How Much Does It Cost to Form an LLC? (All 50 States)
If you’re considering starting a limited liability company (LLC), you’re probably wondering how much it costs. All 50 states have their own rules and regulations for the LLC formation process, and they all have different price points regarding startup costs and ongoing maintenance fees as well. These costs vary from around $50 all the way up to several hundred dollars, so you might want to know exactly what to expect before you get started.
In this guide, you’ll find all the information you need regarding formation costs, as well as any ongoing compliance fees your state may have ― whether that’s annual report filing fees, franchise taxes, or other costs. Let’s figure out how much your new LLC will cost!
How Much Does It Cost to Create a New LLC?
Every state has some sort of formation fee when you create an LLC, even if you’re handling the process yourself with the DIY method. Of course, if you have room in your budget, you can hire an LLC formation service or enlist the help of a lawyer to form your new business, but both of those options carry additional costs (obviously, hiring an attorney is by far the most expensive of these three options).
Your state’s LLC formation fee is tied to the filing of your articles of organization ― also known in some states as a certificate of organization or certificate of formation. Let’s take a look at what this will cost you on a state-by-state basis.
Filing Fees by State
District of Columbia: $220
New Hampshire: $100
New Jersey: $125
New Mexico: $50
New York: $200
North Carolina: $125
North Dakota: $135
Rhode Island: $150
South Carolina: $110
South Dakota: $150
Tennessee: $300 (plus $50 per member, if you have more than six members)
West Virginia: $100
In three states, you’re also required to publish proof of your LLC formation in a local newspaper. In Arizona, Nebraska, and New York, your formation is not considered to be complete until you have run your ad in an approved newspaper. As for the additional costs you’ll incur to do so, New York charges $50 in addition to the newspaper’s fees, whereas in Arizona and Nebraska you’ll only need to pay the advertising costs.
How Much Does It Cost to Maintain an LLC?
Beyond your startup costs, most states have some sort of ongoing maintenance fees for LLCs. These can take several different forms, although the most common is the annual report filing fee. There are also several states that charge a franchise tax, which is usually a fee levied on an annual basis against your company’s net worth.
For the most part, the costs associated with your ongoing compliance revolve around keeping the government apprised of any changes to your company’s status or organizational structure. There is a ton of variance in the rate each state charges to maintain your LLC’s compliant status, so let’s take a look and see what it might cost in your state of formation.
Annual Report and Franchise Tax Costs by State
Alabama: $100 minimum annual franchise tax
Alaska: $100 biennial report
Arizona: No fee
Arkansas: $150 annual report
California: $20 biennial report, plus $800 minimum annual franchise tax
Colorado: $10 annual report
Connecticut: $20 annual report, plus $250 biennial business entity tax
Delaware: $300 annual tax
District of Columbia: $300 biennial report
Florida: $138.75 annual report
Georgia: $50 annual report
Hawaii: $12.50 annual report
Idaho: No fee
Illinois: $75 annual report
Indiana: $50 biennial report
Iowa: $45 biennial report
Kansas: $55 annual report
Kentucky: $15 annual report, plus $175 minimum annual limited liability entity tax
Louisiana: $30 annual report
Maine: $85 annual report
Maryland: $300 annual report
Massachusetts: $500 annual report
Michigan: $25 annual report
Minnesota: No fee
Mississippi: No fee
Missouri: No fee
Montana: $20 annual report
Nebraska: $10 biennial report
Nevada: $150 annual report, plus $200 business license fee
New Hampshire: $100 annual report
New Jersey: $50 annual report
New Mexico: No fee
New York: $9 biennial report, plus $25 minimum annual LLC filing fee
North Carolina: $200 annual report
North Dakota: $50 annual report
Ohio: No fee
Oklahoma: $25 annual report
Oregon: $100 annual report
Pennsylvania: $70 decennial report
Rhode Island: $50 annual report
South Carolina: No fee
South Dakota: $50 annual report
Tennessee: $300 minimum annual report (plus $50 per member, if you have more than six members), plus $100 minimum franchise tax
Texas: 0.375% retail/wholesale or 0.75% non-retail/wholesale annual franchise tax
Utah: $20 annual report
Vermont: $35 annual report
Virginia: $50 annual report
Washington: $60 annual report
West Virginia: $25 annual report
Wisconsin: $25 annual report
Wyoming: $50 minimum annual report (or 0.02% of LLC assets in Wyoming)
Should I Hire an LLC Service?
If you’re not on a super-tight budget, you might want to hire a reputable LLC service provider to form and/or maintain your business. In addition to simplifying and streamlining the formation process, these companies can also file your annual reports ― many of them even offer fully managed annual report service, which means you won’t even need to keep track of your own due dates.
Do you want a professional LLC service provider to form your business? Take a look at these excellent options:
- IncFile: $49 – IncFile not only has a great rate, but they also include a full year of registered agent service with any LLC formation package. Throw in the fact that they also receive fantastic customer feedback, and IncFile is usually our top option for LLC service.
- Northwest Registered Agent: $79 – Like IncFile, Northwest bundles in a year of registered agent service, but they up the ante by locally scanning every document they receive on your behalf, while their competitors only scan the government docs they’re required to scan. Northwest also provides premium personalized customer support, making them worth the extra money if you like what they have to offer.
- LegalZoom: $149 – They can’t compete with IncFile and Northwest when it comes to pricing, but LegalZoom is one of the industry leaders for brand power and customer volume. In addition, their 100% satisfaction guarantee and extended customer support hours are welcome features.
Looking for assistance with ongoing compliance? These are some solid options for annual report service:
- MyCompanyWorks: $49 – With MyCompanyWorks, you’re getting one of the lowest price points available for annual report filing. In addition, they have a 100% satisfaction guarantee, and their customer support department responds to most messages and phone calls within just 20 minutes.
- Harbor Compliance: Price Varies – If you want to simply sit back and relax while someone else handles the entire annual report process for you, give Harbor Compliance a look. Their fully managed service takes care of every step in the annual report process.
Are you looking for a great LLC formation service, and someone to handle your annual reports? Check out this option:
- MyCorporation: $99 – At this very reasonable price point, MyCorporation will not only form your LLC, but they’ll also include a year of their managed annual report service. You won’t even need to keep track of your own due dates!
While the costs of forming and maintaining your LLC certainly vary quite a bit by state, in general it doesn’t cost an arm and a leg to own and operate this type of business entity. We hope this article helped you figure out how much it will cost you to create and run your LLC, and keep in mind that if you require assistance at any time, there are plenty of quality LLC service providers that can help you out. Good luck!