LLC Cost by State in 2026

Quick answer

The cost to start an LLC depends mostly on the state filing fee. In our current 50-state table, initial LLC filing fees range from $35 to $520, with many states falling somewhere around the low hundreds.

That is only the first layer. Some states also charge annual reports, biennial reports, franchise taxes, business license fees, or minimum taxes after the LLC is formed. Optional costs such as a registered agent service, formation service, local business license, professional license, certified copies, or expedited processing can raise your total.

Most founders should compare LLC costs in the state where they actually operate, not just the cheapest filing state. A low filing fee can become expensive if you form there and then also need to register as a foreign LLC in your home state.

Initial LLC filing fee

The initial LLC filing fee is the state fee paid to create the LLC.

Most states create an LLC when you file a formation document with the state business filing office. Depending on the state, that document may be called:

• Articles of Organization
• Certificate of Organization
• Certificate of Formation
• Articles of Formation
• Public Records Filing

The name changes, but the basic idea is the same: this filing brings the LLC into existence after the state accepts it.

State fees can also vary by filing method. Some states charge a different amount for online filings, mailed filings, or card/portal processing. Use the table below as a planning guide, then confirm the current fee on the official state filing page before you submit anything.

Ongoing LLC fees

Many states require an LLC to file something after formation to stay in good standing.

That recurring requirement may be called an annual report, biennial report, periodic report, franchise tax, annual tax, business license renewal, public information report, or information statement. In a few states, the recurring state fee is $0, but the LLC may still have an information report or tax filing to handle.

The recurring fee matters because it is not a one-time startup cost. A $50 formation state with an expensive annual tax may cost more over time than a state with a higher filing fee and lower maintenance costs.

50-state cost table

LLC filing fees and recurring state fees

Initial filing fees are pulled from the state guides. Recurring fees are summary notes, so confirm the current amount with the state before filing.

Low

$35

Avg

$133

High

$520

LLC initial filing fees and recurring state fees by state

State	Initial LLC filing fee	Recurring state fee or report	State guide
Alabama	$200	$50 minimum every year	View guide
Alaska	$250	$100 every 2 years	View guide
Arizona	$50	$0; no annual report	View guide
Arkansas	$45	$150 every year	View guide
California	$70	$800 every year, plus $20 every 2 years	View guide
Colorado	$50	$25 every year	View guide
Connecticut	$120	$80 every year	View guide
Delaware	$110	$300 every year	View guide
Florida	$125	$138.75 every year	View guide
Georgia	$110	$60 every year	View guide
Hawaii	$51	$15 every year	View guide
Idaho	$100	$0; annual information report required	View guide
Illinois	$150	$75 every year	View guide
Indiana	$95	$31 every 2 years	View guide
Iowa	$50	$30 every 2 years	View guide
Kansas	$160	$50 every year	View guide
Kentucky	$40	$15 every year	View guide
Louisiana	$100	$35 every year	View guide
Maine	$175	$85 every year	View guide
Maryland	$150	$300 every year	View guide
Massachusetts	$520	$500 every year	View guide
Michigan	$50	$25 every year	View guide
Minnesota	$155	$0; annual renewal required	View guide
Mississippi	$50	$0; annual report required	View guide
Missouri	$50	$0; no annual report	View guide
Montana	$35	$20 every year	View guide
Nebraska	$100	$13 every 2 years	View guide
Nevada	$425	$350 every year	View guide
New Hampshire	$102	$100 every year	View guide
New Jersey	$125	$75 every year	View guide
New Mexico	$50	$0; no annual report	View guide
New York	$200	$9 every 2 years	View guide
North Carolina	$125	$200 every year	View guide
North Dakota	$135	$50 every year	View guide
Ohio	$99	$0; no annual report	View guide
Oklahoma	$100	$25 every year	View guide
Oregon	$100	$100 every year	View guide
Pennsylvania	$125	$7 every year	View guide
Rhode Island	$150	$50 every year	View guide
South Carolina	$125	$0 for most LLCs	View guide
South Dakota	$150	$55 every year	View guide
Tennessee	$300	$300 minimum every year	View guide
Texas	$300	$0 for most LLCs; annual public information report required	View guide
Utah	$54	$18 every year	View guide
Vermont	$155	$45 every year	View guide
Virginia	$100	$50 every year	View guide
Washington	$200	$60 every year	View guide
West Virginia	$130	$25 every year	View guide
Wisconsin	$130	$25 every year	View guide
Wyoming	$100	$60 minimum every year	View guide

Cheapest states to start an LLC

The lowest initial filing fees are not always the best overall deal, but they are useful for comparison.

