{"id":100011,"date":"2018-01-01T10:00:00","date_gmt":"2018-01-01T10:00:00","guid":{"rendered":"http:\/\/llcbuddy-static-11"},"modified":"2018-01-01T10:00:00","modified_gmt":"2018-01-01T10:00:00","slug":"llc-cost-in-alabama","status":"publish","type":"post","link":"https:\/\/www.trendsmosaic.com\/index.php\/2018\/01\/01\/llc-cost-in-alabama\/","title":{"rendered":"LLC Cost in Alabama \u2013 How Much to Pay for an LLC"},"content":{"rendered":"<details class=\"chlog\">\n<summary><svg class=\"chlog-ico\" fill=\"none\" height=\"21\" stroke=\"currentColor\" stroke-width=\"1.8\" viewbox=\"0 0 24 24\" width=\"21\"><circle cx=\"12\" cy=\"12\" r=\"9\"><\/circle><path d=\"M12 7.5V12l3 2\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg><span class=\"chlog-lead\"><b>Page update history<\/b><span>Last updated Aug 25, 2026 \u00b7 published 2018<\/span><\/span><span class=\"chlog-count\">since 2018<\/span><svg class=\"chlog-chev\" fill=\"none\" height=\"18\" stroke=\"currentColor\" stroke-width=\"2\" viewbox=\"0 0 24 24\" width=\"18\"><path d=\"M6 9l6 6 6-6\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg><\/summary>\n<div class=\"chlog-body\">\n<div class=\"chlog-item\">\n<div class=\"chlog-date\">Aug 25, 2026<\/div>\n<div class=\"chlog-sum\">Updated state filing and renewal fees for accuracy (Aug 2026).<\/div>\n<\/div>\n<details class=\"chlog-older\">\n<summary><svg class=\"cx\" fill=\"none\" height=\"15\" stroke=\"currentColor\" stroke-width=\"2.2\" viewbox=\"0 0 24 24\" width=\"15\"><path d=\"M6 9l6 6 6-6\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg><span class=\"lbl-more\">Show full history<\/span><span class=\"lbl-less\">Hide earlier history<\/span><\/summary>\n<div class=\"chlog-older-body\">\n<div class=\"chlog-gap\">We didn\u2019t keep a public change log during this period.<\/div>\n<div class=\"chlog-item is-pub\">\n<div class=\"chlog-date\">2018<\/div>\n<div class=\"chlog-sum\">Article first published.<\/div>\n<\/div>\n<\/div>\n<\/details>\n<\/div>\n<\/details>\n<p><img alt=\"alabama_state_seal\" class=\"img-small\" decoding=\"async\" height=\"250\" loading=\"lazy\" src=\"https:\/\/www.trendsmosaic.com\/alabama-llc\/llc-cost-in-alabama\/images\/alabama_state_seal.png\" width=\"250\"\/><\/p>\n<p>Perhaps you are hoping to form an <a href=\"https:\/\/www.trendsmosaic.com\/alabama-llc\/\">LLC in Alabama<\/a>. People assume that <a href=\"https:\/\/www.trendsmosaic.com\/\">starting an LLC<\/a> is difficult and costly. However, it&#8217;s generally easy, and the cost would vary across states. We have all the info you need to know about the <a href=\"https:\/\/www.trendsmosaic.com\/llc-cost\/\">cost of forming an LLC<\/a>, particularly the <a href=\"https:\/\/www.trendsmosaic.com\/alabama-llc\/llc-cost-in-alabama\/\">LLC cost in Alabama<\/a>.<\/p>\n<div class=\"toc-content\">\n<h4>On this page<\/h4>\n<p><a href=\"\/#alabama-llc-cost-of-filing\">Alabama LLC Cost of Filing<\/a><a href=\"\/#cost-comparison-among-states\">Cost Comparison Among States<\/a><a href=\"\/#other-costs\">Other Costs<\/a><a href=\"\/#faqs\">F.A.Qs<\/a><\/div>\n<h2 id=\"alabama-llc-cost-of-filing\">Alabama LLC Cost of Filing<\/h2>\n<p>Here are the costs involved in forming an LLC in Alabama.<\/p>\n<h3 id=\"cost-of-filing-formation-certificates\">Cost of Filing Formation Certificates<\/h3>\n<p>The Alabama Certificate of Formation is responsible for the majority of the cost, which also varies depending on whether you\u2019re forming a domestic LLC or a foreign LLC. Still, you can file both at the <a href=\"https:\/\/www.sos.alabama.gov\/business-entities\/llcs\" rel=\"noopener noreferrer\" target=\"_blank\">Alabama Secretary of State<\/a>.