LLC Cost in Georgia: A Comprehensive Guide

Forming a Limited Liability Company (LLC) in Georgia can be a great way to protect your personal assets and establish a separate business entity. However, one of the most common questions entrepreneurs and small business owners ask is, "How much does it cost to form an LLC in Georgia?"

The cost of forming an LLC in Georgia can vary depending on several factors, including the type of business, the number of owners, and the level of complexity involved. In this article, we will break down the costs associated with forming an LLC in Georgia and provide a comprehensive guide to help you understand the process.

Cost of Filing Articles of Organization

The first step in forming an LLC in Georgia is to file Articles of Organization with the Georgia Secretary of State. The cost of filing Articles of Organization in Georgia is $100. This fee is non-refundable and must be paid by check or money order.

Cost of Registered Agent Service

In Georgia, all LLCs are required to have a registered agent. A registered agent is an individual or business that agrees to receive service of process and other official documents on behalf of the LLC. The cost of a registered agent service can range from $50 to $300 per year, depending on the provider and the level of service.

Cost of Business License and Permits

Depending on the type of business and the location, you may need to obtain additional licenses and permits. The cost of these licenses and permits can vary widely, but here are some examples:

• Business license: $25 to $100 per year
• Sales tax permit: $0 to $25 per year
• Employer identification number (EIN): free

Cost of Name Reservation

If you want to reserve a business name in Georgia, you can do so for a fee of $25. This fee is non-refundable and must be paid by check or money order.

Cost of Operating Agreement

An operating agreement is a document that outlines the ownership and management structure of an LLC. While not required by law, an operating agreement can help prevent disputes and provide a clear understanding of the LLC's operations. The cost of an operating agreement can range from $100 to $500, depending on the complexity of the agreement and the attorney's fees.

Cost of Annual Report

Every year, LLCs in Georgia are required to file an annual report with the Secretary of State. The cost of this report is $50. This fee is non-refundable and must be paid by check or money order.

Total Cost of Forming an LLC in Georgia

The total cost of forming an LLC in Georgia can range from $275 to $1,350, depending on the factors mentioned above. Here is a breakdown of the estimated costs:

• Filing Articles of Organization: $100
• Registered agent service: $50 to $300 per year
• Business license and permits: $25 to $100 per year
• Name reservation: $25
• Operating agreement: $100 to $500
• Annual report: $50

Conclusion

Forming an LLC in Georgia can be a complex and time-consuming process, but with the right guidance, you can navigate the requirements and costs associated with it. By understanding the costs of filing Articles of Organization, registered agent service, business license and permits, name reservation, operating agreement, and annual report, you can make an informed decision about forming an LLC in Georgia.