How Much Does an LLC Cost in Ohio? (Filing Fees 2024)

Starting a Limited Liability Company (LLC) in Ohio is an exciting venture, but knowing what costs are coming your way is important. It starts with a $99 fee to file your Ohio Articles of Organization—your official ticket to getting started.

The great news? Ohio does not charge the annual report fee that many states do, helping to lower your ongoing expenses.

But there’s more!

While the initial filing fee is key, other optional expenses can affect your budget. These include registered agent services, DBAs, an operating agreement for clear management, and necessary licenses or permits.

Are you ready to break down the specifics and get a clearer picture of what forming an LLC in Ohio truly costs?

How Much Does an LLC Cost in Ohio?

Starting an LLC in Ohio requires paying specific fees. The main cost is a $99 filing fee for submitting the Articles of Organization to the Ohio Secretary of State.

You can file online or by mail; while filing online may be faster, both options incur the same fee. This filing officially creates your LLC as a business entity.

In addition to the initial filing fee, there are several optional costs to keep in mind:

• LLC Name Reservation: If you want to reserve your LLC name, that typically costs around $39.
• Doing Business As (DBA): If you operate under a DBA name, you must budget around $39.
• Registered Agent Services: These can range from $100 to $300, depending on whether you act as your agent or hire a professional.
• Licenses and Permits: Depending on your specific business, licenses or permits may be required, and those costs can vary.
• Taxes: Don’t forget to consider applicable taxes based on your business activities.

It’s crucial to plan for these expenses when starting your business. Understanding these costs will help you budget effectively and ensure you’re well-prepared as you embark on your entrepreneurial journey.

LLC Costs in Ohio (Formation Fees)

Here’s a breakdown of the Ohio LLC requirements and their associated fees.

Ohio LLC Requirements	Cost
LLC Business Name Cost	$0
Articles of Organization	$99
Operating Agreement (optional)	$0 (with Northwest)
EIN Number	$0 (free from IRS)
Certificate of Good Standing (optional)	$25
Foreign LLC Registration (optional)	$99
Annual Report	$0
LLC Name Reservation Fee (optional)	$39
Fictitious Name (DBA) (optional)	$39
State Business License Fee	$25
Taxes	varies
Registered Agent Services	$0-$125 (Northwest)
LLC Formation Services	$39
Total LLC Costs in Ohio	$99 – $490

Total LLC costs in Ohio range from $99 to $490. If you do everything yourself and skip the optional extras, you might only spend around $99. However, if you decide to pay for additional services and requirements, your costs could go up to between $300 and $490.

The first mandatory expense is the $99 fee for filing the Articles of Organization, which is essential for officially forming your LLC. You won’t have to worry about annual report fees, as Ohio does not require them for LLCs.

Now, let’s talk about the optional costs.

Obtaining an Employer Identification Number (EIN) is also free from the IRS. While having an Operating Agreement is recommended, you can obtain it at no cost if you use services like Northwest.

If you want to reserve your LLC name, it will typically cost you $39. Additionally, obtaining a Certificate of Good Standing will set you back $25, and registering a foreign LLC in Ohio costs $99. If you wish to operate under a different name (DBA), you must pay an additional $39.

Regarding registered agent services, you can either act as your agent at no cost or hire a professional service, which typically ranges from $100 to $300, depending on the provider.

If you choose to use an LLC formation service, that typically costs around $39. Additionally, state business license fees, typically around $25, can vary, and taxes depend on your business activities.

Understanding these mandatory and optional costs will help you budget effectively as you embark on your business journey in Ohio.

Ohio LLC Business Name Cost ($0)

When you start an LLC in Ohio, you can reserve your business name for free. This means you don’t have to pay any fees to secure the name you want.

To reserve your name, go to the Ohio Secretary of State’s website and fill out an application. This process is quick and straightforward.

It’s important to check if your desired name is available. If someone else is already using it, you must choose a different name. This step ensures you can operate under your chosen name without legal issues.

After reserving the name, it is held for a specific time. Ensure you act within that period when you file your Articles of Organization.