Based on the current table, some of the cheapest states by initial filing fee include:

• Montana
• Kentucky
• Arkansas
• Arizona
• Colorado
• Iowa
• Michigan
• Mississippi
• Missouri
• New Mexico

This does not mean you should form in one of those states just because the fee is low. If your business is actually operated somewhere else, you may still need to register in that operating state and pay its fees too.

Most expensive states to start an LLC

The most expensive state filing fees are usually easier to notice because they hit at formation.

Higher-startup-cost states can include:

• Massachusetts
• Nevada
• Tennessee
• Texas
• Alaska
• Alabama
• New York
• Washington
• Maine
• Kansas

Some high-cost states may still be the correct choice if that is where your business operates. The right question is not “Which state is cheapest?” It is “Which state do I need to comply with anyway?”

Other LLC costs to budget for

The state filing fee is only part of the LLC budget.

You may also need to account for:

• Registered agent service: optional in some cases, but required if you need an in-state agent and cannot serve yourself
• Formation service fee: optional if you hire a company to prepare and submit the filing
• Operating agreement: free if you draft your own from a reliable template, more if an attorney customizes it
• EIN: free from the IRS when you apply directly
• Certified copies or certificates of good standing: sometimes needed for banks, foreign qualification, or vendors
• Local business licenses: city, county, or industry-specific requirements
• Sales tax permits: required for some sellers
• Professional licenses: common in regulated industries
• Publication costs: required for certain LLCs in a few states
• Tax preparation: depends on ownership, tax election, payroll, and business activity

Keep state fees, optional service fees, and tax/professional costs in separate budget lines. That makes it much easier to compare your real total.

Can you avoid LLC fees?

You usually cannot avoid the required state filing fee if you want to create an LLC.

You may be able to reduce optional costs by filing yourself, serving as your own registered agent when allowed, getting your EIN directly from the IRS, and skipping add-ons you do not need. But state filing fees and required recurring fees are part of keeping the LLC active and in good standing.

Ignoring annual reports or required taxes can lead to penalties, loss of good standing, administrative dissolution, or extra work to reinstate the LLC later.

Should you form in the cheapest state?

Usually, no.

For most small businesses, the best LLC state is the state where the business is actually operated. If you form in a cheaper state but work from, sell from, hire in, or maintain a location in your home state, that home state may still require foreign qualification.

That can mean paying fees in two states instead of one.

A cheaper formation state may make sense for certain nonresident owners, holding companies, investor-backed structures, privacy-driven plans, or businesses with real operations in that state. But if the goal is simply to save a filing fee, compare the foreign registration and annual compliance costs first.

DIY filing vs formation service

The cheapest way to form an LLC is usually to file directly with the state.

A formation service can still be helpful if you want a guided filing process, registered agent service, compliance reminders, or help avoiding form mistakes. Just remember that a service fee is separate from the state fee. If a service advertises a low formation price, the state filing fee is usually still added at checkout.

Before paying for a service, check:

• the total checkout price including the state fee
• whether registered agent service renews automatically
• whether compliance subscriptions renew automatically
• whether EIN filing is marked up even though the IRS application is free
• what support is included after formation

Bottom line

LLC costs vary by state, but the lowest number is not always the smartest number.

Start with the state where your business actually operates. Then compare the initial filing fee, recurring reports or taxes, registered agent needs, license requirements, and optional service costs. That gives you a more honest view of what the LLC will cost in year one and every year after.

Sources and notes

• Filing fees in the table are pulled from the allaboutllcs.com state guide collection, which links to official state filing offices on each state guide.
• Recurring fee notes are a planning summary and should be confirmed with the state before filing.
• U.S. Small Business Administration: Register your business
• U.S. Small Business Administration: Pick your business location