Comparison · Ranking

Cheapest states to form an LLC (2026): 3-year state fee ranking

Research dated Sep 6, 2026 (Pacific/Honolulu). Built from the 51 state hubs on this site. Wyoming fee schedule re-verified tonight (no drift). Re-check SOS pages before you file.

This ranks Secretary of State / revenue dollars only — Articles (or Certificate of Formation) plus the hub’s typical recurring SOS/franchise/license fees across a ~3-year window. It does not include registered-agent shop prices, newspaper publication, or “where should I incorporate” tax advice.

Cheap charter ≠ cheap operation. If customers, employees, or inventory sit in another state, you may still foreign-qualify and pay that state’s fees/taxes. A low Wyoming or New Mexico total does not erase nexus elsewhere.

Top 10 by ~3-year state fees

  • Montana — $35 over ~3 years (formation $35; little/no SOS recurring in the model).
  • Arizona — $50 over ~3 years (formation $50; little/no SOS recurring in the model).
  • Mississippi — $50 over ~3 years (formation $50; little/no SOS recurring in the model).
  • Missouri — $50 over ~3 years (formation $50; little/no SOS recurring in the model).
  • New Mexico — $50 over ~3 years (formation $50; little/no SOS recurring in the model).
  • Hawaii — $96 over ~3 years (formation $50; typical recurring $15/cycle).
  • Ohio — $99 over ~3 years (formation $99; little/no SOS recurring in the model).
  • Idaho — $100 over ~3 years (formation $100; little/no SOS recurring in the model).
  • Iowa — $110 over ~3 years (formation $50; typical recurring $30/cycle).
  • South Carolina — $110 over ~3 years (formation $110; little/no SOS recurring in the model).

Full ranking (50 states + DC)

“Typical annual / recurring” is the hub’s modeled SOS or revenue recurring amount per cycle (annual report, license tax floor, franchise/LLC tax floor, etc.). Some hubs pack multi-line year-1 costs into the 3-year total (see Nevada, Alabama) — open the state hub for the breakdown.