Ohio Articles of Organization ($99)

You must file the Articles of Organization when starting a Limited Liability Company (LLC) in Ohio. This is an important step in officially creating your LLC.

The filing fee for the Articles of Organization is $99. This is a one-time payment made to the Ohio Secretary of State.

Ohio LLC processing time can vary. If you file online, you can expect to get your LLC approved in 1 business day, and if you file by mail, it could take up to 1 week. Some expedited options can speed up the process to as fast as 4 hours.

Here are some key points about the Articles of Organization:

• Statutory Agent: You must appoint a statutory agent. This person or business accepts legal documents on behalf of your LLC.
• Information Required: The form requires your LLC’s name, address, and details about the statutory agent.
• Processing Time: Online filings are usually processed faster than mail submissions.

Once your Articles of Organization are approved, your LLC is legally recognized in Ohio. Keep the $99 fee in mind as you plan your budget for starting your business.

LLC Operating Agreement Cost in Ohio ($0 with Northwest)

Creating an LLC Operating Agreement is essential for your business in Ohio. This document outlines how your LLC will be managed and the rights of its members.

If you choose Northwest Registered Agent, the operating agreement will cost $0. This is a significant advantage since other services may charge between $50 and $200 for similar agreements.

Having an Operating Agreement can help prevent misunderstandings later. It covers important details like profit sharing, member responsibilities, and decision-making processes.

Even if Northwest doesn’t charge, taking this step seriously is wise. Review the agreement carefully and make sure it addresses your specific needs. A well-drafted Operating Agreement can save you time and legal issues.

Ohio Registered Agent Fee ($0-$300/year)

When forming an LLC in Ohio, you need a registered agent. This agent receives legal documents for your business. You have a few options when it comes to costs.

If you choose to act as your own registered agent, there is no fee. You simply need to provide your name and address. This can save you money, particularly if you’re just starting.

Hiring a professional Ohio registered agent service is another option. These services generally cost between $100 and $300 per year. They can help you handle important documents and maintain your privacy. For example, LegalZoom charges about $249 annually, while ZenBusiness offers services for $199 annually.

One of the more competitive options is Northwest Registered Agent. They offer free registered agent services for the first year you use them to form your LLC. After that, the fee is $125 per year, which is attractive compared to other providers.

EIN Cost in Ohio ($0 from the IRS website)

Businesses in Ohio can get an Employer Identification Number (EIN) for free. The IRS does not charge a fee to apply for an EIN.

You can apply for your EIN directly through the IRS website. The application process is simple and can be done online. Here are the steps:

• Visit the IRS Website: Go to the IRS EIN application page.
• Fill Out the Application: Provide the necessary details about your business.
• Submit the Application: You will receive your EIN right away.

You will need it for many official business activities. Obtaining your EIN is one of the first steps in setting up your LLC in Ohio. It helps establish your business identity and is required for compliance with federal regulations.

Ohio LLC Annual Report Fee ($0)

In Ohio, you don’t have to worry about paying an annual report fee for your LLC. This means that once you’ve filed your Articles of Organization and paid the initial $99 fee, there are no recurring costs for an annual report.

Many states require annual reports, which can add to the ongoing business expenses. However, Ohio’s system simplifies things for you. Without these fees, you can focus on growing your business rather than managing paperwork and expenses.

There are still some things to keep in mind.

While Ohio does not charge an annual report fee, you must comply with other regulations. This includes maintaining a registered agent and ensuring your business is correctly set up.

Fictitious Name/DBA Cost in Ohio ($39)

If you want to operate your business under a name different from your LLC’s legal name, you need to file for a fictitious name or Doing Business As (DBA). In Ohio, the cost of filing a DBA is $39.

This fee is for the initial filing. Once approved, you can use your fictitious name for your business activities.

Ohio requires you to renew your DBA every five years. The renewal fee is $25. You can complete the renewal online or by mailing the necessary forms.

LLC Name Reservation Fee in Ohio ($39)

In Ohio, reserving a name for your Limited Liability Company (LLC) costs $39. This step helps secure your desired name before officially forming your LLC.

To reserve a name, complete the Name Reservation form, known as Form 534B. You can submit this form online or by mail. The reservation is valid for 180 days.

