Forming a business in the US is a complex process with specific requirements that vary depending on your state of incorporation, your corporate structure (e.g. corporation, LLC), and the type of business you’re conducting. Initial filing fees to form a business also vary by state, ranging from $50 to $520, depending on where you are filing.
This guide will cover the fees and costs associated with company formation in the US, including the filing fees and annual report fees for each state.
What’s in this article?
- How much does it cost to incorporate?
- Company formation fees by state
How much does it cost to incorporate?
The total cost to incorporate a business can range from a few hundred dollars to several thousand dollars, depending on your location and which services you opt for during the incorporation process. Filing for incorporation on your own is the most cost-effective option, but that requires more time and knowledge of the process. Hiring professional help such as attorneys (for legal compliance advice) or accountants (for tax preparation and filing) introduces additional costs, but it simplifies the process.
Here are the basic costs associated with company formation:
Filing fees: Each state has different fees for filing the articles of incorporation.
Franchise taxes: Some states impose annual franchise taxes, which vary depending on your business’s income.
Registered agent fees: Every incorporated business needs a registered agent. The cost of this service varies depending on the individual or entity you choose.
Publication costs: Some states require you to publish a notice of incorporation in a newspaper. The cost of this varies depending on the publication and the location.
Company formation fees by state
Here is a comprehensive list of business formation fees by state in 2024. These fees include the initial filing fee and any annual or biennial report fees required to maintain the LLC. Report fees are annual, except for the following states with biennial renewals: Alaska, Indiana, Iowa, Nebraska, New York, and Washington, D.C. Additional fees might apply for registered agent services, business licences, and other filings.
|
State
|
LLC initial filing fee
|
LLC annual/biennial report fee
|
Corporation initial filing fee
|
Corporation annual/biennial report fee
|
|---|---|---|---|---|
| Alabama | $165 | None | $165 | None |
| Alaska | $250 | $100 | $250 | $100 |
| Arizona | $50 | None | $60 | $45 |
| Arkansas | $50 | $150 | $50 | $150 |
| California | $75 | $20 | $105 | $25 |
| Colorado | $50 | $10 | $50 | $10 |
| Connecticut | $175 | $20 | $455 | $100 |
| Delaware | $140 | $300 | $140 | $225 |
| Florida | $155 | $139 | $79 | $150 |
| Georgia | $100 | $50 | $100 | $50 |
| Hawaii | $50 | $15 | $50 | $15 |
| Idaho | $100 | None | $101 | None |
| Illinois | $500 | $305 | $175 | $155 |
| Indiana | $90 | $30 | $90 | $30 |
| Iowa | $50 | $45 | $50 | $55 |
| Kansas | $160 | $55 | $90 | $55 |
| Kentucky | $55 | $15 | $55 | $15 |
| Louisiana | $100 | $30 | $100 | $30 |
| Maine | $175 | $85 | $145 | $85 |
| Maryland | $155 | $300 | $155 | $300 |
| Massachusetts | $520 | $520 | $295 | $135 |
| Michigan | $50 | $25 | $60 | $25 |
| Minnesota | $160 | None | $160 | None |
| Mississippi | $50 | $25 | $50 | $25 |
| Missouri | $50 | None | $58 | $45 |
| Montana | $70 | $15 | $70 | $15 |
| Nebraska | $120 | $26 | $65 | $26 |
| Nevada | $75 | $325 | $75 | $325 |
| New Hampshire | $100 | $100 | $100 | None |
| New Jersey | $125 | $50 | $125 | $50 |
| New Mexico | $50 | None | $100 | $25 |
| New York | $210 | $9 | $145 | $9 |
| North Carolina | $125 | $202 | $125 | $20 |
| North Dakota | $135 | $50 | $100 | $25 |
| Ohio | $125 | None | $125 | None |
| Oklahoma | $104 | $25 | $52 | None |
| Oregon | $100 | $100 | $100 | $100 |
| Pennsylvania | $125 | None | $125 | None |
| Rhode Island | $150 | $50 | $230 | $50 |
| South Carolina | $110 | None | $135 | None |
| South Dakota | $150 | $50 | $150 | $50 |
| Tennessee | $325 | $310 | $125 | $20 |
| Texas | $310 | None | $310 | None |
| Utah | $72 | $15 | $72 | $15 |
| Vermont | $125 | $25 | $125 | $35 |
| Virginia | $104 | $50 | $79 | $100 |
| Washington | $200 | $73 | $200 | $73 |
| Washington D.C. | $220 | $300 | $220 | $300 |
| West Virginia | $132 | $25 | $82 | $25 |
| Wisconsin | $130 | $25 | $100 | $40 |
| Wyoming | $103 | $52 | $103 | $52 |
These fees are subject to change, so it’s a good idea to check with the respective state’s Secretary of State office for the most current information.
How Stripe Atlas can help
Stripe Atlas sets up your company's legal foundations so you can fundraise, open a bank account and accept payments within two business days from anywhere in the world.
Join 75K+ companies incorporated using Atlas, including startups backed by top investors such as Y Combinator, a16z and General Catalyst.
Applying to Atlas
Applying to form a company with Atlas takes less than 10 minutes. You'll choose your company structure, instantly confirm whether your company name is available and add up to four co-founders. You'll also decide how to split equity, reserve a pool of equity for future investors and employees, appoint officers and then e-sign all your documents. Any co-founders will receive emails inviting them to e-sign their documents, too.
Accepting payments and banking before your EIN arrives
After forming your company, Atlas files for your EIN. Founders with a US Social Security number, address and mobile phone number are eligible for IRS expedited processing, while others will receive standard processing, which can take a little longer. Additionally, Atlas enables pre-EIN payments and banking, so you can start accepting payments and making transactions before your EIN arrives.
Cashless founder stock purchase
Founders can purchase initial shares using their intellectual property (e.g. copyrights or patents) instead of cash, with proof of purchase stored in your Atlas Dashboard. Your IP must be valued at $100 or less to use this feature; if you own IP above that value, consult a lawyer before proceeding.
Automatic 83(b) tax election filing
Founders can file an 83(b) tax election to reduce personal Income taxes. Atlas will file it for you – whether you are a US or non-US founder – with USPS Certified Mail and tracking. You'll receive a signed 83(b) election and proof of filing directly in your Stripe Dashboard.
World-class company legal documents
Atlas provides all the legal documents you need to start running your company. Atlas C corp documents are built in collaboration with Cooley, one of the world's leading venture capital law firms. These documents are designed to help you fundraise immediately and ensure your company is legally protected, covering aspects such as ownership structure, equity distribution and tax compliance.
A free year of Stripe Payments, plus $50K in partner credits and discounts
Atlas collaborates with top-tier partners to give founders exclusive discounts and credits. These include discounts on essential tools for engineering, tax, finance, compliance and operations from industry leaders like AWS, Carta and Perplexity. We also provide you with your required Delaware registered agent for free in your first year. Plus, as an Atlas user, you'll access additional Stripe benefits, including up to a year of free payment processing for up to $100K in payments volume.
Learn more about how Atlas can help you set up your new business quickly and easily and get started today.
The content in this article is for general information and education purposes only and should not be construed as legal or tax advice. Stripe does not warrant or guarantee the accuracy, completeness, adequacy, or currency of the information in the article. You should seek the advice of a competent lawyer or accountant licensed to practise in your jurisdiction for advice on your particular situation.