<\/p>\n<p><strong>Alabama Domestic LLC<\/strong><\/p>\n<ul>\n<li>\n<p><a href=\"https:\/\/www.alabamainteractive.org\/sos\/introduction_input.action\" rel=\"noopener noreferrer\" target=\"_blank\"><strong>Online Filing<\/strong><\/a> costs $208.<\/p>\n<\/li>\n<li>\n<p><strong>By Mail:<\/strong> Fill out the <a href=\"https:\/\/www.trendsmosaic.com\/sites\/default\/files\/2022-09\/DomesticLLCFormation.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">application form<\/a>, and send it to <em>Secretary of State Business Services, P.O. Box 5616, Montgomery, Alabama 36103-5616<\/em>. Costs $200.<\/p>\n<\/li>\n<\/ul>\n<p><strong>Alabama Foreign LLC<\/strong><\/p>\n<ul>\n<li>\n<p><a href=\"https:\/\/www.alabamainteractive.org\/sos\/contactInformation_input.action\" rel=\"noopener noreferrer\" target=\"_blank\"><strong>Online Filing<\/strong><\/a> costs $156.<\/p>\n<\/li>\n<li>\n<p><strong>By Mail:<\/strong> Fill out the <a href=\"https:\/\/www.trendsmosaic.com\/sites\/default\/files\/2022-09\/ForeignLLCRegistration.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">application form<\/a>, and send it to <em>Secretary of State Business Services, P.O. Box 5616, Montgomery, Alabama 36103-5616<\/em>. Costs $150.<\/p>\n<\/li>\n<\/ul>\n<p>Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won&#8217;t have to wait in a queue in doing so.<\/p>\n<h3 id=\"alabama-llc-formation-service-or-registered-agent-fee\">Alabama LLC Formation Service or Registered Agent Fee<\/h3>\n<p>You need a <a href=\"https:\/\/www.trendsmosaic.com\/best-registered-agent-services\/\">registered agent<\/a> to form an LLC in Alabama, hence, added costs for service fees. Here are three of the <a href=\"https:\/\/www.trendsmosaic.com\/best-llc-service\/\">best LLC services<\/a> on our list.<\/p>\n<p> Output for wptb id 44275 (used on ~332 pages): LLC service comparison.<br \/>\n     Logos in static\/logos\/: legalzoom.png, northwest.png. Styling: .ptable in theme\/style.css. <\/p>\n<div class=\"ptable\">\n<div class=\"ptable-head\">\n<span>LLC Service<\/span><br \/>\n<span>Our Rating<\/span><br \/>\n<span>Top Features<\/span><br \/>\n<span>Pricing<\/span>\n<\/div>\n<div class=\"ptable-row\">\n<div class=\"pt-service\">\n<span class=\"pt-badge\">#1 Top Pick<\/span><br \/>\n<a href=\"https:\/\/www.trendsmosaic.com\/go\/legalzoom\/\" rel=\"noopener noreferrer\" target=\"_blank\"><img decoding=\"async\" alt=\"LegalZoom\" loading=\"lazy\" src=\"https:\/\/www.trendsmosaic.com\/logos\/legalzoom.png\"\/><\/a>\n<\/div>\n<div class=\"pt-rating\">\n<div class=\"pt-stars-row\">\n<div aria-label=\"Rated 5 out of 5\" class=\"pt-stars\" role=\"img\" style=\"--rating:5\"><\/div>\n<p><span class=\"pt-num\">5.0<\/span>\n<\/div>\n<\/div>\n<ul class=\"pt-features\">\n<li>1-day rush filing (add-on)<\/li>\n<li>Attorney help (legal plan)<\/li>\n<li>Established reputation<\/li>\n<\/ul>\n<div class=\"pt-cta\">\n<div class=\"pt-price\">$0 <small>+ State Fees<\/small><\/div>\n<p><a class=\"btn\" href=\"https:\/\/www.trendsmosaic.com\/go\/legalzoom\/\" rel=\"noopener noreferrer\" target=\"_blank\">Start My LLC<\/a>\n<\/div>\n<\/div>\n<div class=\"ptable-row\">\n<div class=\"pt-service\">\n<a href=\"https:\/\/www.trendsmosaic.com\/go\/northwestregisteredagent\/\" rel=\"noopener noreferrer\" target=\"_blank\"><img decoding=\"async\" alt=\"Northwest Registered Agent\" loading=\"lazy\" src=\"https:\/\/www.trendsmosaic.com\/logos\/northwest.png\"\/><\/a>\n<\/div>\n<div class=\"pt-rating\">\n<div class=\"pt-stars-row\">\n<div aria-label=\"Rated 4.5 out of 5\" class=\"pt-stars\" role=\"img\" style=\"--rating:4.5\"><\/div>\n<p><span class=\"pt-num\">4.5<\/span>\n<\/div>\n<\/div>\n<ul class=\"pt-features\">\n<li>Free RA service for a year<\/li>\n<li>Customised LLC Package<\/li>\n<li>Transparent