Question
What is the total cost to form a Delaware LLC?
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GPT-4o mini
The total cost to form a Delaware LLC can vary based on several factors, including state fees and optional services. Here are the primary costs associated with forming a Delaware LLC:
1. **State Filing Fee**: The fee to file the Certificate of Formation for an LLC in Delaware is typically $90. This is a one-time fee paid at the time of formation.
2. **Registered Agent Fee**: Delaware requires LLCs to have a registered agent. If you choose to hire a professional registered agent service, this can cost anywhere from $50 to $300 per year, depending on the provider you choose.
3. **Annual Franchise Tax**: Delaware LLCs are required to pay an annual franchise tax, which is a flat fee of $300, due by June 1 each year.
4. **Operating Agreement**: While not legally required, it's advisable to create an LLC Operating Agreement, which may incur legal fees if you hire an attorney.
5. **Additional Costs**: There may be additional costs for business licenses, permits, or other filings depending on your business activities.
In summary, the initial costs to form a Delaware LLC can amount to around $90 (filing fee) plus the registered agent fee, which could total from approximately $150 to $390 or more in the first year when including the annual franchise tax and additional costs. It’s advisable to consult with a professional or legal advisor to understand all the specific costs related to your business situation.
1. **State Filing Fee**: The fee to file the Certificate of Formation for an LLC in Delaware is typically $90. This is a one-time fee paid at the time of formation.
2. **Registered Agent Fee**: Delaware requires LLCs to have a registered agent. If you choose to hire a professional registered agent service, this can cost anywhere from $50 to $300 per year, depending on the provider you choose.
3. **Annual Franchise Tax**: Delaware LLCs are required to pay an annual franchise tax, which is a flat fee of $300, due by June 1 each year.
4. **Operating Agreement**: While not legally required, it's advisable to create an LLC Operating Agreement, which may incur legal fees if you hire an attorney.
5. **Additional Costs**: There may be additional costs for business licenses, permits, or other filings depending on your business activities.
In summary, the initial costs to form a Delaware LLC can amount to around $90 (filing fee) plus the registered agent fee, which could total from approximately $150 to $390 or more in the first year when including the annual franchise tax and additional costs. It’s advisable to consult with a professional or legal advisor to understand all the specific costs related to your business situation.
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