How Much Does an Ohio LLC Cost

Here’s a breakdown of the main requirements and associated fees for forming an LLC in Ohio.

Ohio LLC Filing Fee ($99)

To legally register your LLC in Ohio, you must submit the Articles of Organization with the Secretary of State. The filing fee for this submission is $99, regardless of whether you’re registering a domestic or foreign LLC (i.e., regardless of whether your LLC will be operating from within or from outside of the state). 

If you choose to use a professional LLC formation service, the overall cost will be slightly higher, as it will include Ohio’s state filing fee plus a small service fee. 

These services generally start around $29, but can be priced even lower or be significantly more expensive depending on the provider in question (and the optional features added).

Statutory Agent ($0-$150+)

As part of forming your LLC in Ohio, you are required to designate a statutory agent (commonly referred to as a registered agent in other states). This individual or entity is responsible for receiving important legal, tax, and governmental documents on behalf of your LLC.

You can act as your own statutory agent at no additional cost, but hiring a professional service is often recommended. This helps avoid potential penalties due to non-compliance and ensures your personal information remains private. 

Statutory agent service fees vary significantly, typically ranging from $125 to $300+ per year. Some service providers offer users one year free of charge post LLC formation. 

Note: Your statutory agent will need to sign the Acceptance of Appointment section of your LLC’s Articles of Organization in order for their appointment to be valid.

Ohio LLC Name ($0 – $78+)

While the process of naming your Ohio LLC doesn’t incur a direct cost, there are two potential expenses to be aware of.

Reserving a Name

If you’ve selected a name but aren’t ready to form your LLC immediately, you can reserve the name by submitting the Name Reservation/Transfer/Cancellation form to the Ohio Secretary of State. The reservation costs $39 and holds the name for 180 days. You can list up to two alternative names in case your first choice is unavailable.

It’s recommended to check the availability of your desired name beforehand by using the Ohio Secretary of State’s online Business Search tool.

You should also ensure that the name is available as a domain, as you’ll need this for your business website. 

Doing Business As (DBA) Name

If you plan to operate your Ohio LLC under a different name from the one listed in the Articles of Organization, you’ll need to file for a DBA name. This requires submitting Form 534A (Name Registration) to the Ohio Secretary of State and paying a $39 filing fee. 

The DBA registration remains valid for five years and can be renewed for a $25 fee.

Optional Ohio LLC Formation Costs

Beyond the standard formation costs, there are several additional expenses that Ohio LLCs may encounter based on their specific circumstances.

Expedited Filing Services

If you need your LLC’s paperwork to be processed quickly, the Ohio Secretary of State offers three different expedited service options:

• Expedite Service 1: For an additional $100, your documents will be processed within 2 business days.
• Expedite Service 2: For an extra $200, your filing will be processed within 1 business day. This service is only available for walk-ins at the Client Service Center.
• Expedite Service 3: For an additional $300, your filing will be processed within 4 hours if submitted by 1:00 p.m. This service is also only available for walk-ins at the Client Service Center.

Standard processing time without expedited service typically ranges between three and seven business days (depending on the current workload of the Ohio Secretary of State’s office).

Ohio Local Business Licenses

Depending on your LLC’s location and industry, you may need to obtain a local business license and/or permit to operate legitimately. 

For example, operating a hotel in Columbus requires a Hotel/Motel License, which includes a $20 application fee, a $32 background check fee, and a $75 license fee.

Ohio Professional Licenses

In Ohio, certain professional fields such as medicine, law, and accounting require specialized licenses. These are managed through the state’s eLicense system, which streamlines the application and renewal processes.

For instance, under Ohio Revised Code 4768, Appraisal Management Companies (AMCs) operating in Ohio must obtain a state-issued license from the Ohio Division of Real Estate & Professional Licensing board, with a fee of $1,000.

Certificate of Good Standing

A Certificate of Good Standing, known in Ohio as a Full Force and Effect Certificate, verifies that your LLC is properly registered and legally authorized to conduct business in the state. This document is often required for opening a business bank account or applying for loans.

To obtain a Certificate of Good Standing, you’ll need to submit a Certificate Request form and pay a $5 fee via the Ohio Secretary of State’s Online Services page.

Certified Copies of Business Documents

Certified copies of your LLC’s business documents verify the authenticity of your filings. You can request these copies by submitting this Certification/Copy Request form to the Secretary of State.

Certified copies cost $5 each, while plain copies are available at no charge and can also be accessed online. For requests exceeding 100 pages, an additional $5 fee will apply.

Ohio LLC Operating Agreement

While not legally required, it’s advisable for Ohio LLCs to have an operating agreement. This document outlines the roles, responsibilities, and ownership structure of the LLC’s members or managers, helping to avert disputes.

You can draft the operating agreement yourself at no cost, or hire an attorney or online service to create one for you, which typically costs a few hundred dollars. It’s important to note that this document is an internal agreement and does not need to be filed with the state.

Ongoing Costs to Maintain an Ohio LLC

Unlike most states, Ohio does not have maintenance costs specific to the state — such as a business privilege tax or annual fee. 

Even so, there can still be some costs to consider on an annual basis, including those relating to a registered agent service and/or taxes. 

Registered Agent Maintenance

If you continue to use a professional registered agent service, you’ll need to pay an annual fee, typically ranging from $35 to $300 depending on the provider you choose and the level of service offered (e.g., whether you want mail forwarding, a business phone number, EIN, etc). 

While not required, using a professional registered agent is recommended for compliance and privacy protection, especially for first time business owners. 

Ohio LLC vs Other States

Ohio is an attractive option for entrepreneurs due to its straightforward regulations and favorable tax environment. 

Having said that, it’s important to note that the best state to form your LLC in will generally almost always be where you plan to conduct most of your business from. 

This approach simplifies compliance with legal and tax obligations, as you’ll only need to adhere to one state’s regulations. It will also mean that you will avoid having to pay registration and maintenance fees in more than one state.