Free guide · Illinois

How to start a business in Illinois.

Business formation in Illinois runs through the Illinois Secretary of State, the official government office. You can file there directly for just the state's own filing fee, and nobody can legalize your business "better" than the state itself. Fees change, so the current number is always on the official site.

Storing it saves Start a Business to your idea vault with the full checklist, free, so you can come back and launch when Illinois paperwork day arrives.

Start with an idea

The 10 hottest business ideas to start in Illinois right now.

Registration comes later. First, the fun part: the idea. These ten are tuned to Illinois's real economy right now. Tap any one to explore it and find more like it inside the platform.

1. 1
   Logistics and freight brokerage

   Chicago is the rail and freight crossroads of North America.

2. 2
   Fintech and software startups

   Chicago has a deep finance and trading heritage feeding tech.

3. 3
   Catering and specialty food

   A world-class food city supports ambitious culinary businesses.

4. 4
   Home services in dense neighborhoods

   Chicago's housing stock keeps remodelers and trades busy.

5. 5
   Manufacturing and industrial services

   A large manufacturing base needs suppliers and support firms.

6. 6
   Agriculture and agtech services

   Downstate Illinois is prime corn and soybean country.

7. 7
   Event planning and production

   Conventions and weddings keep planners and vendors booked.

8. 8
   Healthcare and senior services

   A large population supports clinics and in-home care.

9. 9
   Professional and financial consulting

   A major corporate hub needs consultants and back-office firms.

10. 10
    Ecommerce fulfillment and warehousing

    Central location and rail make distribution efficient.

Why Illinois is a great place to build.

Illinois anchors the American Midwest with Chicago, a global city that is a top hub for finance, logistics, and food. Its central location and unmatched rail network make it a natural home for anything that moves goods or serves a huge metro market. Downstate, Illinois is one of the most productive farm economies on earth.

Local help for Illinois founders.

Illinois founders have real, free help within reach. The state's Small Business Development Center (SBDC) network offers no-cost advising, and volunteer mentors through SCORE chapters have built businesses like yours. The Secretary of State and state commerce resources publish plain guides on formation, licensing, and taxes, so lean on them before you ever pay a middleman.

Illinois, specifically.

Chicago is the capital of the Midwest, a city that built America's railroads, its skyscrapers, and some of its best food. Beyond the city, Illinois is endless farmland feeding the world. It is a place of broad shoulders and big markets, where a business that serves millions can find its footing.

The six steps, in order

1. 1

   Pick your business structure

   Most first businesses in Illinois choose an LLC for the liability separation between the business and your personal life. Sole proprietorships are simpler but offer no separation; corporations fit businesses raising investment.

2. 2

   Check that your business name is free

   Search the Illinois Secretary of State's business registry to confirm nobody in Illinois already holds the name, and check the matching web domain at the same time. Our free name generator checks the domain with every name it suggests.

3. 3

   File your formation documents with the Illinois Secretary of State

   This is the official step that makes the business real. File directly on the state's own site and pay only Illinois's filing fee. Every state requires a registered agent with a physical address in the state; if you live in Illinois, you can usually be your own.

4. 4

   Get your EIN free from the IRS

   The Employer Identification Number is the business's tax ID. The IRS issues it directly at irs.gov in about five minutes, at no charge. Never pay anyone for an EIN alone. Get the EIN at irs.gov ↗

5. 5

   Check for licenses and permits

   Many businesses also need a city or county business license, and some industries need Illinois state licenses. The Illinois Secretary of State's site and your city hall list what applies.

6. 6

   Open the business bank account and connect payments

   Keep business money separate from day one: it protects the legal separation your LLC exists for and keeps taxes clean. Bring your EIN and formation documents to the bank. Our free Get Paid directory lists business banks and payment processors in the order to set them up.