If you are looking to form an LLC, or Limited Liability Company, it pays to be aware of the costs involved in setting it up in each of the 50 states.
Sometimes you are best advised to form the LLC in the state where you reside – it’s simpler that way.
But some people – foreign investors in the US and people establishing companies that are likely to operate across several states – have the choice of which state to incorporate in.
Here are the cheapest states in which to form your limited liability company. Check our site for a full table of the costs in forming and maintaining an LLC in all 50 states.
What is the Cheapest State to Form an LLC?
In terms of LLC formation fees, the cheapest states to form an LLC are:
- Kentucky ($40)
- Arkansas ($50)
- Colorado ($50)
- Hawaii ($50)
- Iowa ($50)
- Michigan ($50)
- Mississippi ($50)
- Missouri ($50)
- New Mexico ($50)
In terms of ongoing costs for filing the LLC’s annual report, the cheapest states are:
- Idaho, Mississippi, New Mexico, Ohio ($0)
- Wyoming (as little as $2)
- Colorado, Nebraska ($10)
- Hawaii ($15)
- Kentucky, Indiana ($15)
- Montana, Utah ($20)