The Average cost for setting up an LLC

The average cost for setting up an LLC is 132$. This is a one-time filing fee taken to create an LLC. The cheapest state to start an LLC is Kentucky (40$ filing fee). While the most expensive state to form an LLC is Massachusetts (500$ filing fee). For checking the filing fee of all other states you can see the table below.

State	LLC Filing Fee in $
Alabama LLC	200
Alaska LLC	250
Arizona LLC	50
Arkansas LLC	45
California LLC	70 0 until June 2023.
Colorado LLC	50
Connecticut LLC	120
Delaware LLC	90
Florida LLC	125
Georgia LLA	100
Hawaii LLC	50
Idaho LLC	100
Illinois LLC	150
Indiana LLC	95
Iowa LLC	50
Kansas LLC	160
Kentucky LLC	40
Louisiana LLC	100
Maine LLC	175
Maryland LLC	100
Massachusetts LLC	500
Michigan LLC	50
Minnesota LLC	155
Mississippi LLC	50
Missouri LLC	50
Montana LLC	70 35
Nebraska LLC	105
Nevada LLC	425
New Hampshire LLC	100
New Jersey LLC	125
New Mexico LLC	50
New York LLC	200
North Carolina LLC	125
North Dakota LLC	135
Ohio LLC	99
Oklahoma LLC	100
Oregon LLC	100
Pennsylvania LLC	125
Rhode Island LLC	150
South Carolina LLC	110
South Dakota LLC	150
Tennessee LLC	300
Texas LLC	300
Utah LLC	54
Vermont LLC	125
Virginia LLC	100
Washington LLC	200
Washington DC LLC	99
West Virginia LLC	100
Wisconsin LLC	130
Wyoming LLC	100

Other LLC Start up costs

There are other fees that you need to pay in order to start an LLC. This amount varies from state to state.

Cost to Reserve a name for your LLC

You have to choose a name for your LLC that is different from other existing LLCs and is also unique. Almost all states help you reserve an LLC name of your choice for one or two months (by filing a reservation application). The cost may vary from 10$ to 50$. This is not a mandatory thing. You do not have to reserve a name before filing your articles of organization.

Fictitious Business Name Application Fees

You can choose a different (than the one in your articles of organization) name to operate your LLC. This is known as a fictitious business name or DBA (doing business as). But this is also not mandatory and you can go with the original name as well.

For using a fictitious name, you must file an application and then pay a filing fee. In some states, you file a single state-wide application with one state agency. But in other states, you have to file an application every country where you have a business office. Some states ask you to publish your fictitious business name in a legal newspaper. The total cost can be 10$ to 200$.

Business License Fees

Depending on the place of your business office, you might have to obtain a business license for your LLC from that state’s government. Most states have local license requirements. On the other hand, some states have state-wide business licenses. The cost to obtain a business license may vary from 50$ to 100$.

Ongoing Costs of Running an LLC

Once your LLC is formed and running, you have to pay ongoing fees to keep it in good stead. If you fail to pay these fees, your LLC can be shut down by the state and it will loose its legal right to do business.

Minimum Annual LLC Taxes

Depending on your state, you may have to pay special minimum annual LLC taxes (franchise tax or fees). This is a tax that you must pay, no matter how much your LLC earns. The state with highest franchise tax for LLC is California (800$ annually). While mostly other states charge 100$ to 400$.

Annual Report Fees

Most states require you to make a filing annually or biennially with the Secretary of State to keep your LLC’s contact information up-to-date. This filing is also called an annual or biennial report, periodic report, statement of information. You must pay your filing fee along with the report of statement. This fee is around 20$ to 100$.

Registered Agent Fee

For your LLC, you must have a registered agent in the state. This is an individual that agrees to accept legal documentations on the behalf of your LLC, in case your company is sued. Your LLC cannot be its own agent to take these papers, there must be a third party for this purpose.

Any individual (over age 18) can be your registered LLC agent until he lives in the state. You or an employee of your company can be your registered agent but usually it is preferable to have a professional registered agent. The annual fee for a registered agent can be 100$ to 300$.

Business License Renewal Fees

You must renew your LLC business license. You have to renew it annually. This fees is usually 20$ to 100$.

Overall Cost

The actual cost to form an LLC will vary depending on the state where your form your LLC. Even though some states have higher fees, the LLC formation cost is cheaper than forming a corporation. And you have to pay more if you hire a professional for starting your business.