Last Updated: September 10, 2024, 8:30 am by TRUiC Team


Arizona LLC Cost

The minimum cost for forming an LLC in Arizona is $50, which covers the filing fee for submitting your Articles of Organization with the state.

However, the total cost of forming an Arizona LLC can vary based on several factors, including your specific business needs and preferences.

In this Arizona LLC Cost guide, we’ve outlined all the expenses associated with forming and maintaining an LLC in Arizona, so you have a clear understanding of what to expect.

More than 84% of our readers form their LLC through a professional service to save time and avoid mistakes.

Northwest ($29 + State Fees)

How Much Does an Arizona LLC Cost

Below is a breakdown of the main requirements and associated fees for forming an LLC in Arizona.

LLC Cost Summary

Requirement Fee
Articles of Organization $50+
Statutory Agent $0-$150+
LLC Name $0-$55
Publication Requirement $75+

Arizona LLC Filing Fee ($50)

To officially form an LLC in Arizona, you must submit your Articles of Organization with the Arizona Corporation Commission ($50 fee). If you’ll be registering a foreign LLC instead, the filing fee will increase to $150.

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Did you know?

A foreign LLC is a business entity that will be registered in Arizona but that plans to operate from a different state. This is often not recommended, as it will likely mean paying registration and maintenance fees in more than one state.

Keep in mind that when filing your Articles of Organization, you will need to choose between one of the following management structures and attach the relevant form:

If you opt to use a professional LLC formation service, the overall cost will be slightly higher as it will include the aforementioned state filing fee plus a small service fee. 

These services generally start around $29, although they can be priced even lower (i.e., $0) or significantly higher ($300+) depending on the provider in question.  

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Have a look at our in-depth review of the best and most affordable LLC Formation Services in 2024

Arizona Statutory Agent ($0-$150+)

In Arizona, every LLC is required to appoint a statutory agent (commonly referred to as a registered agent in other states). 

This is an individual or business entity responsible for receiving important legal and tax documents on behalf of your LLC.

You can act as your own statutory agent at no additional cost, but hiring a professional service is often recommended. This is because it’s a great way to easily avoid potential penalties due to non-compliance and ensure that your personal information remains private.

Statutory agent services in Arizona typically start at around $125 and can go up to $300 or more depending on the number of features selected. 

Remember that in order to qualify, your statutory agent must be physically located in Arizona and be available at their registered address during normal business hours. 

Additionally, all statutory agents must complete and sign this Form M002: Statutory Agent Acceptance before being accepted. 

Get a Free Registered Agent Service

Form an LLC with Northwest Registered Agent to get one year of registered agent services free of charge ($29 + State Fees).

Arizona LLC Name ($0-$55)

While the process of naming your Arizona LLC doesn’t incur a direct cost, there are two potential expenses to be aware of.

Reserving Your Name 

If you have selected a name for your LLC but aren’t ready to file the Articles of Organization yet, you can reserve the name for up to 120 days by submitting an Application to Reserve Limited Liability Company Name (Form L001.005) through the Arizona Corporation Commission’s website.

Reserving an LLC name in Arizona costs $10 for paper applications and $45 for online applications, with the latter including a $35 expedite fee on top of the base filing fee. The expedite fee is mandatory for online reservations since names are reserved immediately.

At this point we also recommend checking that your prospective name’s corresponding domain is available by conducting a quick domain search (you’ll want this for your business website).

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Doing Business As (DBA) Name

If you plan to operate your LLC under a name different from the one listed in your Articles of Organization, you’ll need to file for a DBA name, known as a Trade Name in Arizona. 

This process involves submitting a Trade Name Application to the Arizona Secretary of State online.

The filing fee for a DBA is $10, which secures your trade name for up to five years. After submitting, it typically takes two to three weeks for approval before you can use the trade name for business purposes.

Arizona LLC Publication Requirement

In compliance with A.R.S. § 29-3201, every LLC formed in Arizona is required to publish a notice after filing its Articles of Organization. In particular, this publication must be completed within 60 days of approval by the Arizona Corporation Commission.

If your statutory agent is located in Maricopa or Pima counties, the Arizona Corporation Commission will automatically publish a notice on its website, which satisfies this requirement. 

Having said that, if your statutory agent’s address is in any other county, you’ll need to publish the notice in a local newspaper.

The publication must include your LLC’s name and statutory agent’s information, as well as your primary place of business (if different). 

The notice must be published three times within the specified period.

For a list of newspapers that are approved for this purpose, you can refer to the Newspaper List for Publishing page on the Arizona Corporation Commission’s website.

Optional Arizona LLC Formation Costs

In addition to the standard formation fees mentioned, there are a few additional costs you may encounter when forming an LLC depending on your unique needs and circumstances.  

We’ve broken these down below. 

Arizona LLC Operating Agreement

Although not legally required, creating an operating agreement for your Arizona LLC is strongly recommended.

This is a document each LLC should have that outlines the roles, responsibilities, and ownership structure of your members or managers, helping to prevent potential disputes and ensure the business runs smoothly.

You can draft the operating agreement yourself at no cost, or hire an attorney or online service to create one for you, typically at a cost of a few hundred dollars.

Expedited Arizona LLC Filing

If you need to expedite the formation of your Arizona LLC, the Corporations Division offers several expedited filing services that can greatly accelerate the overall process, including a:

Note that the processing time for expedited service requests will not begin until your statutory agent has accepted their appointment (where this is necessary). 