pricing<\/li>\n<\/ul>\n<div class=\"pt-cta\">\n<div class=\"pt-price\">$39 <small>+ State Fees<\/small><\/div>\n<p><a class=\"btn\" href=\"https:\/\/www.trendsmosaic.com\/go\/northwestregisteredagent\/\" rel=\"noopener noreferrer\" target=\"_blank\">Get Started<\/a>\n<\/div>\n<\/div>\n<\/div>\n<h3 id=\"business-permits-and-licenses\">Business Permits and Licenses<\/h3>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/business-license-search\/\">Business licenses<\/a> are renewed yearly and depend on your business activity and location, so the cost will vary. Check the <a href=\"https:\/\/www.revenue.alabama.gov\/\" rel=\"noopener noreferrer\" target=\"_blank\">Alabama Department of Revenue<\/a> for regulatory boards or agencies requiring licensing.<\/p>\n<h3 id=\"alabama-business-privilege-tax-and-annual-report\">Alabama Business Privilege Tax and Annual Report<\/h3>\n<p>Once you have your <a href=\"https:\/\/www.trendsmosaic.com\/ein\/\">EIN<\/a> or Employer Identification Number, apart from filing <a href=\"https:\/\/www.trendsmosaic.com\/sales-tax-for-small-businesses\/\">sales tax<\/a>, the company needs to pay the Business Privilege Tax (BPT) after 2.5 months as an LLC in Alabama. This is a requirement for all LLCs formed in Alabama.<\/p>\n<p>All LLCs need to pay their taxes before the third week of April and it can vary from 0.00025% to 0.000175%, depending on the net worth of the LLC. The exact rate will be obtained based on the entity&#8217;s taxable income in the previous year. The minimum amount that the business will have to pay for this tax is $100.<\/p>\n<h2 id=\"cost-comparison-among-states\">Cost Comparison Among States<\/h2>\n<p>Money is needed to operate a company. Also, when forming an LLC, you need to pay some filing fees and other costs like those for the certificate of formation, registered agent, name reservation, and forming a <a href=\"https:\/\/www.trendsmosaic.com\/foreign-llc\/\">foreign LLC<\/a>.<\/p>\n<p>Still, every state will have different costs related to forming an LLC. Suppose you are deciding where to form your LLC, it helps to compare costs. Here\u2019s a sample table comparing costs among states to help you decide where to set up our LLC.<\/p>\n<table>\n<thead>\n<tr>\n<th>States<\/th>\n<th>Alabama<\/th>\n<th>Tennessee<\/th>\n<th>Georgia<\/th>\n<th>Mississippi<\/th>\n<th>North Carolina<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Online filing fee<\/td>\n<td>$200<\/td>\n<td>$300<\/td>\n<td>$100 for online and $110 for filing by mail<\/td>\n<td>$50<\/td>\n<td>$125<\/td>\n<\/tr>\n<tr>\n<td>LLC Annual fee<\/td>\n<td>$100<\/td>\n<td>$300 minimum<\/td>\n<td>$50<\/td>\n<td>&#8211;<\/td>\n<td>$200<\/td>\n<\/tr>\n<tr>\n<td>Name reservation fee<\/td>\n<td>$25 for online and $28 for filing by mail<\/td>\n<td>$20<\/td>\n<td>$25 for online and $35 for filing by mail<\/td>\n<td>$25<\/td>\n<td>$30<\/td>\n<\/tr>\n<tr>\n<td>Sales Tax<\/td>\n<td>4%<\/td>\n<td>7%<\/td>\n<td>4%<\/td>\n<td>7%<\/td>\n<td>4.75%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>You can do further comparisons by checking out the <a href=\"https:\/\/www.trendsmosaic.com\/llc-cost\/\">costs in other states<\/a>.<\/p>\n<p>When it comes to having an LLC in Alabama, it won\u2019t cost too much. Those who want to start an LLC in Alabama can go into the manufacturing sector or retail trade. Both these sectors are well known and contribute a great amount to the GDP too.<\/p>\n<h2 id=\"other-costs\">Other Costs<\/h2>\n<ul>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/alabama-llc\/alabama-llc-name-search\/\">Alabama Name Reservation<\/a>: $28 for online filing or $25 <a href=\"https:\/\/www.trendsmosaic.com\/sites\/default\/files\/2022-01\/domesticEntityNameReservation.