After this period, if you haven’t filed your LLC formation documents, the name will become available again for others to use. This makes timely action essential if you want to keep your preferred name.

Ohio Certificate of Good Standing ($25)

In Ohio, obtaining a Certificate of Good Standing is an important step for your LLC. This document proves your business complies with state requirements and is current on filings.

The fee for this certificate is $25. Depending on your preference, you can request it online or by mail. To get started, check your filings and any taxes owed to ensure your business is in good standing.

A Certificate of Good Standing can be useful in several situations, such as:

• Applying for loans: Lenders often require proof that your business is legally registered and compliant.
• Entering contracts: Clients may want assurance that your LLC is properly registered.
• Expanding to other states: Some states require this certificate for registration.

To order the certificate, you must typically provide your LLC name and account information. The process is straightforward, and most requests are processed quickly.

Ohio Foreign LLC Registration Fee ($99)

You must register as an Ohio Foreign LLC to do business in Ohio with an LLC formed in another state. This process ensures that the state recognizes your business.

The fee for registering a Foreign Limited Liability Company in Ohio is $99. This payment goes to the Ohio Secretary of State. Budgeting for this cost is important when expanding your business into Ohio.

If you need a quicker turnaround, you can opt for expedited processing. This will cost an additional $100, bringing the total to $199. Expedited services can be useful if you want to start operations sooner.

To begin, you must file a Registration of a Foreign Limited Liability Company application. This can be done online or through paper forms. If you’re unsure about the process, hiring a registered agent can help simplify it for you.

Ohio LLC State Business License ($25)

To sell goods in Ohio, you must obtain a vendor’s license. This license costs $25 and is essential for any business that makes taxable sales.

Register for this license through Ohio’s Department of Taxation or apply through your County Auditor. If you choose to file online, your application is processed immediately.

You will use the Application for Vendor’s License to Make Taxable Sales (ST-1) form for paper applications. Remember that processing these applications can take up to six weeks when sent by mail or delivered in person.

It’s important to note that if your LLC operates in certain industries, like tobacco, alcohol, or gambling, you may need additional state or federal licenses. Be sure to check the specific requirements for your business type, as extra fees could be involved.

Ohio LLC Taxes (varies)

When you operate an LLC in Ohio, you will encounter various taxes that can vary by business type and activity. Here are some common taxes you might need to pay:

• Federal Taxes: Include income tax based on your profits.
• State Income Tax: This applies to the income generated by your LLC.
• Local Income Tax: Based on your business’s location.
• Corporate Income Tax: For LLCs choosing to be taxed as corporations.
• Business Taxes: General taxes applicable to all businesses.
• Self-Employment Taxes: Required if you’re self-employed.
• Sales and Use Tax: Charged on goods sold and some services provided.
• Payroll Tax: If you employ staff, you must manage payroll taxes.
• Property Tax: Applicable if your LLC owns real estate.

Your specific tax obligations will depend on the nature of your business and its revenues.

Ohio LLC Reinstatement Fee ($25)

If your LLC in Ohio has been canceled, you can reinstate it for a fee of $25. This fee is required when you submit the reinstatement request to the Ohio Secretary of State.

You must obtain a Certificate of Tax Clearance to begin the reinstatement process. This certificate proves that your LLC has no outstanding tax liabilities. You can get this document from the Ohio Department of Taxation.

Once you have the Certificate of Tax Clearance, you can submit it with the $25 filing fee. Ensure that all paperwork is accurate and complete to avoid delays in the reinstatement process.

Here’s a quick overview:

• Reinstatement Fee: $25
• Requirement: Certificate of Tax Clearance
• Where to Submit: Ohio Secretary of State

Be prepared to pay any additional taxes or fees owed by your LLC. The total amount you need to pay could vary based on your situation. These steps will help you return your LLC to good standing in Ohio.

Ohio LLC dissolution fee ($50)

When you decide to dissolve your LLC in Ohio, there is a filing fee of $50. This fee applies when you submit your Certificate of Dissolution to the Ohio Secretary of State.

The processing fee remains $50 if you file online. If you prefer to submit a paper form, you’ll pay $100 instead.

