March 8, 2024

How Much Does an LLC Cost in Georgia

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From the standard $100 filing fee to a range of other expenses, read on to ensure you're financially prepared before creating an LLC in Georgia.

How much does it cost to start an LLC in Georgia?
Here are the following fees to consider:

The primary cost to start an LLC in Georgia is the state registration fee of $100.[1] However, getting started takes more money than that.

Figure out what you need to spend, including the optional fees that could balloon the total cost to more than $1,000.

How much does an LLC in Georgia cost per year?
In Georgia, LLCs need to pay the $50 annual registration fee to the Secretary of State.[2] Other expenses you'll cover every year may include business permits and licenses, website domain, and business insurance premiums.

How well do you know Georgia LLC formation costs?

Georgia Domestic LLC Formation Filing Fee

Cost: $100 (online filing) | $110 (via mail)

All new LLCs in Georgia must submit the Articles of Organization to the Secretary of State. It details essential information about your company. This includes the company name, your name, and that of your LLC's registered agent. Once the application is approved, your LLC will be recognized as legally separate from you.

If you file the Articles of Organization online, the usual processing time is 7 days. If you file by mail, it will take around 15 days.

If you need to create your LLC faster, the Georgia Secretary of State offers expedited services. The fee depends on how soon you want it:[3]

  • $100 - 2 business days
  • $250 - same day
  • $1,000 - 1 hour

What is the cheapest way to get an LLC in Georgia?
Paying the LLC-related fees yourself in Georgia will be most cost-effective. Choose to make payments online if it's an available option. You can also be your LLC's registered agent and save up to $400. Furthermore, create your operating agreement by using free templates online.

Georgia Foreign LLC Formation Filing Fee

Cost: $225 (online filing) | $235 (via mail)[2]

If you already have an LLC in your home state and want to expand your business into Georgia, you'll need to apply for a Certificate of Authority.

You won't have to form your LLC again, but you must register with Georgia's Secretary of State as a foreign limited liability company.

Do I need to hire an attorney to form a foreign LLC?
Georgia's Secretary of State doesn't require foreign LLCs to lawyer up. You can process the documents for a foreign LLC in Georgia on your own, just like applying for a domestic LLC.

Georgia LLC Annual Registration Fee

Cost: $50 (online filing) | $60 (via mail)

Every LLC registered in Georgia must complete an annual registration process between January 1 and April 1 of each year. This is a crucial step in maintaining your LLC's good standing and avoiding legal consequences.

An annual registration keeps your LLC's basic information current, including your registered agent, address, and members' names. This is your opportunity to update any changes in your business during the previous year.

Failure to file your annual registration for two consecutive years can lead to the dissolution of your LLC. This means your business will cease to exist legally, and you may face additional challenges.

Is there a penalty if I submit my annual report late?
Yes, all LLCs in Georgia must pay a $25 penalty[4] if the annual registration and the $50 or $60 filing fee are submitted after April 1 of each year.

Georgia Business Permits and Licenses

Cost: $0 - $500+

Georgia doesn't require a business license at the state level. However, you need a seller's permit if your LLC offers a physical product. In Georgia, this is called a Sales and Use Tax Permit. You can get it for free through the Georgia Tax Center (GTC).

All LLCs in Georgia typically need a business or operating license from their city or county. Cities like Atlanta and Columbus require a business license for all merchants that operate in the city.

You might also need a special business license, depending on your LLC's industry. Construction businesses will need a building and zoning permit. Meanwhile, accountants and interior designers will need respective professional licenses.

Consider getting a reseller's permit if your LLC in Georgia sells physical goods. LLCs with this permit do not have to pay sales tax when purchasing goods for resale.

Georgia Business Taxes

Cost: 1% - 5.75% Individual Income Tax[5]

By default, LLCs in Georgia are treated as pass-through entities for tax purposes. This means profits and losses are passed directly to members and reported on their personal tax returns.

However, depending on the nature of your business, your LLC may still be subject to paying different types of taxes. These taxes include:

  • Adult Entertainment Tax
  • Fireworks Excise Tax
  • Motor Fuel Distributor Tax
  • International Fuel Tax
  • Transportation Services Tax

Optional Fees for LLCs in Georgia

While the LLC fees in Georgia below are optional, you may need to pay for some depending on your business needs. For example, obtaining a Certificate of Good Standing is often necessary when opening a business bank account.

