Last Updated: May 28, 2024 by TRUiC Team


How Much Does It Cost to Start an LLC?

The main cost of forming a limited liability company (LLC) is the state filing fee. This fee ranges between $0 and $500, depending on your state.

We recommend Northwest ($29 + State Fees) to help form your LLC.

How much does it cost to Form an LLC

Cost to Form an LLC in Every State (LLC Filing Fees)

The main cost of forming an LLC (Limited Liability Company) is the fee to file your LLC’s articles of organization with the Secretary of State. The LLC filing fees for these state filing documents varies by state.

Other LLC startup costs might include:

  • Business license renewal fees
  • Permit filing fees
  • Publication fees in Arizona, Nebraska, and New York
  • Optional LLC name reservation fees (required in Alabama)
  • Optional fictitious name fee (also known as DBA name)

Looking to save money? Visit our How to Save Money Forming Your LLC page.

The table below provides the state filing fees in each state as well as any annual expenses. Select the state name for a more detailed report.

State Filing Fees

Setup Costs Ongoing Costs
Alabama $200+ $100+ Annually & Business Privilege License
Alaska $250 $200 Biennially & $50 Annual Business License
Arizona $50 & Publishing Requirement No Annual Fee
Arkansas $45+ $150 Annual Franchise Tax
California $70+ $20 Biennially, $800 Annual Tax, & Annual LLC Fee
Colorado $50 $10 Annually
Connecticut $120 $20 Annually
Delaware $90 $300 Annual Franchise Tax
Florida $125 $138.75 Annually
Georgia $100+ $50 Annually
Hawaii $51 $12.50–$15 Annually
Idaho $100+ No Annual Fee
Illinois $150 $75 Annually
Indiana $95+ $50 Biennially
Iowa $50 $30–$45 Biennially
Kansas $160+ $50–$55 Annually
Kentucky $40 $15 Annually
Louisiana $100 $30 Annually
Maine $175 $85 Annually
Maryland $100 $300 Annually
Massachusetts $500 $500 Annually
Michigan $50 $25 Annually
Minnesota $135+ Annual Partnership Tax
Mississippi $50 No Annual Fee
Missouri $50+ No Annual Fee
Montana $35 $20 Annually
Nebraska $100+ & Publishing Requirement $10 Annually
Nevada $425 $150 Annual List & $200 Annual Business License
New Hampshire $100 $100 Annually, Annual Business Profits Tax, & Annual Business Enterprise Tax
New Jersey $125 $50 Annually
New Mexico $50 No Annual Fee
New York $200 & Publishing Requirement $9 Biennially & Annual Filing Fee
North Carolina $125 $200 Annually
North Dakota $135 $50 Annually
Ohio $99 Annual Commercial Activity Tax
Oklahoma $100 $25 Annually
Oregon $100 $100 Annually
Pennsylvania $125 No Annual Fee
Rhode Island $150 $50 Annually
South Carolina $110 No Annual Fee
South Dakota $150+ $50 Annually
Tennessee $300+ $50 per Member Annually & Annual Franchise/Excise Taxes
Texas $300 Annual Franchise Tax
Utah $54 $13 Annually
Vermont $125 $35 Annually
Virginia $100 $50 Annually
Washington $180+ $60 Annually
West Virginia $100 $25 Annually
Wisconsin $130+ $25 Annually
Wyoming $100+ $50 or 0.02% Value of Assets Annually
Washington D.C. $99+ $300–$400 Biennially

Other LLC Costs and Fees

Business License Renewal Fees and Permits

Depending on your industry and geographical location, your business might need federal, state, and local permits/licenses to legally operate. This is true whether you form an LLC or any other type of business structure.

Recommended: Visit our state-by-state How to Get a Business License guide.

Publication Fees

Some states (Arizona, Nebraska, and New York) require your new LLCs to publish a statement of formation in a local newspaper. 

Publishing costs can be between $40 and $2000, depending on your state’s requirements.

