Michigan LLC Cost

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

However, the total cost of forming a Michigan LLC can vary depending on your specific business needs and preferences.

In this guide, we’ve detailed all the expenses associated with forming and maintaining an LLC in Michigan so you can fully understand 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 a Michigan LLC Cost 

Below is a summary of the main requirements and associated fees for forming an LLC in Michigan:

	LLC Cost Summary
Requirement	Fee
Articles of Organization	$50
Registered Agent	$0-$130+
LLC Name	$0-$50

Michigan LLC Filing Fee ($50+)

To legally register your LLC in Michigan, you must file the Articles of Organization with the Michigan Corporations Division. For foreign LLCs (i.e., those registering in Michigan but who plan to operate from outside of the state), the equivalent document is called the Certificate of Authority.

The processing fee for either of these documents is $50, which is the minimum cost required to register an LLC in the state.

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

These services generally start around $29, though they can be even lower (or significantly more expensive) depending on the provider you choose and the features you need.

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

Michigan Registered Agent ($0-$130+)

When forming your LLC in Michigan, you must designate a registered agent to receive legal, tax, and governmental correspondence on behalf of your business.

While you can serve as your own registered agent at no cost, many business owners prefer to hire a professional registered agent service. 

This helps ensure compliance with state regulations and keeps your personal information private — as your agent’s registered address will be publicly available. 

Professional registered agent services in Michigan typically charge around $130 per year. Many LLC formation services offer the first year of registered agent service free of charge for new customers.

Michigan LLC Name ($0-$50)

Even though naming your LLC in itself has no cost, there are a couple of potential costs to consider with the overall process. 

Reserving a Name

If you’ve chosen a name but aren’t ready to form your LLC immediately, you can reserve the name by submitting an Application for Reservation of Name with the Michigan Corporations Division. The reservation costs $25 and holds the name for up to six months.

It’s advisable to check the availability of your desired name by using the Department of Licensing and Regulatory Affairs (LARA) website’s Business Entity Search tool before submitting your reservation.

You should also ensure that your desired name is available as a domain, which is the URL that you will need for your business website. 

Doing Business As (DBA) Name

If your LLC plans to operate under a different name from its legal entity name, you’ll need to file for a DBA, known as an Assumed Name in Michigan. 

You can do this either online or by submitting a Certificate of Assumed Name to the Corporations Division via mail.  

The filing fee for a DBA is $25, and the name remains valid until December 31 of the fifth full calendar year after registration.

Optional Michigan LLC Formation Costs

Beyond the standard formation costs, there are several additional expenses that Michigan LLCs may encounter based on specific circumstances.

Michigan LLC Operating Agreement

While not legally required, it’s highly recommended that Michigan LLCs have an operating agreement. This document outlines the roles, responsibilities, and ownership structure of the LLC’s members or managers, helping to prevent disputes.

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

It’s important to note that this document is an internal agreement and does not need to be filed with the state.

Expedited Michigan LLC Filing

The Michigan Secretary of State’s office typically takes up to 10 business days to process standard filings.

However, you can expedite the processing of your LLC’s Articles of Organization by choosing one of the following options:

• 24-hour service: $50
• Same-day service: $100
• Two-hour service: $500
• One-hour service: $1,000

Keep in mind that these fees apply to both domestic and foreign entities.

Local Business Licenses

Depending on your LLC’s location and activities, you may need to obtain a local business license. The cost of these licenses varies widely depending on the municipality or county where your business operates.

For example, in Detroit, certain activities such as moving furniture, rink skating, and snow removal require a local license. The cost of these licenses generally ranges from $50 to several hundred dollars, depending on the specific requirements in question.

To find the contact details of the relevant body in your county, you can have a look at the Michigan State Association of County Clerks. 

Certificate of Good Standing

A Michigan Certificate of Good Standing is often required for various business purposes, such as opening a business bank account or securing a loan. 

This certificate verifies that your LLC is properly registered and authorized to conduct business in Michigan.

You can request a Certificate of Good Standing online by completing an Order Request Form or by mail using Form CSCL/CD-274 ($10 fee). 

If you request the certificate in person instead, the cost will be slightly higher ($12.50).

Ongoing Costs to Maintain a Michigan LLC

In addition to the initial formation costs, there are several ongoing expenses associated with maintaining an LLC in Michigan.

We’ve broken down a couple of them below. 

Annual Statement

To remain in good standing with the state, all Michigan LLCs must file an annual statement with the Michigan Corporations Division by February 15th each year. The filing fee for this statement is $25.

You can submit your annual statement online through the LARA Corporations Division Online Filings System, or by mail using the pre-filled annual statement form that you will receive 90 days before the deadline.

Note: The first annual statement is due by February 15 immediately following your LLC’s formation, unless the LLC was formed after September 30th.

Registered Agent Maintenance

If you continue using a professional registered agent service, you’ll need to pay an annual fee, typically ranging from $125 to $300. 

Even though this is not required — and you can choose to act as your own registered agent — this is generally not recommended for new business owners unless they are operating on an extremely tight budget. 

Ready to Get Started?

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

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

Michigan LLC vs Other States

Michigan is a popular state for forming LLCs due to its relatively low costs. The minimum cost to start an LLC in Michigan is $50, and the annual fee to maintain it is just $25.

Even so, it’s important to note that the best state to form your LLC in is typically where you plan to conduct most of your business from. 

This is because this simplifies compliance with legal and tax obligations, as you’ll only need to adhere to one state’s regulations (and thus only pay one state’s fees).