LLC Cost CalculatorBy Offshore Labs LLC
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Alabama LLC cost

Ranked #44 of 51 on total first-year cost.

First year

$441

then $233/yr

Cost breakdown

Your breakdown3 items
  • Alabama state feeState

    $208
  • Business Privilege Tax returnState

    Due within the first year

    $104
  • Registered agent (1 year)Service
    $129
True first-year cost

All state charges included

$441

Estimates only, based on published state fees. Optional service prices are our standard rates.

The facts

State fee (as charged)
$208
Business Privilege Tax return
$100 / yr
Minimum state tax
None
Standard processing
2-4 weeks
Expedited
$100 · 1-3 days
Publication
Not required

Forms & deadlines

Formation document
Certificate of Formation (Form SOSDF-1)
Recurring filing
Business Privilege Tax Return (Form PPT)
Report due
Business Privilege Tax return due April 15
Tax deadline
April 15 (state income tax)

Tax treatment

Minimum business privilege tax was phased out for small LLCs; pass-through income taxed on your personal return.

Official AL filing page →
Form an LLC in AL →Customise this estimateCompare with other states

Step by step

How to form an LLC in Alabama

Every cost below matches the breakdown above, including the card processing the state adds at checkout. See the full done-for-you Alabama formation flow →

  1. 1

    Pick and check your Alabama LLC name

    Free

    Search the Alabama business registry for your exact name, make sure it ends with "LLC" or "L.L.C.", and avoid restricted words like bank or insurance. Name reservation is optional in most states.

  2. 2

    Appoint a registered agent

    $0 yourself · ~$129/yr commercial

    Every Alabama LLC needs a registered agent with a physical in-state street address available during business hours. You can act as your own agent if you live in the state; otherwise use a commercial agent.

  3. 3

    File the Certificate of Formation (Form SOSDF-1)

    Alabama state fee — $208

    File the Certificate of Formation (Form SOSDF-1) online with the Alabama Secretary of State at https://www.sos.alabama.gov/business-entities. Standard approval takes 2-4 weeks. The state fee is charged as $208 at checkout.

  4. 4

    Optional: pay for expedited processing

    $100

    Alabama will move your filing to the front of the queue and approve it in 1-3 days instead of 2-4 weeks.

  5. 5

    Get your EIN from the IRS

    Free direct · $80 with our EIN service

    Apply online at IRS.gov once your LLC is approved. It is free and issued immediately for US residents; non-residents file Form SS-4 by fax or mail, or use our EIN service.

  6. 6

    Write an operating agreement

    Free template · ~$50 drafted

    Not filed with the state, but banks ask for it and it settles ownership, profit splits and what happens if a member leaves.

  7. 7

    File your BOI report with FinCEN

    Free direct · $50 with our BOI service

    Report your beneficial owners to FinCEN within the deadline that applies to your formation date. Filing directly is free.

  8. 8

    Open a US business bank account

    Varies by provider

    Use your approved Articles, EIN letter and operating agreement. Non-residents typically use Wise, Payoneer, Airwallex or Mercury-style accounts.

  9. 9

    Calendar your Business Privilege Tax Return (Form PPT)

    $100

    Alabama requires the business privilege tax return every year (Business Privilege Tax return due April 15), and it is already due in your first year. Missing it risks penalties and administrative dissolution.