Oregon LLC Formation: Where Virtual Addresses Die and Real Addresses Rule (Thanks, House Bill 2191)

By Jake Lawson, LLC Formation Strategist

Oregon pulled a fast one in 2018. House Bill 2191 banned virtual addresses, mailbox services, and pretty much every privacy-preserving option entrepreneurs love. Now you need an actual, physical, somebody-can-knock-on-the-door address.

After walking 270+ founders through Oregon’s new reality (and finding workarounds that actually work), I’ll show you exactly how to navigate these restrictions without exposing your home address to every marketer with Google.

The good news? Oregon’s still reasonable at $100 flat, with 2-3 day online approval and minimal ongoing requirements. Let’s get you legal without getting you on every mailing list in the Pacific Northwest.

The Oregon Numbers Game

Filing fee: $100 (online or mail—same price) 

Processing time: 2-3 days online, 4-6 weeks by mail 

Annual report: $100 per year 

Renewal: Every two years (Registry Date)

Here’s what Oregon won’t tell you upfront: That 4-6 week mail processing isn’t a typo. They’re literally 10x slower processing paper. Unless you’re allergic to computers, file online.

The House Bill 2191 Reality Check

Oregon killed the virtual office game. Your addresses must be real, physical locations where humans actually exist. No more:

  • Virtual offices
  • Mail forwarding services
  • UPS Store boxes
  • Commercial mail receiving agencies (CMRAs)
  • “Suite 2000” at a WeWork

This applies to both your principal place of business AND your registered agent address. Oregon wants to know where you actually are, not where you pretend to be.

But here’s the thing—there are still completely legal ways to maintain privacy. I’ll show you how.

Pre-Formation Essentials

Essential #1: Name Availability Verification

Oregon’s name requirements are standard, but their checking system is quirky. The online checker gives you “appears to be available” or lists conflicts. Neither is definitive.

Power move: After the online check, call 503-986-2200 and have them manually verify. Takes 5 minutes, saves potential rejection.

Acceptable designators:

  • LLC (just use this)
  • L.L.C.
  • Limited Liability Company

Skip the fancy options. Nobody cares if you’re “Limited Liability Co.” vs “LLC.”

Essential #2: The Address Strategy

Since virtual addresses are dead, your options are:

  1. Your actual address (free but public)
  2. Trusted friend/family address (free but creates obligations)
  3. Professional registered agent with real office ($125-200/year)
  4. Shared workspace with physical presence ($50-500/month)

Most founders go with option 3—professional agents who actually maintain physical Oregon offices (not virtual services pretending to have offices).

Online Filing: The Only Sane Choice

Oregon’s online system requires account creation but delivers near-instant results. Here’s your path:

Step 1: Account Creation

Create an Oregon Business Registry account. You’ll need:

  • Username (that nobody else has taken)
  • Password (you’ll immediately forget)
  • Security question (write this down somewhere)

This account manages all future filings, so don’t lose access.

Step 2: Business Configuration

Business Name: Enter your full name with LLC suffix. The system checks availability in real-time, but remember—it’s not gospel. When in doubt, call and verify.

Activity Description: Keep it broad. “Consulting services” beats “AI-powered blockchain consulting for sustainable agriculture startups.” You’re not locked into this forever.

Duration: Select “Perpetual” unless you’re planning the world’s most organized business funeral. Nobody needs an automatic dissolution date.

Step 3: The Address Gauntlet

Principal Place of Business: Must be a real street address. Can be anywhere globally, but must be physical. If using an out-of-state address, Oregon doesn’t care—just be real about it.

Mailing Address: Can be different from principal place. PO Boxes work here. This is where annual report notices go.

Registered Agent: Must have physical Oregon address. No exceptions, no workarounds. Choose carefully—changing agents later costs time and money.

Step 4: The Organizer Dance

The organizer is just who’s filing the paperwork. Usually you. No special powers, no ongoing obligations.

Don’t confuse organizer with owner. You could have your accountant organize your LLC—doesn’t make them an owner.

Step 5: Management Structure

Member-Managed: All owners can bind the LLC (95% of small businesses) Manager-Managed: Only designated managers can bind the LLC

Unless you have passive investors or complex structures, choose member-managed. Keep it simple.

Step 6: The Privacy Decision

Oregon makes listing members/managers optional. The choice:

List them: Easier banking, clearer ownership record 

Don’t list: Maximum privacy, might need extra documents for banking

I lean toward not listing. Your operating agreement proves ownership for banks, and privacy has value.

Step 7: Professional Services Check

Licensed professionals (doctors, lawyers, architects, engineers) must form Professional LLCs. This isn’t optional—it’s legally required. Regular folks? Regular LLC works fine.

Step 8: Indemnification Selection

The indemnification clause protects members/managers from personal liability for LLC actions. Most people check this box. It’s standard protection you want.

Skip the Benefit Company option unless you’re specifically structuring for social impact with third-party certification.

Step 9: Payment and Launch

Review everything. Pay $100. Submit. Your LLC gets processed in 2-3 business days. You’ll get an email with your Registry Number.

Critical: Oregon doesn’t automatically send your filed Articles. You must download them from the Oregon Registry Search using your Registry Number. Don’t skip this—you need these documents immediately.

