Key Takeaways

  • Forming an LLC in Arizona involves filing fees, optional name reservation, and possible licensing or publication requirements.
  • The base Arizona LLC cost is $50 for standard filing or $85 for expedited processing; foreign LLCs pay $150 ($185 expedited).
  • Additional fees include name reservation ($10–$45), amendments ($25–$60), reinstatements ($100–$135), mergers ($50–$85), and certified copies ($5–$45).
  • Unlike many states, Arizona does not require annual reports or franchise taxes for LLCs, reducing ongoing costs.
  • Businesses may still face other expenses: local business licenses, professional licenses, statutory agent services, or optional operating agreements.
  • Typical incorporation timelines range from 4–6 weeks, but expedited service can reduce this to about 10 business days.

The cost to incorporate in Arizona depends on what type of company you hope to register with the state and the process you use. Whether forming an LLC (limited liability company), corporation, non-profit, or otherwise, you'll need to be sure that you follow the requirements laid out by the state through their Secretary of State (SOS) office.

What Is an LLC?

Limited liability companies provide liability protection for their owners, which are called members. LLCs are one of the most popular business entity types because they are fairly easy to form and they avoid the double taxation issue that corporations are known for. Knowing the specific entity type that is right for your business comes down to understand the differences and benefits of each.

All LLCs wishing to do business in the state of Arizona, whether as a domestic or foreign LLC, must register with the state through their Arizona Corporations Commission (ACC) by fulfilling the requirements and pay the necessary fees.

Naming an LLC

One of the first steps in forming a business in Arizona is choosing a name. All LLCs in the state must have unique names so as not to confuse clients and customers or the state. An LLC cannot have the exact name as another business, but it also cannot have a name that is too similar to another.

In order to make sure that your desired name is available for use, you can perform an LLC name search on the ACC website. If you find that your name is available, you may reserve it by paying a $45 fee online or a $10 via mail.

Articles of Incorporation

The articles of incorporation are the main documents that you'll need to file with the state in order to register your business, whether an LLC or corporation. You'll need to include the following information in the articles:

  • Business name.
  • Business address.
  • Name and address of the registered agent.
  • Date of dissolution (if the business is not meant to continue perpetually.
  • Statement regarding the management style of the business.
  • Managers or managing-members' names and addresses.

Once your business's articles of incorporation are filed with the state, they'll also need to be published in the county where the company's address is located. You may also need to file for various licensure depending on the type of business you are starting. The ACC website can tell you which business types require which permits and licenses.

Incorporation Costs

Registering a domestic LLC in the state of Arizona costs $50 with an $85 fee for the expedited process. Foreign LLCs must pay a $150 fee or $185 for expedited. If an owner is attempting to reinstate their LLC after it was dissolved by the state, they'll need to pay a $100 fee or $135 for expedited.

If members need to add any amendments to the articles of organization for their business, they'll need to pay a $25 fee to file the changes or $60 for expedited. LLCs that want to merge with other business entities must pay a $50 fee when they file their articles of merger, or $85 for expedited.

If business owners need to obtain copies of any of their filed documents, like a certificate of good standing, they'll need to pay a $5 fee and then $0.50 for each page requested. These documents can be certified by the state for $10 or $45 if they need the process expedited.

Ongoing and Hidden Arizona LLC Costs

While Arizona’s initial filing fee is relatively low compared to other states, business owners should also consider ongoing and indirect costs when budgeting:

  • No Annual Report Fees: Arizona stands out because LLCs are not required to file annual reports or pay annual franchise taxes, saving hundreds of dollars compared to other states.
  • Business Licenses: Depending on your industry, you may need city, county, or state-level licenses. These vary widely in cost. For example, a general business license might cost around $50 to $100 annually, while professional licenses may be higher.
  • Statutory Agent Fees: If you use a commercial statutory agent rather than serving as your own, expect to pay $100–$300 per year.
  • Operating Agreement: Although not filed with the state, many businesses invest in drafting an operating agreement (legal costs vary).
  • Publication Requirement: Arizona once required newly formed LLCs in certain counties to publish notice of formation. While some counties no longer enforce this, costs can range from $60 to $300 if publication applies.

By anticipating these costs, entrepreneurs can avoid unexpected expenses and maintain compliance.

How Long Does It Take to Incorporate?

Usually, the process of incorporating a business takes about four to six weeks, but this all depends on the office with which you're filing and how busy they are. Some states tend to take longer than others due to the volume of registrations coming in. Many business owners will choose to pay the extra fee to expedite the process just to ensure that it doesn't take too long.

Expediting the process usually speeds things up by about 10 business days. When you choose to expedite, your documents will be mailed using overnight mailing service, and you'll be placed in the priority category for processing. Some states offer rush processing which cuts the incorporation process down to just two to three days. This option is typically even more expensive than the expedited process and is not available everywhere.

Arizona LLC Cost Compared to Other States

Arizona is often seen as a cost-effective state for LLC formation. Filing fees start at just $50, which is lower than the national average. By contrast, California charges $70 for formation plus an $800 annual franchise tax, and Massachusetts requires $500 annually for reports. Arizona’s lack of recurring filing obligations makes it one of the most affordable states to maintain an LLC.

This affordability is especially attractive to small businesses and startups. However, those planning to operate in multiple states should remember that foreign LLC registration elsewhere will involve additional fees.

Frequently Asked Questions

  1. How much does it cost to start an LLC in Arizona?
    Filing costs $50 for standard processing or $85 expedited. Foreign LLCs pay $150 ($185 expedited).
  2. Does Arizona require annual LLC fees?
    No, Arizona does not require annual reports or franchise taxes for LLCs, making ongoing costs lower than in many states.
  3. Are there extra costs beyond filing fees?
    Yes. You may pay for business licenses, statutory agent services, certified copies, or publication notices, depending on your location and business type.
  4. How long does it take to form an LLC in Arizona?
    Standard processing usually takes 4–6 weeks, while expedited service shortens the timeline to about 10 business days.
  5. Is Arizona cheaper than other states for LLCs?
    Yes. Arizona’s low filing fee and lack of annual reporting or franchise taxes make it more affordable than states like California or Massachusetts.

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