Cost of Incorporating in Nevada: Everything You Need to Know
The cost of incorporating in Nevada is low, and the entire process is easy. Filing fees are subject to change at any time.3 min read
2. How to Incorporate in Nevada
4. Incorporation Fees
5. Timeline for Processing
6. Naming Requirements
7. Formation Requirements
Updated November 23, 2020:
The cost of incorporating in Nevada is low, and the entire process is easy. The initial expense is for the Articles of Organization form that you must file with the Secretary of State. The fees for the individual articles are $75, $125, and $200, respectively. Filing fees are subject to change at any time.
Other Costs When Incorporating in Nevada
Along with the fee for filing the Articles of Organization, there are other costs to consider. For example:
- The fee for the business license is $700.
- There is a 24-hour expedited processing service for the articles with an estimated fee of $125-$150 for each form.
- Two separate one-hour expedited services are available for $500 and $1,000.
- There is a business name filing fee of $25.
- There is a business name reservation 24-hour processing service for a fee of $50.
- There are fees for incorporating a nonprofit.
- It costs $25 to record the names of the officers and directors.
- A for-profit corporation's fees for the Articles of Incorporation vary according to the total value of the authorized shares stated in the articles. Filing fees can be $75 (initial value up to $75,000), $175 (share values between $75,000 and $200,000), $275 (above $200,000), and $375 (share values over $500,000). Shares over $1 million rise by $275 for every half million. The maximum fee is $35,000.
- An expedite fee for non-profit filing is $25 for a one-day turnaround, $500 for a two-hour turnaround, and $1,000 for one-hour processing.
- A corporation must file an annual articles form with the Nevada Secretary of State at a cost of $150 due on the anniversary of the initial filing.
- A $200 annual business license fee is paid to the Nevada Department of Revenue as well as an annual $200 business license tax for limited liability companies and an annual $500 tax for corporations.
- The state has a 6.85 percent tax, but the local tax in Nevada averages 7.59 percent.
- If a corporation is not registered with the Nevada Secretary of State, it will be subject to monetary penalties and will likely be barred from filing suit against any person or business in the state. This would be costly because the corporation cannot enforce the contracts in the state and anyone owing the corporation money will not have to pay.
- Businesses incorporated in Nevada and only doing business in the state do not pay corporate or individual taxes. If the enterprise is doing business in other states, it is subject to the state corporate taxes in those states, which vary from location to location.
- If a state imposes a franchise tax for the privilege of doing business in that state, a corporation registered in Nevada must also pay that tax.
How to Incorporate in Nevada
As mentioned, you must file the Articles of Organization with the Secretary of State. The form will include information such as the business name and address; the name and address of the registered agent; a dissolution date, if applicable; an employer identification number or social security number; required state licenses and business permits; the name of the manager or member; and the names and addresses of the organizers of the business. You may file by mail or online.
You must pay all fees when you file the articles.
Timeline for Processing
Processing the forms can take a few business days. If you need to be up and running immediately, use the expedited services.
Nevada does not have strict naming rules. A limited liability company's name must be distinguishable from other companies, the state must approve the name, and the name must contain certain words to qualify. Use the search option at the Secretary of State website to check name availability.
All businesses planning to conduct transactions in Nevada must have a business license issued by the State of Nevada and a registered agent with a permanent Nevada address.
While some states require an operating agreement, Nevada does not. However, though one is not required, it is advisable to have a written operating agreement that clearly states each member's contribution to the company. This form should also state what portion of the company's profits and credits or losses will be assigned to each member.
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