How Much Is an LLC in Arizona?
Arizona LLC Filing Fee: $50
To form an LLC in Arizona, you'll need to file the Articles of Organization (Form L010) with the Corporations Division of the Arizona Corporations Commission (ACC). The ACC charges a $50 fee to process and record this document online, by mail, or in person.
Statutory Agent Fee
Every Arizona LLC must appoint a statutory agent, known in most states as a registered agent. Your Arizona statutory agent must be a resident of Arizona and must be available to receive service of process during normal business hours at a designated street address.
You can be your own statutory agent in Arizona, or you can use a registered agent service for a minimal cost.
Recommended: Get free registered agent services for one year when you form an LLC with Northwest.
Cost to Register a Foreign LLC in Arizona: $150
LLCs registered in another state that want to transact business or conduct affairs in Arizona must register with the Arizona Corporation Commission.
The cost of registering an Arizona foreign LLC is $150. You can register a foreign LLC in Arizona by filing a Foreign Registration Statement (Form L025).
Business Licenses and Permits
Your business might need federal, state, and local permits/licenses to legally operate in Arizona, depending on your industry and geographical location. This is true whether you form an LLC or any other type of business structure.
If your business is required to pay the Arizona Transaction Privilege Tax (TPT), you will likely need to get a TPT license from the Department of Revenue and the cities in which your business conducts activities. The license cost per location is $12.
Learn more about state and local licensing in our Arizona business license guide.
Other Arizona Business Filing Fees
There are fees associated with other, optional business filings in Arizona.
‘Doing Business As’ (DBA) Name
When an LLC is registered with the state, the LLC’s name is also officially registered. Some business owners choose to also file for a DBA name, known as a trade name in Arizona.
Trade names can be registered through the Arizona Secretary of State's Office. File a Trade Name Application with the Arizona Secretary of State and pay the $10 filing fee to create a name other than your legal LLC business name.
Learn more in our Arizona DBA guide.
Certified Document Copies
You can get certified copies of your Arizona business documents by completing a Records Request Form (Form M048) and delivering it to the Corporations Division Records Section by mail or in person.
Certified copies of any LLC document cost $15 plus $0.50 per page.
Certificate of Good Standing
A Certificate of Good Standing is often required by banks and lenders.
How to Start an LLC in Arizona
Forming an LLC yourself is easy; just follow the five steps below.
Five Basic Steps to Start an LLC in Arizona
Step 1: Name Your Arizona LLC
Step 2: Choose a Statutory Agent
Step 3: File Articles of Organization
Step 4: Create an Operating Agreement
Step 5: Get an EIN
Step 1: Name Your Arizona LLC
When you name your Arizona LLC, you’ll need to choose a name that:
- Is available for use in the state of Arizona
- Meets Arizona naming requirements
- Is available as a web domain
Check web domain (URL) availability with GoDaddy:
Find a Domain Now
Not sure what to name your business? Check out our free LLC name generator.
Step 2: Choose a Statutory Agent
Arizona LLCs are required to appoint a statutory agent to receive service of process. Business owners can hire a registered agent service or appoint any Arizona resident that is 18 years or older and is available during normal business hours at a specified address to receive service of process.
Recommended: Northwest offers one full year of registered agent services with their $29 (plus state fees) LLC formation package.
Step 3: File an Arizona LLC Articles of Organization
To form an LLC in Arizona, you must file the Arizona LLC Articles of Organization with the Arizona Corporations Commission and pay the $50 processing fee. You can file the Arizona LLC Articles of Organization online, by mail, or in person.
For a closer look at the filing process, check out our Arizona LLC Articles of Organization guide.
Step 4: Create an LLC Operating Agreement
Operating agreements are not required for Arizona LLCs, but it’s a good practice to have one.
An operating agreement outlines the ownership and operating procedures of an LLC, ensuring that all members are on the same page and reducing the risk of conflict down the line.
Learn more in our Arizona LLC Operating Agreement guide.
Step 5: Get an EIN
An Employer Identification Number (EIN) is a nine-digit number issued by the IRS to identify businesses for tax purposes. Think of an EIN as a Social Security number for your LLC.
To learn how to get an EIN for free, visit our How to Get an EIN Number guide.
LLC Cost in Arizona FAQ
What is the cheapest way to start an LLC in Arizona?
The cheapest way to start an LLC in Arizona is to handle the registration process individually. In order to do this, you will need to follow these steps:
- Name your LLC
- Choose a statutory agent: This can be a registered agent service or an individual.
- File the Arizona LLC Articles of Organization: The filing fee for this is $50 and can be done online, by mail, or in person.
- Create an LLC operating agreement: This is usually not a legal requirement, but it is highly recommended.
- Get an EIN: This is basically your business’s Social Security number (SSN).
How much does an LLC cost per year in Arizona?
There are no annual report fees in Arizona.
However, an LLC doing business in Arizona may be liable to the Arizona Transaction Privilege Tax (TPT), which is a tax for the privilege of doing business in the state. Various business activities are subject to transaction privilege tax and must be licensed.
If a business is selling a product or engaging in a service subject to the TPT, a license from the Arizona Department of Revenue (ADOR) would likely be needed as well as a transaction privilege tax or business/occupational license from the city or cities in which the business is based and/or operates. The cost for each license per location is $12.
For a more in-depth analysis, see our How Much Does an LLC Cost? article.
How much does an LLC license cost in Arizona?
An LLC is not a business license, but a business entity. Forming an LLC in Arizona includes a filing fee of $50.
You may be required to pay additional fees if you choose to pay for a registered agent service, an LLC formation service, or an LLC attorney.
License costs depend on the business activities of your LLC and the location where these activities are carried out.
See our How to Start an LLC in Arizona for more information on registering your business as an LLC.
Do LLCs pay taxes in Arizona?
LLCs are a “pass-through” tax entity. This means that the LLCs profits are “passed through” directly to its owner(s), who then pay income taxes independently.
This is advantageous compared to a corporation’s tax structure because it means that LLC members are not taxed twice.
Having said that, readers should keep in mind that LLCs are very flexible when it comes to how they can be taxed, and — depending on the specifics — they can choose to be taxed as a pass-through entity, a C corp, and an S corp.
For more information, see our How Is an LLC Taxed guide.
What are the tax benefits of an LLC?
The tax benefits of an LLC will depend on how you choose to be taxed, as well as on whether you are operating as a single or multi-member LLC.
Generally speaking, LLCs can choose to be taxed in several different ways, including:
- As a sole proprietorship or general partnership
- As a C corporation
- As an S corporation
See our Single-Member LLC Taxes guide for a detailed overview of the tax benefits of having an LLC as a small business.
Do I need to open a business bank account for my LLC?
Even though you do not necessarily “need” to open a bank account for your LLC, this is generally highly recommended for several reasons.
For one, having a separate bank account can allow you to maintain your LLC’s corporate veil — meaning that you will not risk losing your limited personal liability under the law. A business bank account also offers financial benefits, including the ability to build business credit more quickly and access to larger business loans.
Interested in opening a business bank account? See our review of the best banks for startups in 2023.