State hub · Tennessee

Tennessee LLC true cost (2026)

Research dated 2026-09-06 (Pacific/Honolulu). Fees from Tennessee Secretary of State, Business Services Division materials. Confidence: high. Re-verify before you file.

Tennessee state side: $300 formation filing, $300 for Annual Report (SOS) in the 3-year model, ~$1,500 state fees over three years (methodology below) — #49 of 51 on the cheapest-states ranking. Provider markup is separate — use the table for formation/RA path + state fees.

Not legal or tax advice. This page cites official SOS / revenue materials for filing costs and common gotchas. Where you operate can still create foreign-qualification and tax obligations outside Tennessee.

Tennessee state filing fees

These are state fees — not Northwest / ZenBusiness / Bizee / LegalZoom service fees. The collecting agency is Tennessee Secretary of State, Business Services Division. Filings go through tnbear.tn.gov.

Item Amount Notes
Articles / Certificate of Formation $300 Articles of Organization: $50 per member, minimum $300, maximum $3,000 (SOS Form SS-4270). Typical single-member or ≤6-member LLC pays the $300 minimum. Online credit-card payments add a convenience fee.
Annual Report (SOS) $300 Same fee structure as formation: $50 per member, $300 minimum, $3,000 maximum. Extra $20 if the report changes registered agent/office. Separate from franchise and excise tax filed with Department of Revenue.
Franchise tax minimum (Form FAE170) $100 Franchise tax is 0.25% of Tennessee net worth (or property measure as applicable), with a statutory minimum of $100. Excise tax is 6.5% of net earnings (variable; not included in fixed 3-year math).
3-year state subtotal (model) $1,500 Formation $300 (≤6 members) + 3 × $300 SOS annual report minimum + 3 × $100 franchise tax minimum = $1,500. Excise tax and member-count fee increases above six members excluded. Convenience fees excluded.

When Tennessee actually bills you

Tennessee's recurring filing is due On or before the first day of the fourth month following the LLC's fiscal year end (e.g., April 1 for calendar-year LLCs) — put it in a calendar the day you form, because the state will not chase you before it penalises you.

Point in time What Tennessee charges Amount Running total
At formationArticles / Certificate of Formation$300$300
Year 1 cycleAnnual Report (SOS)$300$600
Year 2 cycleAnnual Report (SOS)$300$900
Year 3 cycleAnnual Report (SOS)$300$1,200

Every Tennessee anniversary adds $300, which is why the three-year figure ($1,500) is 5× the headline $300 formation fee.

Provider + Tennessee state (3-year)

Provider totals from the national comparison (formation + RA Y1–Y3, state fees excluded there) plus the Tennessee state subtotal of $1,500.

Provider Plan Provider 3-yr + state
northwest Formation $39 (RA Y1 included) $289 $1,789
zenbusiness Starter $0 + RA add-on $497 $1,997
bizee Basic $0 (RA Y1 free) $298 $1,798
legalzoom Basic $0 + RA $249/yr $747 $2,247

Partner link — we may earn a commission at no extra cost to you. Prices above are researched from public pages, not supplied by the provider. How this site makes money.

How Tennessee ranks against the other 50 charters

Across the 51 jurisdictions covered on this site, Tennessee sits at #49 — the 49th cheapest three-year state charter — at $1,500 in Secretary of State and revenue-department dollars. That is $1,465 more than Montana, the cheapest charter in the ranking ($35), $1,220 above the $280 median, and $1,010 less than California at $2,510. In plain terms, Tennessee lands in the pricier half of the table.

Ranking basis for Tennessee: Formation $300 (≤6 members) + 3 × $300 SOS annual report minimum + 3 × $100 franchise tax minimum = $1,500. Excise tax and member-count fee increases above six members excluded. Convenience fees excluded.

Registered agent (Tennessee)

  • Tennessee registered agent and registered office with a physical street address in Tennessee required (no PO box alone).