As you plan your budget for your new Georgia LLC, remember to account for these potential additional expenses:

Georgia LLC Optional FeesCost
Georgia LLC Expedited Services Fee$100 - $1,000
Georgia LLC Registered Agent Feeup to $400
Georgia LLC Operating Agreement Feeup to $1,000
Georgia Employer Identification Number (EIN)FREE
Georgia LLC Business Name Reservation Fee$25 or $35[6]
Georgia LLC 'Doing Business As' (DBA) Fee$150+
Georgia LLC DBA Publication Fee$40
Georgia LLC Correction Fee$20
Georgia LLC Amendment Fee$20 or $30[2]
Georgia LLC Statement of Change Fee$20+
Georgia LLC Certified Copy of Business Document Fee$10 - $60
Georgia LLC Certificate of Existence Fee$10 or $20[2]
Georgia Business Website Domain Fee$10 - $30
Georgia Business Insurance Premiumvaries

Georgia LLC Registered Agent Fee

Cost: up to $400

All LLCs in Georgia must appoint a registered agent. This is optional because you don't have to pay for registered agent services. You or a trusted person can be the LLC's registered agent as long as the following requirements are met:

  • At least 18 years of age.
  • Have a physical address in Georgia.
  • Available to receive legal documents during regular business hours.

A registered agent is responsible for receiving legal documents on behalf of the LLC. For this reason, the registered agent's address must be available to the public records.

Many LLC owners get a registered agent service to keep their addresses private and free themselves from having to be available during regular business hours. If you use a professional registered agent service, you will pay their fee annually.

Does a registered agent need to give formal consent to serve for an LLC in Georgia?
The initial registered agent for your Georgia LLC does not have to officially consent to act in that role.

Georgia LLC Operating Agreement Fee

Cost: up to $1,000

In Georgia, LLCs are not required to have an operating agreement. However, having one helps prevent confusion, disagreements, and other issues concerning policies and roles.

An operating agreement is a legal document that outlines the ownership and operating procedures of an LLC. It also defines the roles and responsibilities of the members or managers.

One interesting feature of Georgia law is that you can use your articles of organization for the same purposes as an operating agreement. Because your articles are filed with the state, any changes to them will require an amendment.

The costs associated with the operating agreement come in the drafting of the document. You can create an operating agreement for free by using templates online. Alternatively, it could cost upwards of $1,000 if you hire an attorney.

Georgia LLCs with no operating agreement
If you don't create an operating agreement, you must follow Georgia's default legal provisions for LLCs. For instance, in a Georgia LLC without a specific agreement, all members are assumed to share profits and debts equally.

Georgia Employer Identification Number (EIN)

Cost: FREE

An Employer Identification Number (EIN) is a unique nine-digit number assigned by the Internal Revenue Service (IRS). This number is used to identify a business entity for tax-related purposes.

In Georgia, single-member LLCs are not required to have an EIN. However, you might need it down the line if you want to hire employees or open a business bank account.

Open a bank account for your LLC in Georgia.
Using your personal bank account for LLC transactions makes your own assets vulnerable to business-related debts. As such, you may lose your LLC's liability protection.

Georgia LLC Business Name Reservation Fee

Cost: $25 (online filing) | $35 (via mail)

Naming your Limited Liability Company doesn't cost anything. Your Georgia LLC Name is approved (at no extra cost) when the state approves your Articles of Organization filing.

If you've got a perfect name for your LLC, but aren't ready yet to register with the state, you can reserve the name for 30 days. Submit your Name Reservation Request form to the Georgia Secretary of State online or by mail and pay the corresponding fee.

Make sure the name you want isn't already taken by doing a business search on the Georgia Secretary of State's website. To avoid having problems with your Articles of Organization application, take note of the Georgia LLC naming guidelines as well.

A website domain for your Georgia LLC
Choose a business name that is also available as a web domain. Even if you have yet to make a business website, you may want to buy the URL in advance to prevent others from acquiring it.

Georgia LLC 'Doing Business As' (DBA) Fee

Cost: $150+ (Publishing fee is separate)

If you want to operate your business under a different name than your LLC's, you will need to file a DBA. In Georgia, DBAs are called trade names and are registered in the county in which your business operates. This filing fee varies by county.

Aside from the DBA filing fee, you'll also need to publish a copy of your DBA in the local newspaper. This should run at least once a week for two consecutive weeks.

Some DBA fees in other counties already include the publication fee. In other counties, you will have to pay a separate publication fee, which costs upwards of $40.

Georgia LLC Correction Fee

Cost: $20

After your Georgia LLC application is approved, your next focus should be on maintaining its good standing over the long term.

Get a copy of the approved Articles of Organization and review all the details carefully. If there are errors, like a misspelled business name or incorrect address, correct them as soon as possible by filing a Certificate of Correction.

Georgia LLC Amendment Fee

Cost: $20 (online filing) | $30 (via mail)

Your Georgia LLC's Articles of Organization contain specific details about your business. Should these details change, you must submit a Certificate of Amendment to the Secretary of State.

