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January 20, 2026
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BySteffy A
Company Formation Fees in the US
Introduction
Understanding company formation fees is the first step before registering a business in the United States. Costs differ widely based on the state, business structure, and services you choose.
Many founders underestimate ongoing fees while focusing only on registration costs. This guide explains company formation fees clearly, with real numbers and examples.
What Are Company Formation Fees in the US?
Company formation fees are the official and service-related costs required to register a business in the United States legally. These fees are paid to state authorities and service providers during and after incorporation.
Every state sets its own filing fees through the Secretary of State. On top of that, businesses must budget for compliance-related expenses like registered agents and annual reports.
What Is Included in Company Formation Fees?
Company formation fees are not limited to one single payment. They usually include multiple cost components.
State Filing Fees
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Paid to the Secretary of State
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Varies by state and entity type
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Ranges from $50 to $500 or more
Registered Agent Fees
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Required in most US states
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Provides a physical address for legal notices
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Costs around $100 to $300 per year
EIN (Employer Identification Number)
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Free when obtained directly from IRS
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Service providers charge around $200
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Required for banking and tax filing
Annual or Biennial Fees
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Mandatory in many states
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Includes franchise taxes or annual reports
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Example: California charges $800 annually
How Much Is the USA LLC Registration Fee?
The USA LLC registration fee depends heavily on the state of formation.
There is no fixed nationwide fee.
Low-Cost States
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Montana: $35
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Idaho: $100
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Arizona: Minimal or no filing fee
Higher-Cost States
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Massachusetts: $500 filing plus annual fees
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California: $70 filing plus $800 annual fee
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Florida: $155 for LLC registration
These figures are confirmed from state and industry sources.
Why Do Company Formation Fees Differ by State?
Several factors influence company formation fees across the US.
- State of IncorporationDelaware, Wyoming, and Nevada are popular choices but have different fee structures. Some states charge higher annual compliance fees even if filing costs are low.
- Business StructureLLCs usually have lower formation and compliance fees than C-Corporations. S-Corps may involve additional IRS compliance.
- Services UsedUsing professional formation services increases upfront cost but reduces filing errors. Many founders choose services for convenience and compliance clarity.
What Is the Real Cost of Forming a US Company?
When all costs are combined, the real company formation fees look like this:
|
Cost Type |
Estimated Amount |
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State filing fee |
$50 to $500 |
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Registered agent |
$100 to $300 |
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EIN service |
$0 to $200 |
|
Annual compliance |
$100 to $800+ |
|
Total estimated cost |
$500 to $1500+ |
Legal or consulting services may add further costs.
How Ebizfiling Helps with Company Formation Fees ?
At Ebizfiling, we help founders make cost-aware decisions by:
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Explaining state-wise company formation fees clearly.
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Guiding on the most cost-effective state selection.
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Assisting with USA LLC registration fee planning.
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Coordinating registered agent and EIN support.
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Helping manage annual compliance obligations.
Our focus stays on transparency, accuracy, and long-term compliance.
In short ,
Company formation fees in the US vary widely by state and structure. A clear understanding of filing, agent, and annual costs helps founders plan better. Choosing the right state reduces long-term financial burden. Ebizfiling helps simplify cost planning for US company registration.
FAQs on Company Formation Fees in the US
1. What are company formation fees in the US?
Company formation fees include state filing fees, registered agent charges, EIN-related costs (if using a service provider), and ongoing annual compliance expenses required to keep the company active.
2. Is the USA LLC registration fee the same in all states?
No. Each state sets its own LLC registration fee, which can range from as low as $35 to over $500 depending on the state.
3. Is EIN free in the US?
Yes. The IRS issues Employer Identification Numbers (EINs) free of cost. However, service providers may charge fees for assisting with the application process.
4. Are annual fees mandatory after company registration?
Yes. Many states require annual or biennial reports and franchise taxes to maintain an active company status. These fees vary by state.
5. Why does California charge high annual fees?
California imposes an $800 annual franchise tax on LLCs regardless of business activity, making it one of the most expensive states for ongoing compliance.
6. Can foreigners register a company in the US?
Yes. Non-residents can register a company in the US, but they must still pay applicable formation fees, registered agent fees, and ongoing compliance costs.
7. Is Delaware cheaper for company formation?
Delaware has moderate filing fees, but founders should consider recurring franchise taxes and registered agent costs when evaluating total expenses.
8. Does using a formation service increase costs?
Yes. Formation services charge additional fees, but they help reduce filing errors, manage compliance, and save time for founders.
9. What is the minimum budget for US company formation?
Most founders should budget between $500 and $1,500 for initial company formation, including state fees, registered agent services, and basic compliance.
10. How can I reduce company formation fees?
You can reduce costs by choosing a low-fee state, applying for the EIN directly with the IRS, and planning compliance requirements in advance.
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