LLC Cost in Louisiana – How Much to Pay for an LLC


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Perhaps you are hoping to form an LLC in Louisiana. People assume that starting an LLC is difficult and costly. However, it’s generally not difficult, and the cost would vary across states. We have all the info you need to know about the cost of forming an LLC, particularly the LLC cost in Louisiana.

Louisiana LLC Cost of Filing

Here are the costs involved in forming an LLC in Louisiana.

Cost of Filing Formation Certificates

The Louisiana Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you’re forming a domestic LLC or a foreign LLC. Still, you can file both at the Louisiana Secretary of State

Louisiana Domestic LLC

  • Online filing costs $100
  • Annual Report filing costs $30
  • Name Reservation costs $25
  • By mail: Fill out the Application Form PDF, and submit it to the following address: State of Louisiana Secretary of State P.O. Box 94125 Baton Rouge, LA 70804.

Louisiana Foreign LLC

  • Online filing costs $150
  • Annual Report filing costs $30
  • Name Reservation costs $25
  • By mail: Fill out the Application Form PDF, and submit it to the following address: State of Louisiana Secretary of State P.O. Box 94125 Baton Rouge, LA 70804.

You can visit the Louisiana Secretary of State website to learn more about the forms and fees.

Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won’t have to wait in a queue in doing so.

Louisiana LLC Formation Service or Registered Agent Fee

You need a registered agent to form an LLC in Louisiana, hence, added costs for service fees. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries.

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Business Permits and Licenses 

The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Louisiana Department of Revenue for regulatory boards or agencies requiring licensing. 

Louisiana Taxes to be Paid

The business LLCs in the State of Louisiana are subject to different State tax filing obligations. Though the fees may vary from county to county.

Louisiana State Income Tax

This is the State Tax levied on any income you pay to yourself. The tax rate in the State varies between 2% to 6% depending on the total amount of taxable income.

Louisiana Sales tax

The standard rate of sales tax applicable is at the rate of 6.25%. Though the taxes may vary depending on the county and city.

Louisiana Federal Self-Employment Tax

Any profit that Louisiana LLC Business members draw out from the business is liable to pay self-employment tax. The standard tax rate is 15.3%.

Louisiana Payroll tax withholding

If you hire employees in Louisiana, you must withhold payroll tax from their salaries. The standard rate of withholding is 7.65% of the taxable salary of the employees.

Cost Comparison among States

Every state has different costs of filing for an LLC to their respective State Authorities. If you wish to gain a better understanding of the costs of opening an LLC in a different state in comparison to Louisiana, read the table below:

StateFiling FeeAnnual Fee/Biennial FeeSales tax
Louisiana LLC$100$30 (annual)6.25%
Arkansas LLC$45$150 (annual)6.50%
Mississippi LLC$50$07.00%
Texas LLC$300$06.25%
Oklahoma LLC$100$254.25%

Louisiana is a strategically located state with a higher growth rate. The major contributing industries in the State are natural resource production and agriculture, commercial fishing, natural gas, and petroleum.

Other Costs

How Much Does It Cost to Maintain an LLC in Louisiana

To maintain an LLC in Louisiana you will need to pay an annual fee of $30 along with sales tax at 6.25%, income tax at 2% to 6% and federal taxes.

There are several important considerations when determining how much it will cost to maintain an LLC in Louisiana. The fees vary depending on the type of service needed. They range from a one-time fee to an ongoing monthly or annual subscription. This can include expenses for business licenses, taxes, and other services. For instance, registering a trade name can cost $75. You can get information on all fees and requirements from the Louisiana Secretary of State’s fee schedule.

Once you form an LLC, you will need to file an Articles of Organization. These are documents that outline the organization’s management and the business’s ownership. When filed with the state, it becomes the official charter document of the company. It is also a good idea to keep a copy internally for your records.

To operate an LLC, you must register for sales and payroll taxes. Your tax rate will depend on the type of business you are operating. If your LLC sells products, you will need to get a seller’s permit. Depending on your industry, you may need a different type of license.

Depending on the number of members, you may need to hire an accountant. Some accountants offer free consultations. A professional service provider can help with preparing an operating agreement, tax planning, and other compliance matters.

An accountant can cost between $2,000 and $3000 per year. However, it is possible to save money if you can perform some of your own accounting and filings. Additionally, you can take advantage of free tax consultations.

Depending on your location, you may need to pay different fees for business licenses and permits. This will depend on the type of industry you are in, your city or town, and other factors. All LLCs doing business in Louisiana must register for and obtain required licenses and permits. Among other things, this is a way to prove your compliance with state and federal laws and to show that you are a legal business.

In addition, you must file an annual report with the Secretary of State each year. You can do this online or by mail. The report should be filed by the anniversary date of the articles of organization. Typically, you will need to fill out original signatures when filing by mail. Taking advantage of a professional service can be helpful, especially if you do not have a physical office and need to receive mail during normal business hours.

In order to protect your privacy, you will also need to register a trade name. Trade names are often used by LLCs to do business under a name that is different than the company’s main business name. Having a trade name registered can be expensive, however, and can cost up to $75. Fortunately, you can get a free trade name registration through the Northwest.

You can also apply for a business credit card. Many banks charge a fee for this, but some allow you to waive the fee in exchange for a monthly account.

F.A.Qs

Can I start an LLC for free?

It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.

Is an LLC expensive?

It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you’ll still have expenses like form fees to cover.

Does an LLC need a bank account?

The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.

In Conclusion

The cost of Louisiana is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the price of professional LLC services and choose the most affordable one.

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