How Much Does an LLC Cost in Georgia?

How Much Does an LLC Cost in Georgia?

Starting an LLC (Limited Liability Company) in Georgia can be a great way to protect your personal assets while benefiting from favorable tax treatment and flexible management structures. However, one of the first questions prospective business owners ask is: How much does it cost to form an LLC in Georgia? This article will break down the various costs associated with forming an LLC in Georgia and provide helpful links to services that can assist you in the process.

Filing Fees

The primary cost of forming an LLC in Georgia is the filing fee for the Articles of Organization. As of 2024, the Georgia Secretary of State charges a $100 filing fee for the Articles of Organization if you file online. If you choose to file by mail, the fee increases to $110. This fee is non-refundable and is required to officially register your LLC with the state.

Registered Agent Fees

Every Georgia LLC is required to have a registered agent. A registered agent is a person or business entity authorized to receive legal documents on behalf of your LLC. You can act as your own registered agent, but many business owners prefer to hire a professional service to ensure they never miss important paperwork.

Services like Northwest Registered Agent LLC provide registered agent services for a fee, which typically ranges from $100 to $300 per year. These services offer the added benefit of privacy and reliability, ensuring that all legal documents are handled promptly.

Operating Agreement

Although not legally required in Georgia, creating an Operating Agreement is a crucial step in forming an LLC. This document outlines the ownership structure and operating procedures of your LLC. While you can draft this agreement yourself, it is often beneficial to seek legal assistance to ensure all necessary provisions are included.

The cost of drafting an Operating Agreement varies, but you can expect to pay between $100 and $500 if you hire a legal professional. Some online LLC formation services, such as Swyft Filings , offer templates or assistance with drafting this document as part of their packages.

Name Reservation Fee

If you want to reserve your LLC name before filing your Articles of Organization, you can do so by filing a name reservation request with the Georgia Secretary of State. The fee for this service is $25. This step is optional but can be useful if you are not yet ready to file your Articles of Organization but want to ensure your desired name is available.

Annual Registration Fee

Georgia requires all LLCs to file an annual registration and pay a fee to keep the business in good standing. The annual registration fee is $50, and it is due between January 1 and April 1 each year. Failure to file the annual registration can result in administrative dissolution of your LLC.

Additional Costs

1. Professional Services: If you prefer to have professionals handle the formation of your LLC, you can hire an attorney or an online LLC formation service. The cost for these services varies, but you can expect to pay between $200 and $1,000. Services like Zen Business Filings and Bizee LLC Formation offer comprehensive packages that include filing fees, registered agent services, and more.
2. Business Licenses and Permits: Depending on your business type and location, you may need additional licenses and permits. The cost for these varies widely.
3. DBA Registration: If you plan to operate your LLC under a different name than its legal name, you will need to file for a "Doing Business As" (DBA) name. The cost for registering a DBA in Georgia is $30.

Total Estimated Costs

Here's a summary of the estimated costs to start an LLC in Georgia:

• Articles of Organization Filing Fee: $100 (online) or $110 (mail)
• Registered Agent Fee: $100 - $300 per year
• Operating Agreement: $100 - $500 (if hiring legal assistance)
• Name Reservation Fee: $25 (optional)
• Annual Registration Fee: $50
• Professional Services: $200 - $1,000 (optional)
• DBA Registration: $30 (if applicable)

In total, the initial costs to start an LLC in Georgia can range from approximately $350 to $1,985, depending on the services and assistance you choose.

Utilizing Professional Services

To streamline the process and ensure everything is done correctly, consider using professional LLC formation services. Here are some options:

• Swyft Filings : Offers comprehensive LLC formation services, including help with filing the Articles of Organization and creating an Operating Agreement.
• Bizee LLC Formation : Provides an array of services to help you start and manage your LLC, from name reservation to registered agent services.
• Zen Business Filings : Known for their excellent customer service and comprehensive packages, which include filing fees, registered agent services, and more.
• Better Legal : Offers a range of business formation services, including LLC formation, to help you get your business up and running efficiently.
• Northwest Registered Agent LLC : Provides reliable registered agent services and LLC formation assistance, ensuring your business complies with all legal requirements.

Conclusion

Forming an LLC in Georgia involves several steps and associated costs, but the benefits of liability protection and flexible management make it worthwhile. By understanding the various fees and utilizing professional services like Swyft Filings , Bizee LLC Formation , Zen Business Filings , and Better Legal , you can streamline the process and ensure your LLC is set up correctly and efficiently. Whether you are incorporating a Georgia business or starting another type of business entity, these services can provide the guidance and support you need to succeed.