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Alabama state guide · FAQ

Alabama LLC
questions, answered

Ten questions we get most often about forming an LLC in Alabama — with straight answers, not hedged ones.

State filing fee$236
Typical approval5–10 business days
Annual report$50 annual
Privilege tax$50 min · due Apr 15

The ten we get asked most

How long does it take to form an Alabama LLC?

5–10 business days for standard online processing through the Alabama Secretary of State. Once the LLC is approved, we obtain the EIN the same day and deliver your bank-ready packet within a day or two after that.

What does it cost to form an LLC in Alabama?

Our service is $299 flat. Alabama's state filing fee is $236, paid directly to the Alabama Secretary of State. First-year total is $535, with no upsells and no tiered pricing.

Do I have to live in Alabama to form an Alabama LLC?

No. Alabama allows non-residents to form and own LLCs in the state. You do need an Alabama registered agent — that's included in the $299 for the first year. Our Montgomery office serves as the agent of record.

Can a single person own an Alabama LLC?

Yes. Alabama allows single-member LLCs, which the IRS treats as disregarded entities by default — meaning the LLC's income flows through to the owner's personal tax return.

What's included in your $299 flat fee?

Four things: your Alabama Articles of Organization filed by a formation specialist, federal EIN obtained from the IRS, a custom operating agreement drafted to your actual ownership structure, and one year of registered agent service in Alabama. No hidden costs, no tiered pricing.

What's the annual requirement for an Alabama LLC?

Alabama charges $50 annually for the report. Miss the deadline and the state imposes a late fee, and eventually administrative dissolution if the lapse continues.

Do I need a registered agent in Alabama?

Yes, Alabama law requires every LLC to maintain a registered agent with a physical address in the state to receive service of process and official correspondence. Our Montgomery office serves as your registered agent for the first year as part of the $299.

Can I change the registered agent later?

Yes. After the first year you can renew our service at $119/year, or designate yourself, an employee, or another agent by filing a change-of-agent form with the Alabama Secretary of State. The state typically charges a small fee for the change.

Will I get an operating agreement I can actually use at a bank?

Yes. Our operating agreements are drafted to your actual ownership structure — member names, percentages, voting rights, profit allocations — not a fill-in-the-blank template. Every major U.S. bank accepts them for business account opening.

Is there anything unusual about Alabama I should know?

Alabama requires a Business Privilege Tax return every year, due April 15, with a minimum tax of $50. The entity annual report is filed together with the privilege tax return rather than separately through the Secretary of State. Miss the April 15 deadline and the state imposes penalties plus interest on the unpaid tax.

Alabama note

Alabama requires a Business Privilege Tax return every year, due April 15, with a minimum tax of $50. The entity annual report is filed together with the privilege tax return rather than separately through the Secretary of State. Miss the April 15 deadline and the state imposes penalties plus interest on the unpaid tax.

What's included in the $299 flat fee

State filingArticles of Organization, by a formation specialist
EIN includedFederal tax ID, issued by the IRS after approval
Operating agreementDrafted to your ownership structure — not a template
Registered agentOne year included in Alabama, Montgomery on file
Ready to form in Alabama?

$299 flat, plus Alabama's $236 state fee.

Reservation takes three minutes. A formation specialist in Montgomery handles the rest.

Start your Alabama filing