What is delayed effective filing for an LLC?

A delayed effective filing lets you choose a future date for your LLC to legally come into existence instead of the date the state approves your filing. Availability depends on the state; Delaware and Wyoming offer this option. ## How it works Normally, when you submit your formation documents, your LLC is created as soon as the state processes and approves the filing, which can take anywhere from a few days to a few weeks. With a delayed effective date, you can push out your LLC's official formation date instead, for example filing in December but setting your LLC's official start date to January 1st of the following year. This is most useful when you're forming near the end of the calendar year. Many states charge an annual franchise tax or require an annual report starting from your formation date, so delaying your official start date into the new year can help you avoid an extra round of fees for a partial prior year, as well as the backlog of new filings many states see right after January 1st. Not every state offers this option, but it's available in states like Delaware and Wyoming. doola can handle filing your delayed effective date for you, so reach out if you'd like help setting one up.