Annual Report

A Guide To Filing An LLC Or Corporate Report

If you’re the owner of a corporation or LLC, filing the necessary reports is essential. Here are a few of the most important things to know about filing LLC and corporate reports:

What Needs To Be Included In The Reports

The specific requirements for the report will depend on the state that you do business in, but these are a few examples of common requirements:

  • Reports for businesses often involve disclosing your income for the current year as well as previous years, and this documentation should be complete for all of the years that your company has been active.
  • Make sure you list where your company is located, and this will be essential for taxation purposes.
  • Mention information about when your company was founded, and also make sure that you list when it was initially incorporated or made into an LLC.
Annual Report

What Else Is Commonly Included In The Reports?

While the nature of what’s included in a corporate or LLC report varies considerably from one report to another, these are some important things that you should put in yours:

Mention The Principal Business

The principal business is your primary business location, but there are circumstances where this is more than one location. In addition to simply listing the location, it’s essential to provide some important facts about the location, such as the number of customers that you see in an average day or week.

Include The Names And Addresses Of The People Who Run Your Company

It’s essential to list the names and addresses of yourself and your company’s managers, and these are some other important bits of information that you should include:

  • Let people know how long each upper level employee has been with the company.
  • Ensure that you mention the salary that you pay each upper level employee and upper level manager, and provide a total for the amount paid to those working in each type of lower level position within the company.

Include Important ID Numbers For Your Company

It’s essential to make sure that your report includes important identification numbers, and these are some ID numbers that you’ll need to include:

  • It’s essential to include employee numbers for all of your employees at upper levels of management, and include the ranges of employee numbers for people who are working in lower level positions at your company.
  • If your business is fairly small, it’s often a good idea to give employee ID numbers for all of your employees rather than just the upper level ones.

Talk About The Purpose Of Your Business

Mentioning the sector of the economy that your business is in is often is important for tax purposes due to differences in tax rates between businesses in different sectors. These are a few of the most important things to keep in mind when discussing the purpose that your business serves:

  • It’s often a good idea to talk a little bit about the demographic of people who tend to hire you.
  • If there are multiple types of services that your company offers, it’s essential to discuss everything that your company offers rather than just talking about the main ways that your company does business, and this will ensure that people reading the report know exactly what your company does.

File your annual report with a professional now

File your annual report with a professional now

Mention Authorized Signatures And Registered Agents For Your Company

These are a few of the most important things that you need to know about listing your company’s authorized signatures and registered agents:

  • Registered agents are sometimes also known as resident agents, and if you own an LLC, this may be an individual or a business owner.
  • If your business structure changes, it’s essential to update the information on your report as quickly as possible.

Say How Many Shares Of Stock Are Issued

If you have publicly traded shares available, it’s essential to say how many there are for taxation purposes, and these are some important tips to follow when you’re providing information about your company’s stocks:

  • Provide a pie chart that shows who major shareholders are, and mention the number of smaller investors who have stock in your company.
  • Not only do you need to mention the number of shares that are issued, but it’s essential to include the current and past values of the stock as well.
  • Make sure that you keep track of when shares tended to be bought and sold, and this will help investors to be able to have a more accurate sense of the prospects of investing in your company.

Put A Balance Sheet On The Report

Your balance sheet will be essential for claiming tax deductions, and these are a few important things to know about this document:

  • Not only should the balance sheet show income and losses, but it should also show the amount of taxes that you expect to pay.
  • Make sure that the formatting of your balance sheet makes it as easy to read as possible.

Give Information On Profits Vs. Loss

If you have a net loss during a certain period of time, it is essential to document this as reporting the losses will allow you to reduce your taxable income. It’s also a good idea to keep track of the net profits versus losses from one year to the next, and this can allow you to determine how much (or little) your business venture has earned throughout its entire history.

