-$500 in state fees + optional formation service fee.
Step 4: Get Your EIN
An Employer Identification Number (EIN) is like a Social Security Number for your business. You'll need it even if you're a single-member LLC without employees, as it's required for opening a business bank account and filing business taxes. Apply for free at irs.gov. The process takes about five minutes and provides an instant EIN. Do not pay anyone to get this for you; it's a simple, free online application. Time: 5 minutes. Cost: $0. Available Monday-Friday 7am-10pm Eastern.
Step 5: Open a Business Bank Account
Separating your personal and business finances is non-negotiable for an LLC, especially when you're handling client funds for purchases (e.g., groceries, shopping for gifts) or receiving direct payments for services. Bring your Articles of Organization, EIN letter, and government ID. Online banks (like Mercury, Relay, Novo) are often faster, free, and great for mobile service providers. Traditional banks might be better if you plan to handle significant cash for clients or build relationships for future business loans. Open this account before you accept any client payments or make any business purchases like dedicated scheduling software or fuel. Time: 20-30 minutes to apply, 1-3 days to open. Cost: $0 for most online banks.
Step 6: Draft Your Operating Agreement
Even if you're a single-member LLC offering personal errands, an Operating Agreement is a vital internal document. It outlines your business's ownership, management, and operating procedures. For a solo venture, a quality template from your formation service or NOLO is usually sufficient. If you plan to partner with another errand runner or offer joint concierge services (multi-member LLC), hire an attorney to draft a robust agreement. Sign and date the agreement, store it with your Articles of Organization, and update it any time ownership or governance changes. Time: 30 minutes for a template, 1-2 weeks with an attorney. Cost: $0 (template) to $1,500+ (attorney).
Step 7: Get Required Licenses and Permits
This step is critical for personal errand and concierge services due to the varied nature of tasks and direct client interaction. Use the SBA license and permit tool, but expect to need more: * **General Business License:** Almost all cities and counties require this ($25-$150/year). * **Background Checks:** Essential if you're entering clients' homes, handling valuables, or working with vulnerable populations (seniors, children). Some states or cities may require fingerprinting or specific clearances. * **Commercial Auto Insurance:** If you use your personal vehicle for significant business mileage, or especially if you transport clients (e.g., senior companion services), your personal auto policy likely won't cover you. You'll need a commercial policy. * **General Liability Insurance:** Crucial for protecting against claims of property damage or injury that might occur while performing services in a client's home. * **Bond Insurance:** Consider a 'fidelity bond' if you're handling client cash, credit cards, or making significant purchases on their behalf, offering peace of mind to clients. * **Zoning Permits:** If you operate a home-based business, verify local zoning rules, especially if clients visit you (less common for mobile errand services). * **Specialized Licenses:** Less common, but if you offer niche services like medical appointment transport, you might need specific transportation licenses or permits. Apply for everything before you accept your first client. Time: 2-4 hours of research, days to weeks for processing checks and permits. Cost: $25-$500+ depending on state, city, and required background checks/insurance policies.
RECOMMENDED TOOLS
ZenBusiness
Handles steps 3, 4, and 6 in one transaction
Northwest Registered Agent
Privacy-first formation with registered agent and operating agreement support
Mercury
Best business bank account for step 5
SBA License and Permit Tool
Free tool for identifying license requirements in step 7
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FREQUENTLY ASKED QUESTIONS
How long does it take to form an LLC from start to finish?
The filing itself takes a few hours spread across the steps. State processing for Articles of Organization takes 1-3 weeks in most states (some offer 24-hour expedited processing for an extra fee). Bank account opening adds 1-3 business days. Plan for 2-4 weeks from starting to having a fully operational business entity.
What order do I do these steps in — can I skip ahead?
No. You must have your LLC formed before applying for an EIN. You need the EIN before opening a bank account. The operating agreement should reflect the entity as formed. Licenses and permits can sometimes be applied for in parallel with later steps, but most require your EIN.
What if my state has different requirements?
The steps are consistent, but specifics vary. California requires an initial Statement of Information within 90 days. New York has a newspaper publication requirement. Some states require an initial report separate from the annual report. Your formation service or Secretary of State website will flag state-specific requirements.
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