LLC Cost in Alabama — Complete Breakdown
Everything you need to know about forming and maintaining an LLC in Alabama.
Alabama LLC Formation Costs
Good news: Alabama does not charge an annual report fee for LLCs.
Detailed Cost Breakdown for Alabama
| Cost Item | Amount |
|---|---|
| Articles of Organization (Filing Fee) | $236 |
| Annual Report / Franchise Tax | $0/yr |
| Registered Agent Service | $150/yr |
| Expedited Processing (optional) | +$100 |
| Operating Agreement (recommended) | $0 – $200 |
| EIN (Federal Tax ID) | Free (IRS) |
| Estimated First-Year Total | $386 |
Cost Comparison: Alabama vs. Neighboring States
| State | Filing Fee | Annual Fee | Total 1st Year | vs. Alabama |
|---|---|---|---|---|
| Alabama | $236 | $0 | $386 | — |
| Tennessee | $300 | $300 | $750 | +$364 |
| Georgia | $100 | $50 | $300 | -$86 |
| Florida | $125 | $138 | $413 | +$27 |
| Mississippi | $50 | $0 | $200 | -$186 |
Frequently Asked Questions: Alabama LLC
How much does it cost to start an LLC in Alabama?
The state filing fee for an LLC in Alabama is $236. Including a registered agent service (~$150/yr) and any annual report fees ($0), expect total first-year costs of approximately $386.
How long does it take to form an LLC in Alabama?
Standard processing in Alabama takes 3-5 business days. Expedited processing is available for an additional $100 and takes 1 business day.
Does Alabama require a registered agent?
Yes, Alabama requires all LLCs to maintain a registered agent with a physical address in the state. Professional registered agent services typically cost $150/year.
What are the annual costs of an LLC in Alabama?
Annual LLC costs in Alabama include the annual report/franchise tax fee of $0 and registered agent fees of approximately $150/year, for a total of about $150 per year after formation.
Can I be my own registered agent in Alabama?
Yes, you can serve as your own registered agent in Alabama as long as you have a physical street address in the state and are available during business hours to accept legal documents.