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How Much Does It Cost to Form an LLC in 2026?
Forming an LLC is advertised as cheap, but the real bill includes state fees, optional services, and ongoing compliance—not just the first checkout screen. In 2026, expect anywhere from under $100 in the leanest DIY cases to $500+ when you bundle agent and expedited filing. Here is how the pieces add up.
State filing fees: typically $50–$500
Every state charges a filing fee for articles of organization; in 2026 these commonly range from about $50 in lower-fee states to $300–$500+ in higher-fee jurisdictions, before expedited processing. Some states also require publication notices that can add $50–$400 depending on local newspaper rates. Name reservation fees, if you use them, are often $10–$50 for a short hold. Foreign LLC registration—operating in a state other than formation—triggers a second filing fee, frequently $100–$300. Changing your registered agent or amending articles later usually costs another $50–$150 per filing. Always verify the current fee schedule on the secretary of state website; third-party blogs go stale quickly.
Registered agent: $0 to about $300 per year
You can often be your own registered agent if you have a physical address in the state and can receive legal mail during business hours—true $0 aside from privacy tradeoffs. Commercial registered agent services typically run $100–$300/year and are useful if you work remotely or want privacy on public records. Formation bundles sometimes include the first year free, then auto-renew at full price—calendar the renewal. Missing agent service renewals can cause administrative dissolution risk in some states, which is expensive to unwind. If you operate in multiple states, budget an agent fee per state, not one global fee. Compare whether your law firm includes agent service before you double-pay.
Formation service packages: $0 to $500+
DIY filing direct with the state is cheapest—you pay only state fees and your time. Online formation brands frequently advertise $0 plus state fees, then upsell EIN obtainment, operating agreements, and compliance alerts for $50–$300+ in bundles. Expedited processing might add $50–$150 depending on the state’s options. Same-day or rush services in busy states can exceed $200 just for speed. Some bundles include a year of agent service; read whether renewal auto-charges. Attorney-drafted LLC packages for specialized industries (real estate, healthcare) may run $800–$2,500+ but include tailored operating agreements. If you choose a bundle, itemize what you would buy à la carte to avoid paying for templated documents twice.
Ongoing compliance: annual reports and franchise taxes
Many states require annual or biennial reports with fees from $0–$300+ depending on revenue or shares structure. Franchise or privilege taxes can be flat minimums (for example $50–$450) or scale with gross receipts in some states. Missed deadlines often trigger late penalties of $50–$500 and can jeopardize good standing. Some businesses also need business licenses at city or county level for $25–$200/year. If you have employees, unemployment insurance registration and withholding accounts add setup time and sometimes small fees. Multi-state operations multiply these filings—budget compliance as a recurring line item, not a one-time formation cost.
Common mistakes that inflate LLC costs
Choosing the wrong state for convenience instead of nexus can create double registration and duplicate agent fees. Skipping an operating agreement invites expensive partner disputes later—legal fixes can exceed $2,000–$10,000. Mixing personal and business finances generates accounting cleanup fees and can weaken liability protection. Ignoring foreign qualification when you hire or sell heavily in another state risks fines and back fees. Auto-renewed upsells from formation sites stack silently—audit subscriptions yearly. Using a virtual mailbox that does not qualify as a registered agent address can cause rejected filings. When in doubt, confirm requirements with state portals, not ad copy.
The bottom line
A lean LLC can cost little more than the state fee; a supported, multi-state setup can run several hundred dollars upfront and meaningful amounts annually. Budget formation, agent service, and compliance renewals as separate categories so nothing sneaks up mid-year. If your structure is non-standard, a short attorney consult often saves more than it costs.
Estimate your LLC formation costs →Written by the CostChoices team. Last updated April 2026. Prices are based on publicly available information and may vary.