One of the first major decisions you’ll face as an entrepreneur is whether you should incorporate your business. While incorporation offers several important advantages—for example, personal liability protection and potential tax benefits—it has its own costs. Every expense counts in the early days of a business, so it’s important to consider the costs of incorporation before determining what’s the best choice for you.

Below, we’ll cover the expenses associated with incorporating a business and the best ways to save on costs when incorporating. Here’s what you should know.

What’s in this article?

• How to incorporate a business
  
• How much does it cost to incorporate in 2026?
  
• Type of costs to consider when incorporating a business in 2026
  
• How to save money when incorporating a business
  
• How Stripe Atlas can help
  

How to incorporate a business

Incorporating a business is the process of forming a legal entity separate from the business owners. Here are the steps to incorporate your business:

• Create a business name: Ensure the name is available and complies with local regulations.

• Choose where to incorporate: Determine where you want to incorporate. For US companies, this could be your home state or another state with favorable business laws.

• Select a corporate structure: The most common business types are C corporations, S corporations, and B corporations. Each has different legal and tax implications.

• File the necessary paperwork: This typically involves filing articles of incorporation or organization with the appropriate government agency.

• Establish corporate bylaws: Corporate bylaws are internal rules and procedures for governing your corporation.

• Appoint directors: These individuals will be responsible for overseeing your business.

• Obtain necessary licenses and permits: Depending on your industry and location, you might need specific licenses and permits to legally operate.

• Open a business bank account: Keep your business finances separate from your personal finances with a business bank account.

How much does it cost to incorporate in 2026?

The cost to incorporate a business in the US depends on your jurisdiction.

Here are current business incorporation fees by state:

Types of costs to consider when incorporating a business in 2026

The cost of incorporating a business varies depending on factors including where you incorporate, the complexity of your business structure, and which services you use during the process. Here are the typical costs associated with the incorporation process:

• Filing fees: Most places have a basic filing fee for the articles of incorporation, which can range from $50 to $300 in the US.

• Corporation name reservation fee: If you wish to reserve your corporation name prior to filing, you’ll probably have to pay an additional fee.

• Annual filing fee: Incorporated businesses typically have annual filing requirements with associated costs set by the local government.

• Franchise taxes: Some places require the prepayment of franchise taxes upon incorporation.

• Attorney costs: Hiring an attorney to provide legal guidance during the incorporation process is a wise move, but it will substantially increase the overall cost. Individual law firms determine their attorney fees.

• Registered agent fees: Some incorporated businesses require a registered agent, which is an individual or a service with a physical address capable of receiving business documents during business hours. Different agents and agent services charge different fees.

• Publication fees: An often overlooked fee that applies for businesses incorporated in some states. New York, Arizona, and Nebarska require all businesses to publish a public notice in a newspaper before incorporation. In Georgia and Pennsylvania, publication notices are required for corporations.

Note that many first-year incorporation costs are only paid once. However, many states also have annual licensing fees or other costs.

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 like 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 cofounders. 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 cofounders 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 cell 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 the 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 like 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.

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 like 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 cofounders. 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 cofounders 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 cell 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 the 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 like 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.