Provide Financial Projections And Forecasts

These forecasts may be relevant for taxation purposes in some cases, and these are some important things to know about financial projections and forecasts for your annual report:

  • It’s a good idea to provide a pie chart of where your income is likely to come from, and also provide a graph that shows how your income changes over time.
  • If it is possible, state the degree of uncertainty that you can anticipate when it comes to your profits, and this will give investors a better idea about the stability of your company.

You Should Include An Executive Summary

An executive summary can allow you to summarize a proposal or a cluster of reports to an audience. These are a few of the more important things that you need to include in an executive summary for your business:

  • Begin the report by giving information about the name of your business, where it’s located, and contact information.
  • Make sure that you talk about your target market in the next part of the report.
  • Provide a business plan next, and this section of the executive summary may be fairly comprehensive in some cases.
  • If you’re seeking investments or a business loan, make sure that you mention this in the executive summary.
  • Mention any other details that you feel are essential.

Give A List Of Opportunities For Growth And Expansion

It’s essential to make sure that you include information about any significant projects that your business is currently working on, and these are a few examples of opportunities for growth and expansion that should be mentioned in the report:

  • If your company is doing any construction projects to create a new business location or expand upon an old one, make sure that you mention this.
  • If you’re planning to offer any new products or services, these should be discussed in the report, and give information on any prototypes.
  • Include information about services that are currently being digitized, and mention any changes to your e-commerce strategy.

Mention How Risks Are Being Addressed

Not only will this allow you to provide information to people who are viewing the report, but it will also be great for your own record keeping. Here are a few examples of risks that you need to mention in terms of how they’re being addressed:

  • Ensure that you include information in the report about your cyber-security strategy.
  • In addition, it’s important to discuss how you keep your offline business locations secure, and include updates on any changes to this strategy.
  • If you use data analytics as part of your marketing strategy, it’s a good idea to mention how this helps to ensure that your marketing strategies target the right demographic of people.

When Do You Need To File?

The requirement for when you need to file the report varies from one state to another. In some cases, you will need to file on a specific date each month, and other states simply require that you file on the same day that your corporation or LLC was formed. However, it’s also common for business owners to file the report around the same time that they file their annual taxes.

How To File Your Reports

In order to file the reports, it is essential to file all necessary steps properly, and these tips can be helpful in the process:

You Will Need To Pay A Fee Along With Filing The Report

While the amount that you’ll need to pay varies from one state to another, it’s typically fairly small, and the average state charges an annual fee of 101 dollars to own an LLC. Here are some examples of what the fee is in a few different states:

In addition to the annual fees, you will also need to pay a filing fee when you first start an LLC. This amount is often somewhat higher than the annual fee, and it also varies considerably from one state to another. Here are some examples of what you can expect to pay when you are starting an LLC in a few different states:

File your annual report with a professional now

File your annual report with a professional now

Some States Require A Biannual Report Instead Of An Annual One

If you will be writing a bi-annual report instead of an annual one, it will be even more important to keep careful track of your profits and losses over time as going back to past expenses and income for two years can be much more difficult than a single year. In addition, getting behind by not filing a bi-annual report can be a much more serious problem than failing to file an LLC annual report or corporate report.

What Happens If You Don't File

If you do not file an annual report that you’re required to by law, the consequences could be serious. The specific consequences vary from one state to another, but these are a few important things that you need to know about the consequences of not filing:

Failure To File An Annual Corporate Report Could Result In Fines

The fines vary considerably from state to state, but it’s not just state penalties that you need to worry about. In fact, not filing a corporate report could result in fines at the federal level if it results in errors in paying your taxes, and this can have extremely serious consequences.

Not Filing Can Make It Harder To Run Your Company

Many business owners find that filing their corporate or LLC report is essential for their own management, and not filing an LLC report will make it extremely challenging to know how well your company is doing financially. In fact, business owners that do not file an LLC report or a report for their corporation may find that they incur losses over a long period of time without even realizing it, and this could even lead to the failure of a business.