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The Law Office of Stephen Nault

Practice Area

LLC Formation Attorney in Tennessee

LLC formation attorney in Tennessee for owners forming a single-member, multi-member, or manager-managed company — articles, operating agreement, EIN, registered-agent setup, and the early governance choices that protect liability.

This page covers a focused service. For the broader editorial practice area, see Owner Disputes in Tennessee.

What this covers

Formation work includes entity-choice analysis, drafting and filing articles of organization with the Tennessee Secretary of State, registered-agent designation, EIN coordination, operating-agreement drafting, and member-admission paperwork.

Where appropriate, the engagement also addresses S-Corp election questions, banking and licensing follow-through, and the franchise-and-excise tax baseline new owners need to understand before the first year closes.

Who this is for

Single-member owners who want a clean LLC foundation rather than an online-form blank. Multi-member partners who want governance and exit terms set before money or property goes in. Real-estate investors and small-business owners who plan to scale or add affiliates over time.

Tennessee specifics

Tennessee LLC filings are handled through the Tennessee Secretary of State, and current filing fees should be confirmed before submission. Many Tennessee LLCs also require franchise-and-excise tax analysis: franchise tax is generally measured under Tenn. Code Ann. § 67-4-2106, and excise tax is imposed under Tenn. Code Ann. § 67-4-2007, subject to exemptions, deductions, and entity-specific treatment.

FONCE, obligated-member, nonprofit, and other exemptions may apply. The right structure depends on liability, tax election, ownership economics, and how the company will actually be run.

Single-member vs. multi-member structure

The simplest case is a single-member LLC: one owner, one set of decisions, profits and losses pass through to a single Schedule C or 1040 reporting line. Most solo founders, real-estate investors, and consultants land here. Multi-member LLCs add complexity: capital contributions are tracked per member, distributions follow the operating agreement (not necessarily ownership percentages), and tax reporting moves to a partnership return on Form 1065.

The decision between single and multi-member is usually driven by who owns the business — bringing in a co-founder, a passive investor, or a family member changes both the legal structure and the tax filing. Manager-managed LLCs offer a third variant where members appoint a manager rather than running the LLC themselves; useful for investor-driven structures.

When to elect S-Corp tax status

S-Corp election is a federal tax decision that LLCs and corporations can both make, typically once revenue reaches a level where self-employment tax savings exceed the cost of running payroll. The election is filed via IRS Form 2553 and generally must be in place no later than two months and 15 days into the tax year for which the election applies (IRC § 1362; see also Rev. Proc. 2013-30 for late-relief procedures). Tennessee S-Corps remain subject to franchise-and-excise tax.

The legal work supports whichever election the CPA recommends — updating operating agreements or bylaws, confirming reasonable-compensation structure, and locking down the governance posture the election requires. Most owners coordinate the election with their accountant; the legal side ensures the entity documents match.

Common formation mistakes

The most common mistakes show up later, not at filing: relying on an online operating agreement that does not match how the business actually runs; missing the S-Corp election deadline; failing to register the LLC as a foreign entity in any state where it does business beyond Tennessee; and forgetting to update articles, registered agent, or operating agreement when membership changes. Each of these is fixable but more expensive after the fact than during initial formation.

Process and timeline

Most formations move from intake call to filed articles within a week. Operating-agreement drafting follows once members have aligned on contributions, governance, distributions, and exit. Flat-fee or capped pricing is available for straightforward single-member and multi-member formations.

How to start

Use the form below to schedule a consultation. Do not include confidential details in the form. The office will respond with instructions for sending case documents securely.

The information on this page is provided for general educational purposes only and is not legal advice. Laws change and facts matter; every situation is nuanced. If you would like the office to evaluate your specific facts, please share the basics below and we will be in touch.

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