# State Formation Typical recurring ~3-year state total
1 Montana
Caveat: On-time annual report waiver is current on sosmt.gov/business/fees/ as of 2026-09-06; if the SOS ends the waiver, on-time fee historically w
$35 $0 $35
2 Arizona
Caveat: County newspaper publication when required is not a fixed statewide fee
$50 $0 $50
3 Mississippi $50 $0 $50
4 Missouri $50 $0 $50
5 New Mexico $50 $0 $50
6 Hawaii $50 $15 $96
7 Ohio
Caveat: Exact current expedite tier prices if not paid at formation (confirm on Ohio Business Central at filing).
$99 $0 $99
8 Idaho
Caveat: Whether SOSBiz card convenience fee applies to $100 formation (some guides cite ~$1–$3).
$100 $0 $100
9 Iowa $50 $30 $110
10 South Carolina $110 $0 $110
11 Utah
Caveat: PDF title history includes July 2024 update; amounts matched current public fee PDF at research time — re-check if Division posts a newer FY
$59 $18 $113
12 Colorado $50 $25 $125
13 Michigan
Caveat: Exact current expedite fee schedule line items on MiBRP checkout (confirm at filing).
$50 $25 $125
14 Indiana
Caveat: Exact credit/debit card processing percentage at INBiz checkout (portal FeeCalculator).
$95 $32 $127
15 Pennsylvania $125 $7 $146
16 Nebraska
Caveat: Exact Nebraska.gov portal convenience fee amount if any.
$100 $25 $150
17 Minnesota
Caveat: sos.state.mn.us fee-schedule HTML page is behind bot protection; fees corroborated via portal listing and published fee-schedule PDF.
$155 $0 $155
18 Oklahoma
Caveat: Westlaw Oklahoma § 2055 fee list was cited in search results; $100 articles fee corroborated on official Form FM0074.
$100 $25 $175
19 Louisiana $100 $30 $190
20 West Virginia
Caveat: Exact current registered-agent street-address requirements vs SOS-as-agent edge cases.
$100 $25 $205
21 Wisconsin $130 $25 $205
22 New York
Caveat: County-designated newspaper rates vary; not a fixed statewide fee — excluded from threeYearStateSubtotal
$200 $9 $209
23 Alabama
Caveat: Exact BPT for a given LLC depends on net worth apportionment; baseline assumes exemption at ≤$100 calculated tax.
$200 $0 $228
24 Virginia $100 $50 $250
25 Kansas
Caveat: Whether ILC.pdf ($90 online) will be republished after Feb 2026 regs; used $90 consistent with statute $80 + current regulation add-ons and
$85 $90 $265
26 Georgia
Caveat: Whether any separate service-charge line item still appears beyond the published $100/$110/$60 totals on some channels — use portal checkout
$100 $60 $280
27 Wyoming $100 $60 $280
28 North Dakota $135 $50 $285
29 Vermont $155 $45 $290
30 Texas $300 $0 $300
31 South Dakota $150 $55 $315
32 New Jersey
Caveat: Exact card convenience-fee percentage on the formation portal at checkout.
$100 $75 $325
33 Connecticut $120 $80 $360
34 Illinois
Caveat: Exact online payment-processor surcharge amount at checkout (varies by card).
$150 $75 $375
35 Washington
Caveat: SOS states $180 plus an online processing fee; secondary sources commonly cite +$20 — exact online add-on should be confirmed at CCFS checko
$180 $70 $390
36 New Hampshire $100 $100 $400
37 Oregon $100 $100 $400
38 Maine $175 $85 $430
39 Arkansas
Caveat: Exact online card processing surcharge on franchise portal (often ~$5) not included in subtotal.
$45 $150 $495
40 Florida $125 $138.75 $541.25
41 Alaska
Caveat: Exact business-license term pricing variations by industry endorsement.
$250 $100 $600
42 Kentucky
Caveat: County clerk recording fee amounts vary and were not fixed to a single statewide figure.
$40 $15 $610
43 District of Columbia
Caveat: Whether a specific LLC is subject to UBF minimum in year one — fact-dependent; excluded from subtotal.
$99 $300 $699
44 North Carolina $125 $200 $725
45 Maryland $100 $300 $1,000
46 Delaware $110 $400 $1,310
47 Nevada
Caveat: Commerce Tax thresholds/rates not included in threeYearStateSubtotal
$75 $150 $1,475
48 Rhode Island $150 $50 $1,500
49 Tennessee $300 $300 $1,500
50 Massachusetts
Caveat: Whether any promotional electronic annual-report discount appears in rare older secondary sources — official Mass.gov still states $500.
$500 $500 $2,000
51 California
Caveat: Tiered LLC fee ($900–$11,790) excluded from threeYearStateSubtotal; depends on California total income
$70 $800 $2,510

Most expensive in this model

  • California — $2,510 (formation $70, typical recurring $800).
  • Massachusetts — $2,000 (formation $500, typical recurring $500).
  • Tennessee — $1,500 (formation $300, typical recurring $300).
  • Rhode Island — $1,500 (formation $150, typical recurring $50).
  • Nevada — $1,475 (formation $75, typical recurring $150).

California and Massachusetts are driven by annual LLC / excise tax floors; Delaware by the flat $400/yr alternative-entity tax; Nevada and Rhode Island by stacked SOS + license / minimum tax lines. See each hub.

How the math works

  • Includes: domestic LLC formation fee + typical SOS/revenue recurring fees for ~3 years, as published on each state hub.
  • Excludes: professional RA, publication, expedites, card convenience fees (unless fixed on schedule), foreign qualification, income/sales tax, and variable gross-receipts tiers above a stated floor.
  • Wyoming re-check (tonight): Articles still $100; license tax still greater of $60 or $0.0002 of WY-located assets; online Articles card fee still 2.4% — no fee drift vs Sep 4 hub.
  • Montana note: on-time annual report is currently WAIVED on the SOS fee page (late = $35). If the waiver ends, the 3-year total rises.

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Sources

Not legal or tax advice. Independent cost guide — not a formation company, law firm, or Secretary of State.