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">by mail<\/a><\/p>\n<\/li>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/how-to-file-a-dba\/\">Doing Business As (DBA)<\/a>: $30 for <a href=\"https:\/\/www.sos.alabama.gov\/business-entities\/llcs\" rel=\"noopener noreferrer\" target=\"_blank\">online filing<\/a> or $31.20 if filing <a href=\"https:\/\/www.trendsmosaic.com\/sites\/default\/files\/form-files\/trademark-files\/lat-4.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">by mail<\/a><\/p>\n<\/li>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/sites\/default\/files\/2022-09\/be-DocumentCopyRequest.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">Certified Document Copies<\/a>: $10 + $2 per page.<\/p>\n<\/li>\n<li>\n<p>Certificate of Existence: $25<\/p>\n<\/li>\n<li>\n<p>Business Domain Name and Website: depend on your preference, but domain name could be as low as $2.99\/yr at <a href=\"https:\/\/www.trendsmosaic.com\/go\/namecheap\/\" rel=\"noopener noreferrer\" target=\"_blank\">N<\/a><a href=\"https:\/\/www.trendsmosaic.com\/go\/namecheap\/\" rel=\"noopener noreferrer\" target=\"_blank\">ameCheap<\/a>, and web hosting is at least $30\/mo at <a href=\"https:\/\/www.trendsmosaic.com\/go\/kinsta\/\" rel=\"noopener noreferrer\" target=\"_blank\">Kinsta<\/a>.<\/p>\n<\/li>\n<li>\n<p>Online workspace: at least $4.20\/mo for <a href=\"https:\/\/www.trendsmosaic.com\/go\/gsuite\/\" rel=\"noopener noreferrer\" target=\"_blank\">GSuite<\/a>.<\/p>\n<\/li>\n<li>\n<p>Business Insurance: would vary depending on insurance type&#8211;whether <a href=\"https:\/\/www.trendsmosaic.com\/general-liability-insurance\/\">general liability insurance<\/a> or <a href=\"https:\/\/www.trendsmosaic.com\/professional-liability-insurance\/\">professional liability insurance<\/a>&#8211;and coverage.<\/p>\n<\/li>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/alabama-llc\/alabama-llc-dissolution\/\">Dissolution of Alabama LLC<\/a>: $100<\/p>\n<\/li>\n<\/ul>\n<h2 id=\"faqs\">F.A.Qs<\/h2>\n<details class=\"faq\">\n<summary>Can I start an LLC for free?<\/summary>\n<div class=\"faq-a\">\n<p>It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.<\/p>\n<\/div>\n<\/details>\n<details class=\"faq\">\n<summary>Is an LLC expensive?<\/summary>\n<div class=\"faq-a\">\n<p>It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you&#8217;ll still have expenses like form fees to cover.<\/p>\n<\/div>\n<\/details>\n<details class=\"faq\">\n<summary>Does an LLC need a bank account?<\/summary>\n<div class=\"faq-a\">\n<p>The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.<\/p>\n<\/div>\n<\/details>\n<h4 id=\"how-much-does-it-cost-to-maintain-an-llc-in-alabama\">How Much Does It Cost to Maintain an LLC in Alabama<\/h4>\n<p>To maintain an LLC in Alabama you will need to pay an annual fee of $100 along with sales tax (4%), Business Privilege Tax and federal taxes.<\/p>\n<p>The cost of maintaining an LLC in Alabama is an important consideration for business owners. While the upfront costs of forming an LLC may be relatively low, there are ongoing expenses that must be taken into account to keep the company in good standing.  <\/p>\n<p>One of the most significant costs associated with maintaining an LLC in Alabama is the annual report fee. All LLCs in the state are required to file an annual report with the Alabama Secretary of State&#8217;s office and pay a fee to keep the company in good standing. This annual report fee can vary depending on the state in which the LLC is formed.  <\/p>\n<p>In addition to the annual report fee, business owners must also consider the cost of hiring a registered agent for their LLC. A registered agent is responsible for receiving important legal documents on behalf of the company, and many business owners choose to hire a professional service to fulfill this role. The cost of hiring a registered agent can range from a few hundred to a few thousand dollars per year, depending on the complexity of the services provided.  <\/p>\n<p>Another cost to consider when maintaining an LLC in Alabama is the cost of any required business licenses and permits. Depending on the nature of the business, certain licenses or permits may be necessary to operate legally in the state. These costs can vary greatly depending on the industry and location of the business.  <\/p>\n<p>Finally, business owners must also consider the cost of maintaining proper records and compliance with state regulations. This may include keeping accurate financial records, holding annual meetings, and filing necessary tax forms. While these costs may not be as significant as some of the other expenses associated with maintaining an LLC, they are still important to consider when budgeting for the operation of a business.  <\/p>\n<p>Overall, the cost of maintaining an LLC in Alabama can vary depending on a variety of factors, including the size and nature of the business, as well as the services required to keep the company in good standing. While some of these costs may seem intimidating, it&#8217;s important for business owners to consider them carefully and budget accordingly to ensure the success and longevity of their LLC.<\/p>\n<h4 id=\"in-conclusion\">In Conclusion<\/h4>\n<p>The cost of doing business in Alabama is much lower compared to other states. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the prices of professional LLC services and choose the most affordable one. <strong>Hiring professionals, like <a href=\"https:\/\/www.trendsmosaic.com\/go\/form-llc\/\" rel=\"noopener noreferrer\" target=\"_blank\">LegalZoom<\/a>, which offers LLC formation at $0<\/strong>, can be profitable, as there will be no additional cost to form an LLC.<\/p>\n<div class=\"helpful\" id=\"helpfulWidget\">\n<div class=\"helpful-q\">\n<h3>Was this page helpful?<\/h3>\n<div class=\"helpful-btns\">\n<button class=\"helpful-btn\" data-v=\"yes\" type=\"button\">\ud83d\udc4d Yes<\/button><br \/>\n<button class=\"helpful-btn\" data-v=\"no\" type=\"button\">\ud83d\udc4e No<\/button>\n<\/div>\n<\/div>\n<p class=\"helpful-thanks\">\ud83d\ude4f <b>Thanks for your feedback!<\/b> It helps us keep this guide accurate.<\/p>\n<\/div>\n<div class=\"pref-src-block\">\n<div class=\"pref-src-copy\">\n<span class=\"pref-src-label\">Find LLCBuddy first on Google<\/span><br \/>\n<span class=\"pref-src-sub\">Add us as a preferred source to see our guides in Google Search, Discover &amp; AI Overviews.<\/span>\n<\/div>\n<div class=\"pref-src\" data-lang=\"en\" google-add-preferred-source-btn=\"\"><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Discover the essential costs for starting your LLC in Alabama, from filing fees to permits, and ensure you&#8217;re prepared for success.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-100011","post","type-post","status-publish","format-standard","hentry","category-alabama-llc"],"_links":{"self":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/posts\/100011","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/comments?post=100011"}],"version-history":[{"count":0,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/posts\/100011\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/media?parent=100011"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/categories?post=100011"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/tags?post=100011"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}