How to EASILY Set up & Create a Corporation or LLC for Amazon Seller Accounts
Amazon sellers. In this video, I’m going to teach you how to save $450 or more, by telling you how you can create your own corporation or your own LLC. And I’m going to save you some more money by telling you how you can get your own tax ID number from the IRS.
So I just got off the phone with an Amazon seller, an experienced guy. He’s over in the UK, he has a potential partner here in the United States, and he was about to pay a $450 service fee, plus the filing fees to have his partner in the United States create a corporation. So I told him, “Stop the presses. You don’t need me to do it. You certainly don’t need to pay them $450 bucks to do it. You can do it yourself.”
So here’s the company I use when I have to create corporations or LLCs. It’s called Blumberg.com. I don’t get anything from them. I’ve been using them since I started practicing law, before the internet, when you had to do it by phone.
I think the cost to have them create your corporation is 210 bucks. And for an LLC, I think it’s $265, give or take. And they can create entities for you, I believe, in all 50 states, at comparable rates. And you do it yourself.
You call them up or you fill out their form online. Usually submit three names, in case one or two of them get rejected. They file the certificate of incorporation, they draft the certificate of incorporation. And when I do it, it’s 24 hours. Boom, you have your corporation or your LLC.
Now, if it’s an LLC, at least in New York, you have a publication requirement. That’s a couple more steps, but they create the entity for you. And then you can hire somebody like a lawyer or somebody else. I recommend a lawyer to do your shareholder agreement or your operating agreement. By creating it yourself, you just saved yourself somewhere around $450. Plus at least that’s what this other guy was going to pay.
Now, the next step you need to know about is how do you get an IRS EIN number, an employer identification number? It’s like a social security number for a business. Well, the IRS has a form to fill out and you could send it directly to the IRS.
Now in the old days, you’d have to get on the phone and call and wait, and it was really a pain in the neck. I don’t know if that still exists because I use Blumberg for the same thing. I fill out the form. They charge me 75 bucks, so I don’t have to be on the phone. And literally within 24 hours, I have the tax ID number for whatever entity I needed to create.
So that’s how you save money. That’s how you do things by yourself, and again, let them create the entity for you. But when it comes to the shareholder agreement or the operating agreement, that does require some legal experience in whatever state you’ve created the entity in, but at least you’re saving money creating the entity.
So that is today’s tip for the day. Don’t pay anybody a fee for creating a corporation. Check out blumberg.com. I have no affiliation with them. I just think they’re absolutely awesome.