File a Certificate of Amendment if you:

  • Add, remove, or change an LLC member or manager.
  • Update your LLC's business address.
  • Modify your LLC's stated business activities.

What's the difference between a Certificate of Correction and a Certificate of Amendment?
A Certificate of Correction is for fixing mistakes in initial filings. Meanwhile, a Certificate of Amendment is for updating or changing key details as the LLC evolves.

Georgia Statement of Change Fee

Cost: $20+

You must file a Certificate of Change to update your LLC's registered agent name or address. If you want to skip this fee, you can submit the updated details when you file your annual report.

You can update registered agent details for multiple LLCs in Georgia. A single submission can include changes for all entities, with an additional $5 beyond the fifth LLC.

What's the difference between a Certificate of Amendment and a Certificate of Change?
A Certificate of Amendment is used to change the business name, business purpose, and other details. The Certificate of Change pertains only to changes regarding the registered agent.

Georgia LLC Certified Copy of Document Fee

Cost: $10 (online filing) | $20 (via mail)

A Georgia-certified document is a copy of a business document that includes a signed and dated endorsement from the Georgia Secretary of State.

You often need certified copies of your LLC's documents to open new bank accounts, apply for loans, or demonstrate to investors that your LLC is legitimate and properly managed.

Note that there is an additional 10 cents per page for certified document copies that exceed 25 pages.[2]

Expedited Services for a Certified Document Copy
If you need your document certified much quicker, you can pay $50 for expedited processing.[2]

Georgia LLC Certificate of Existence Fee

Cost: $10 (online filing) | $20 (via mail)

A Certificate of Existence, also known as a Certificate of Good Standing, is a document that verifies your LLC is legally registered and compliant with state regulations. You may need this certificate when dealing with banks, lenders, or other business entities.

Expedited Services for a Certificate of Existence
If you're in a hurry, you can pay $50 for expedited processing of this certificate.[2]

Georgia Business Website Domain Fee

Cost: $10 - $30

A website domain provides a dedicated online space for your business. It's essential for marketing, customer engagement, and brand visibility in today's digital world.

Even if you're not planning to build a business website yet, it's a good idea to buy the domain name at least. This prevents others from using your LLC's name as a web address.

Beware of website domain squatters.
Domain squatters often monitor newly registered LLC names. They purchase corresponding website domains and then resell them at significantly higher prices.

Georgia Business Insurance Premium

Cost: varies

If your LLC in Georgia has three or more employees, state law mandates you get workers' compensation insurance.[7] Not having this insurance can lead to fines or, worse, your business being shut down.

The cost of this insurance depends on factors like the number of employees, the risk level of your industry, and your past insurance claims. For instance, a large-scale industrial manufacturer typically incurs higher insurance premiums compared to a smaller graphic design studio.

What Georgia LLC formation cost concerns you most?

Bottom Line

The $100 Certificate of Formation filing fee is just the beginning of your expenses if you want to start an LLC in Georgia. The numbers above tell you the very least you need to get started, but there is a lot more you need to know.

The cost will increase depending on additional services, documents, and licenses your LLC needs to operate. You can also use an accountant to stay compliant with the law. Ultimately, it's never a bad idea to set aside an extra budget for unexpected costs.

Did you consider any cost-saving measures when forming your LLC in Georgia?

References

  1. ^ Georgia.gov. Register an LLC with Georgia Secretary of State, Retrieved 1/04/2024
  2. ^ Georgia Secretary of State. Corporations Division Filing Fees, Retrieved 1/04/2024
  3. ^ Georgia Secretary of State. Filing Fees and Expedited Processing of Document Filings, Retrieved 1/04/2024
  4. ^ Georgia Secretary of State. How to Guide: File Annual Registration, Retrieved 1/04/2024
  5. ^ Georgia. gov. Department of Revenue: Taxes for Businesses, Retrieved 03/11/2024
  6. ^ Georgia.gov. How To Guide: How To Reserve a Name, Retrieved 1/04/2024
  7. ^ Georgia.gov. Workers' Compensation Insurance FAQs, Retrieved 01/17/2024

Nicole King is a research analyst at CreditDonkey, a business formation services comparison and reviews website. Write to Nicole King at nicole.king@creditdonkey.com. Follow us on Twitter and Facebook for our latest posts.

Note: This website is made possible through financial relationships with some of the products and services mentioned on this site. We may receive compensation if you shop through links in our content. You do not have to use our links, but you help support CreditDonkey if you do.


How Much Does It Cost to Form an LLC?

Forming an LLC can be the next step for your business. But how much will it cost? Read on to learn about the different LLC formation fees.
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