Business law questions in Illinois

General information about Illinois law as of October 23, 2026. It is not legal advice for your situation, and reading it does not create an attorney-client relationship.

Do I need an LLC or a corporation in Illinois?

No law makes you form one. A sole owner can trade under their own name, or under an assumed name filed with the county clerk (805 ILCS 405/1). What a company changes is who answers for its debts, which is the next question.

Does an LLC protect me personally?

Up to a point. Under 805 ILCS 180/10-10, a member or manager is not personally liable for the company's debts solely because they are a member or manager. The same section says you can still be liable under other law for your own wrongful acts, even when you act for the company.

What does it cost to form an LLC in Illinois?

The Secretary of State's fee for filing articles of organization is $150 for a standard LLC, and each annual report is $75 (805 ILCS 180/50-10). Articles of incorporation for a corporation are also $150 to file (805 ILCS 5/15.10).

Does an Illinois LLC have to file every year?

Yes. Each LLC files an annual report naming its registered agent and office, its principal place of business and its managers. It is due in the 60 days before the first day of the company's anniversary month (805 ILCS 180/50-1).

Can I use a business name without forming a company?

Yes, as a sole owner or a partnership. In Winnebago County you file an assumed name certificate with the County Clerk at 404 Elm Street, Room 104, for a $30 fee. Notice then runs in a local newspaper once a week for three weeks, starting within 15 days of filing, and the certificate is void without proof of publication. The clerk's office says not to use the name until you hold its Certificate of Ownership.

How long do I have to sue over a broken contract in Illinois?

It depends on the contract. A written contract or a promissory note: 10 years (735 ILCS 5/13-206). An unwritten contract: 5 years (735 ILCS 5/13-205). A contract for the sale of goods: 4 years from the breach, and the contract itself may shorten that to as little as one year (810 ILCS 5/2-725). Read your contract for that clause before you assume you have time.

When to call Rick

Call Rick before you form a company or sign a lease or a supply contract, and when a deal goes wrong. He handles business law matters in Rockford, Loves Park and across Winnebago County. Call (815) 986-1569.