Business Formation Calculator

Estimate LLC and corporation formation and ongoing fees by state. Confirm amounts with the official filing office before you file.

Calculate formation costs

Illustrative totals for California. Fees and rules change; verify with the Secretary of State (or equivalent) before filing.

Entity type

Cost summary

Reflects LLC and optional add-ons in the section below.

Filing fee
$70
First year total
$1020
5-year total (illustrative)
$4820

Corporation and LLC costs in California

Base state fees shown side by side. The summary reflects the entity type you selected above.

LLCUsed in summary above
Filing fee
$70
Annual report
$800 (Annual)
Publication
Not required
Processing
5-7 business days
Registered agent (state rule)
Required
Expedited option
$350 (24 hours)
Corporation
Filing fee
$100
Annual report
$800 (Annual)
Publication
Not required
Processing
5-7 business days
Registered agent (state rule)
Required
Expedited option
$350 (24 hours)
Additional services

Disclaimer

Estimates only (not legal or tax advice). Filing fees and requirements change. Confirm processing times, forms, and exact fees with the official state business registration office before you rely on these numbers.

Notes for California

  • $800 minimum franchise tax due annually
  • Additional LLC tax based on gross receipts

Lowest Cost States (LLC)

1. Iowa
Filing: $50
$50
2. Missouri
Filing: $50
$50
3. New Mexico
Filing: $50
$50
4. Kentucky
Filing: $40
$55
5. Alabama
Filing: $200
$200

Highest Cost States (LLC)

1. Alaska
Filing: $250
$250
2. Alabama
Filing: $200
$200
3. Arizona
Filing: $50
$NaN
4. Massachusetts
Filing: $520
$1040
5. California
Filing: $70
$870

Understanding Business Formation Costs

What's Included in Filing Fees?

  • • State government processing of formation documents
  • • Official registration in state business database
  • • Certificate of Formation or Articles of Incorporation
  • • Initial registered agent designation
  • • Basic compliance requirements setup

Additional Costs to Consider

  • • Registered Agent Service: $50-$300/year
  • • Operating Agreement/Bylaws: $100-$500
  • • EIN Application: Free (DIY) or $50-$200 (service)
  • • Business License: Varies by industry
  • • Bank Account Opening: $0-$100

LLC vs Corporation: Which Should You Choose?

Limited Liability Company (LLC)

Best For:

Small businesses, freelancers, real estate investors, simple ownership structures

Advantages:

  • • Flexible management structure
  • • Pass-through taxation (no double taxation)
  • • Fewer compliance requirements
  • • Personal asset protection

Corporation

Best For:

Businesses seeking investment, complex ownership, employee stock options

Advantages:

  • • Easier to raise capital and attract investors
  • • Perpetual existence
  • • Stock option plans for employees
  • • Established legal precedent

💡 Money-Saving Tips

DIY Formation

File directly with the state to save $200-$500 in service fees. Most states offer online filing systems.

Choose Your State Wisely

Consider total costs including ongoing fees, not just formation costs. Some states have no annual reports.

Skip Expedited Processing

Unless you need immediate approval, standard processing saves $25-$350 with only a few extra days wait.

Compare Registered Agent Options

Shop around for registered agent services or use your own address if you qualify in your state.