To complete the dissolution, ensure that you fill out the required forms accurately. This will help avoid any delays in processing.

You should make your payment checks payable to the “Secretary of State.” It’s a straightforward process, but keep a record of your submission for future reference. Taking these steps will help you wind down your LLC properly and efficiently.

Ohio LLC Change of Registered Agent fee ($25)

Changing your registered agent in Ohio is straightforward. The fee for this change is $25. If you file online, you can pay this fee by check, money order, or credit card.

You can streamline the process if multiple entities need a registered agent change. Instead of filing separate forms for each entity, you can file one to cover all changes. This saves you time and reduces costs.

The registered agent must be a resident of Ohio or a business authorized to operate in the state. This agent is your main point of contact for legal notices.

When you decide to change your registered agent, first select a new one and confirm that your new agent meets the state requirements. Once chosen, complete the necessary form and submit it along with the fee.

Keeping your registered agent updated is important to maintain good standing for your LLC. Ensure that all contact information is accurate to avoid any legal issues.

What is the Cheapest Way to Start Ohio LLC?

Starting an LLC in Ohio can be done in several ways. You can file the necessary documents yourself, use an online service, or hire a professional.

The cheapest method is typically to file the formation documents yourself. You must submit the Articles of Organization, which costs $99. This option saves you from additional service fees when using third-party services.

You might encounter different pricing if you decide to use an online service. Some services offer starter packages for $0 plus state fees. However, they may add extra charges for name reservations or other services.

While filing yourself is cost-effective, it does have some downsides. You must be familiar with the process and ensure all documents are accurate. Mistakes can lead to delays or extra fees.

Hiring an attorney or a professional service provides guidance and helps avoid errors. Yet, this option is usually the most expensive.

Should You Use an LLC Formation Service in Ohio? (here’s why)

Using an LLC formation service in Ohio can be a smart option for many people. These services help streamline the process, making it easier for you to focus on your business instead of paperwork.

• Peace of Mind: A reliable service, like Northwest Registered Agent, guides you through each step, ensuring you don’t miss important forms or deadlines. They help you stay compliant with state regulations.
• Privacy Protection: Many LLC formation services offer options to keep your personal information private, essential for protecting your identity and avoiding unwanted solicitations.
• Time and Stress Savings: While some may think hiring a service is costly, handling tedious paperwork and navigating complex rules can save you significant time and stress.
• Expert Support: With access to LLC formation experts and attorneys, you get professional support when needed, making the entire process smoother and more straightforward.

Conversely, some may prefer the DIY approach to save money. While this is possible, it could lead to headaches if something goes wrong. Mistakes can lead to delays or even fines.

Frequently Asked Questions

How much does it cost to dissolve an LLC in Ohio?

To dissolve an LLC in Ohio, you need to file a Certificate of Dissolution, which costs $50. Before dissolving the business, ensure that all creditors are paid and final taxes are filed.

How much does it cost to reinstate an LLC in Ohio?

If your LLC has been canceled, reinstatement requires filing a Reinstatement Application for $25. You must also pay past-due fees or penalties before your LLC can be reinstated.

Do I need a business license if I have an LLC in Ohio?

An LLC in Ohio may need a business license, depending on the nature of your business and local regulations. Check with your city or county for specific licensing requirements.

Do I need to hire an attorney to form an LLC in Ohio?

Hiring an attorney to form your LLC is not mandatory. Many entrepreneurs choose to handle the process themselves. However, seeking legal advice can help with complex issues, particularly if you have multiple members or specific needs.

Should I hire an LLC formation service in Ohio?

Using an LLC formation service can simplify the process and help ensure that all forms are filed correctly. While there is an additional fee for these services, they can save you time and reduce the risk of errors.

Are there penalties for paying my fees late in Ohio?

Yes, late payment of fees for your LLC can result in penalties or interest. Staying current with your fees and filings is important to avoid additional costs and maintain good standing.

What happens if I do not file my Ohio LLC annual report?

While Ohio does not require an annual report, failing to comply with any other required filings can mark your LLC as inactive or even dissolved. Keep track of all obligations to avoid complications.