Name Reservation Fee

If you’re forming an LLC in Alabama, you will also need to reserve your LLC’s name for a fee of $10-$28. Reserving a name is optional for all other States.

Fictitious Name Fee

A fictitious name isn’t required for LLCs. After you form your LLC, you might want to create a fictitious name to create separate brands under your main LLC. A fictitious name is usually referred to as a DBA or “doing business as” name.

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Recommended: Learn more about LLC formation services in our best LLC services review.

Ongoing Maintenance Costs

In some states there are additional LLC maintenance costs that LLCs will be required to pay. Additional LLC costs and state and federal taxes may include:

  • Franchise Tax
  • Annual Report Fees

Franchise Tax

Some states levy a yearly tax on LLC’s (often called a franchise tax). This is usually a fixed amount, but may vary according to your LLC’s annual earnings in certain states.

Annual/Biennial Report

Most states require LLCs to submit an annual or biennial report which includes updating the name, address, and ownership of the LLC. The report fee varies state by state.

How to Register an LLC Yourself

Forming an LLC yourself is easy. Use our guide to help form your LLC here.

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Recommended: A formation company like Northwest will help you stay compliant with annual filings.

LLC Cost FAQ

The cost to start an LLC mainly includes paying a filing fee to the state. Besides the filing costs, a business owner will be responsible for paying corporate income tax and may pay ongoing fees depending on franchise taxes and/or other named ongoing costs imposed by the state on limited liability companies. LLC owners may also need to file for business licenses. Some businesses choose to use a fictitious business name, which requires a fee to be paid.

In some states, there is an annual franchise tax and/or annual report fee. Visit our LLC annual report guide and choose your state to learn exactly what ongoing fees might be required in your state.

An LLC provides limited liability protection. This means an LLC protects your personal assets in the event of a business loss such as a lawsuit or unpaid debt. 

We recommend any small business that carries even the smallest amount of risk or liability, to form an LLC. Learn more in our Should I Start an LLC guide.

You can save money on getting an LLC by:

  • Completing the formation process yourself
  • Making your own operating agreement
  • Being your own registered agent, and getting your own EIN.

Check out our How to Save Money Forming Your LLC guide to learn more.

You should always form your LLC in the state where you plan to conduct business. Otherwise, you may end up with additional unwanted costs and paperwork.   To learn more, visit our Best State to Form an LLC guide.

You can pay yourself a salary from your LLC but it would be called a draw or distribution if your LLC is taxed in the default way by the IRS.

Visit our How Do I Pay Myself From My LLC guide to learn more.

An S corporation (S corp) is an IRS tax status, not a type of business entity. An LLC can be taxed in the default way or as an S corp. For some businesses, being taxed as an S corp can make lots of sense.

Check out our S Corp vs LLC guide to learn if S corp status is right for your business.

LegalZoom creates more LLCs than any other provider. They also have mediocre reviews and charge more than any other service provider. We think there are better LLC formation services out there.

Check out our Best LLC Services review to learn more.

A sole proprietorship is only good for businesses that carry very low risk of liability because sole proprietorships don’t offer any liability protection.

Learn more in our sole proprietorship vs LLC guide.

There are many advantages to starting an LLC. Visit our guide to learn more about the benefits of an LLC.

An LLC can help with taxes if your business needs more options. An LLC can be taxed via pass-through taxation, as an S corp, or as a C corp. 

Visit our Choosing a Business Structure guide to learn what type of business structure would offer the most tax benefits to your unique business.

Both corporations and LLCs offer limited liability protection.

LLCs are easier to set up and run. LLCs also cost less. Corporations are useful for small businesses and startups that need to rely on outside investors.

Learn more in our LLC vs Corporation guide.

Yes. LLCs can protect a business owner’s personal assets but you’ll need small business insurance to protect the business’s assets. 

Read our Best Small Business Insurance for LLCs review to learn more.