Put the agent next to the state's own bill: three years of Tennessee state fees is $1,500, while the cheapest provider path in our national 3-year comparison runs $289 (Formation $39 (RA Y1 included)) and the most expensive runs $747 (Basic $0 + RA $249/yr) — a $458 spread for the same statutory job. On the cheapest path the service, not Tennessee, is about 16% of your three-year outlay. Choosing the agent well is usually a bigger lever than choosing the state.

Gotchas (fact-based)

  • Annual report fee scales with member count ($50/member after six, up to $3,000).
  • Franchise and excise taxes are separate from the SOS annual report and can exceed the $100 franchise minimum.
  • Failure to file annual report can lead to administrative dissolution; tax clearance may be needed for reinstatement/existence certificates.

Who Tennessee is for / not for

Often a fit when…

  • Founders needing a Tennessee entity for in-state operations who accept relatively high recurring SOS fees.

Often a poor fit when…

  • Cost-sensitive holding companies or multi-member LLCs where per-member SOS fees and franchise/excise taxes dominate ongoing cost.

Orientation only — not legal advice.

Common questions about Tennessee LLC cost

How much does it cost to form an LLC in Tennessee?

$300 to Tennessee Secretary of State, Business Services Division for the formation filing. Articles of Organization: $50 per member, minimum $300, maximum $3,000 (SOS Form SS-4270). Typical single-member or ≤6-member LLC pays the $300 minimum. Online credit-card payments add a convenience fee. That is the state charge only. A formation service is a separate bill on top: Formation $39 (RA Y1 included) works out to $39 in year one, versus $249 on the most expensive path we track.

What are the ongoing Tennessee LLC fees after year one?

$300 for the Annual Report (SOS), due On or before the first day of the fourth month following the LLC's fiscal year end (e.g., April 1 for calendar-year LLCs). Same fee structure as formation: $50 per member, $300 minimum, $3,000 maximum. Extra $20 if the report changes registered agent/office. Separate from franchise and excise tax filed with Department of Revenue. Recurring state charges are what make a low formation fee misleading — they are the reason this site models three years instead of one.

What does a Tennessee LLC really cost over three years?

$1,500 in Tennessee state fees, plus whatever your provider charges. With the cheapest tracked path that is $1,789 all-in over three years; with the most expensive it is $2,247 — a $458 difference that has nothing to do with Tennessee.

Do I need a registered agent in Tennessee?

Yes. Tennessee registered agent and registered office with a physical street address in Tennessee required (no PO box alone). Confirm Tennessee's DIY-versus-commercial agent rules with Tennessee Secretary of State, Business Services Division before you file — a home address here becomes public record. On the money side, the four providers tracked here charge $0–$249 in year one for formation plus the agent, then $125–$249 a year in agent renewal after that — separate from every Tennessee figure above.

Is Tennessee a cheap state to form an LLC?

On charter cost alone, Tennessee ranks #49 of 51 at $1,500 over three years, against a $35 floor and a $2,510 ceiling. But cheapest charter is not the same as cheapest outcome: if you operate somewhere else you will likely foreign-qualify there and pay that state's fees and taxes too. See the full 3-year state fee ranking for the comparison.

How the Tennessee three-year number is built

Formation $300 (≤6 members) + 3 × $300 SOS annual report minimum + 3 × $100 franchise tax minimum = $1,500. Excise tax and member-count fee increases above six members excluded. Convenience fees excluded. Figures are re-derived from the cited Tennessee sources rather than copied from other guides.

Deliberately excluded from the Tennessee state subtotal:

Same exclusions are applied to every state so the ranking stays apples-to-apples.

Unverified / confirm before filing

Sources (official)

  1. TN SOS Articles of Organization SS-4270 (fee)
  2. TN SOS Business FAQs (LLC annual report fee)
  3. TN Business Services Online Annual Report Instructions
  4. TN Department of Revenue FAE170 instructions (franchise minimum)
  5. TN Franchise & Excise Tax forms hub

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