Certificate of Good Standing

A Certificate of Good Standing from Arizona is often required for various business purposes (such as opening a business bank account or securing a loan) since it verifies that your LLC is properly registered and authorized to do business in the state.

You can request this certificate through the Arizona Corporation Commission’s eCorp system ($10 fee) and can expect to receive it within 15 business days following your request.

Certified Copies of Business Documents

If you need certified copies of your LLC’s business documents for legal or financial reasons, you can request them from the Arizona Corporation Commission by submitting a Records Request Form

The fee for a certified copy is $15 per document, plus an additional 50 cents per page.

Ongoing Costs to Maintain an Arizona

Maintaining an LLC in Arizona can additionally involve several recurring costs that must be addressed annually.

Transaction Privilege Tax (TPT)

Arizona imposes a Transaction Privilege Tax (TPT) on retailers for the privilege of conducting business within the state. 

Before your LLC can operate, you must submit an Arizona Joint Tax Application (JT-1) to the Department of Revenue, if applicable.

The filing fee for TPT varies depending on your LLC’s location, ranging from $1 to $50. If your LLC operates in multiple locations or engages in different business activities, you can either manage taxes for each location individually or opt for a consolidated license with a $12 fee per location.

For more detailed information on business activities and industries subject to TPT, you can refer to the Department of Revenue’s Tax Rate Tables.

Statutory Agent Maintenance

If you choose to use a professional statutory agent service, you’ll need to pay an annual fee, which generally costs between $125 and $300 (depending on the provider and package selected). 

While not mandatory, this is strongly recommended for new business owners, as it can be an affordable way of ensuring compliance and keeping your personal information private. 

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Ready to Get Started?

Have a look at our LLC Arizona Guide (DIY Approach)

Let Northwest Registered Agent handle it for you ($29 + State Fees) 

Arizona LLC vs Other States

Arizona offers several benefits for forming an LLC, including a straightforward filing process and relatively low annual compliance fees. 

The state’s publication requirement, while unique, also emphasizes transparency in business operations.

However, it’s important to remember that the best state to form your LLC in is typically the one where you plan to conduct most of your business. 

This approach simplifies compliance with legal and tax obligations, as you only need to adhere to one state’s regulations (and thus pay one state’s filing and maintenance fees).

Arizona LLC Cost FAQ

Forming an LLC in Arizona requires a filing fee of $50. This fee is paid to the Arizona Corporation Commission (ACC) when submitting the LLC's Articles of Organization.

There are two options available for forming your Arizona LLC. You can either hire a professional LLC formation service to handle the process for an additional small fee, or you can choose to do it yourself by following our free How to Start an LLC in Arizona guide.

The cost of hiring a professional LLC formation service may vary depending on the service you choose. However, most services typically charge up to $200 to assist with forming an LLC. It's important to research different providers to find the one that suits your needs and budget.

If you decide to form an LLC on your own, the cost will be lower compared to hiring a professional service. However, keep in mind that the DIY approach can be more time-consuming and complex, as you will need to handle the paperwork and filing requirements yourself.

In addition to the filing fee, there may be other costs involved in forming an LLC in Arizona. These costs can include the fee for a registered agent service, which is a person or business that accepts legal documents on behalf of your LLC. The cost of registered agent service varies depending on the provider you choose. 

Some cities and towns in Arizona may also require businesses to obtain a business license, the cost of which varies depending on the specific location. There publishing costs to factor in as well. It's essential to research and consider these potential costs when forming your LLC.

No, Arizona does not impose a state business tax on LLCs. However, it's important to note that LLCs are subject to federal taxes, and the individual members of the LLC will report the profits and losses on their individual tax returns.

Forming an LLC in Arizona offers several benefits. Firstly, it provides limited liability protection, meaning the owners of the LLC are not personally liable for the debts and liabilities of the business. 

Additionally, an LLC allows for pass-through taxation, where the profits and losses of the business are passed through to the owners and taxed on their individual tax returns. Moreover, an LLC provides flexibility, allowing owners to structure the business according to their specific needs. Lastly, the formation and operation of an LLC are relatively simple, offering ease and convenience for business owners.

The cost of a business license in Arizona varies depending on the city or town where your business is located. Each municipality may have its own specific requirements and fee structure for obtaining a business license. 

It's advisable to check with the local government or licensing authority in the relevant jurisdiction to determine the exact cost and process for obtaining a business license.

The total cost of forming an LLC in Arizona will depend on your specific circumstances and the additional services you choose. However, the mandatory filing fee of $50 is the only cost required by the state. 

It's important to consider other potential costs, such as registered agent services, business license fees, and publishing costs, to get a complete picture of the total expenses involved in forming your LLC in Arizona.

Article Sources

Arizona Department of Revenue:
https://azdor.gov/

IRS - Employer ID Numbers:
https://www.irs.gov/businesses/small-businesses-self-employed/employer-id-numbers

Arizona Corporation Commission:
https://www.azcc.gov/

SBA - Apply for Licenses and Permits:
https://www.sba.gov/business-guide/launch-your-business/apply-licenses-permits

Chamber of Commerce - Arizona Chamber of Commerce List:
https://www.officialusa.com/stateguides/chambers/arizona.html