Mail Filing: The Masochist’s Choice

If you insist on paper:

  1. Download the Articles of Organization form
  2. Fill it out (same information as online)
  3. Mail with $100 check to:

Corporation Division Public Service Building 255 Capitol St NE, Suite 151 Salem, OR 97310-1327

Then wait 4-6 weeks while wondering if they received it. Seriously, why would you do this to yourself?

Post-Formation Power Moves

Move 1: Document Download

Immediately after approval, go to Oregon Registry Search and download your filed Articles. Oregon doesn’t email these automatically. Banks need this document—don’t forget it.

Move 2: EIN Sprint

Get your federal EIN immediately. Don’t wait for state approval. IRS doesn’t care about state timelines.

Free at irs.gov. Anyone charging for this is scamming you.

Move 3: Banking Setup

Oregon banks want:

  • Downloaded Articles of Organization
  • Federal EIN letter
  • ID and initial deposit
  • Operating Agreement (if members not listed publicly)

Pro tip: If you didn’t list members publicly, bring a comprehensive operating agreement. Some banks get nervous without public member listings.

Move 4: Annual Report Calendar

Oregon wants $100 annually for your report. Due date is your Registry Date anniversary. Miss it? $45 penalty. Continue missing it? Administrative dissolution.

Set recurring calendar reminders. This isn’t optional maintenance.

Privacy Strategies That Still Work

Despite House Bill 2191’s restrictions, you can maintain privacy:

Strategy 1: Professional Registered Agent

Use a registered agent with an actual Oregon office. They receive your legal mail, you stay private. Cost: $125-200/year. Worth every penny.

Strategy 2: Separate Mailing Address

Use a PO Box or different address for notices. Keeps some correspondence away from your principal place of business.

Strategy 3: Member Privacy Option

Don’t list members in public filings. Use operating agreement for ownership proof. Maximum privacy, minimal public exposure.

Strategy 4: Business Address Lease

Rent actual desk space at a real office. Not a virtual address—real space with a real lease. Costs more but provides legitimate business presence.

Money-Saving Intelligence

The Professional LLC Trap

Don’t form a Professional LLC unless legally required. PLLCs have additional requirements, restrictions, and potential liability differences. Regular LLC works for 99% of businesses.

The Mail Filing Folly

Saving nothing by mailing your filing but costing yourself 4-6 weeks? That’s not frugal, that’s foolish. Time has value.

The Amendment Awareness

Changes cost $50-100 depending on what you’re amending. Get it right initially:

  • Name changes: $100
  • Address changes: $50
  • Registered agent changes: $50

Rookie Mistakes That Hurt

The Virtual Address Violation: Using a virtual address anyway, getting rejected, starting over. House Bill 2191 isn’t a suggestion—it’s law.

The Download Skip: Not downloading your filed Articles immediately. You’ll need these documents within days, not weeks.

The Generic Purpose Problem: Being too specific in your activity description. “Any legal purpose” or broad descriptions give flexibility.

The Annual Report Amnesia: Forgetting your Registry Date anniversary. Oregon doesn’t send multiple reminders. One notice, then penalties.

When Professional Help Makes Sense

After filing hundreds of these, here’s when to outsource:

  • Professional LLC requirements (complex additional rules)
  • Multi-member structures needing sophisticated agreements
  • Interstate operations from day one
  • Foreign nationals navigating additional requirements
  • When avoiding the address requirements seems impossible

Services run $39-300 plus state fees. Given Oregon’s straightforward process, DIY usually works unless complexity demands expertise.

The Oregon Assessment

Pros:

  • Reasonable $100 filing fee
  • Fast 2-3 day online processing
  • No publication requirement (looking at you, New York)
  • Strong LLC statutes
  • Beautiful state to visit for “business meetings”

Cons:

  • Strict physical address requirements (House Bill 2191)
  • No virtual address options
  • Annual report requirement ($100/year)
  • Public records easily searchable online

Bottom line: Oregon’s address requirements are annoying but manageable. The state’s otherwise business-friendly with reasonable costs and fast processing.

Your Oregon Action Plan

Stop procrastinating. Start executing:

  1. Secure real physical addresses (30 minutes research)
  2. Create online account (5 minutes)
  3. Complete online filing (20 minutes)
  4. Pay $100 and submit
  5. Wait 2-3 business days
  6. Download filed Articles immediately
  7. Get EIN and open bank account

Total active time: Under 1 hour. Total cost: $100 plus registered agent.

The Virtual Address Workaround Nobody Mentions

Here’s completely legal strategy: Form your LLC in a different state that allows virtual addresses (Wyoming, Delaware, Nevada), then register as a foreign LLC in Oregon.

Downsides:

  • Two state fees
  • Two annual reports
  • More complexity

Upside: Privacy in your home state, compliance in Oregon.

Worth it? Depends on your privacy needs and budget.

Questions?

Oregon Secretary of State: 503-986-2200 Hours: Monday-Friday, 8 AM-5 PM Pacific

They’re helpful and actually answer the phone reasonably quickly.

Ready to Form Your Oregon LLC Without the Privacy Nightmare?

You now know what most Oregon founders learn the hard way: House Bill 2191 changed the game, but didn’t end it.

Find real addresses, file online, maintain your privacy strategically.

Need help navigating Oregon’s professional LLC requirements or interstate structures? Reach out at llciyo.com. I personally review everything.

Jake Lawson has guided over 1,200 entrepreneurs through LLC formation across all 50 states, including 270+ in post-HB 2191 Oregon. His practical approach turns regulatory obstacles into manageable steps.