How Much Does an LLC Cost in Mississippi (Formation Fees)

Forming a Mississippi LLC is a good business move, and one of the first steps of the formation process is planning your budget.

Together with our team of LLC experts and legal advisors, we researched and compiled the fees and regulations for Mississippi LLCs.

Here’s what you need to know.

Quick Summary

How Much Does an LLC Cost in Mississippi?

An LLC in Mississippi costs $50. This fee covers the Certificate of Formation payable to the Secretary of State of Mississippi.

Depending on the type of business you plan to run, you may also have to pay for registered agent services, business licenses, professional certification, and other regular business fees.

Here’s an overview of mandatory and optional costs you might incur.

Mississippi LLC Filing Fee

To officially establish your LLC in Mississippi, you must pay $50 (plus a $4 credit card transaction fee) to file your LLC Certificate of Formation as per the Mississippi Secretary of State [1]. This fee is paid only once, so you won't have to worry about annual fees.

Your application must be submitted online using the Mississippi Business Services portal. You can either submit it electronically or print it off to send along with a check.

Online filings are typically processed 24 hours after being received. The processing of a mail-in submission may take several weeks.

Read more on how long does it take to start an LLC in Mississippi.

Mississippi Registered Agent Service Fee

Selecting a Registered Agent is necessary for your Mississippi LLC. It can be an individual or a corporate entity with a Mississippi address and has been permitted to receive legal documents and speak on your behalf to the government.

If you choose to be your own registered agent, you must disclose your address and maintain a physical presence at your office during business hours.

It's best to delegate these processes to a registered agent service if you think that legal correspondence could be too much to handle.

Professional registered agent service in Mississippi can cost you between $40-$125.

Mississippi Sales & Use Tax

There isn't a general, statewide business license for LLCs in Mississippi. But, a sales and use tax permit is required for all businesses that sell goods in Mississippi, and you must file for one online at the Mississippi Taxpayer Access Point (TAP) website [2].

Registration is free of charge. In Mississippi, this permit allows you to collect 7% sales tax [3]. Additionally, some LLCs in Mississippi may require local or professional licenses at their own costs.

Other LLC Filing Costs

The formation filing fee for your LLC in Mississippi is just the beginning. There are additional Mississippi LLC expenses that you need to be aware of.

1. Reservation of Name

You can pay $25 to register a Name Reservation, which reserves your business name for 180 days if you want to secure your business name before forming your Mississippi LLC.

Although booking your business name is optional, doing so ensures that it will be accessible when your Certificate of Formation is submitted.

Before reserving your name you need to look up an LLC in Mississippi and check if your desired name is available.

2. Operating Agreement

After forming your Mississippi LLC, we recommend you draft your operating agreement. Your LLC's regulations and organizational framework are in your operating agreement.

Since it's an internal document, an operating agreement does not require filing with the state, unlike the Mississippi Certificate of Formation.

Most LLC formation services charge $50 to $200 for an Operating Agreement.

3. Fictitious Business Name

In Mississippi, a fictitious business name (DBA) costs $25. Any name your company uses that isn't its official name is known as a fictitious business name. Registration for fictitious business names must be done online.

Any LLC in Mississippi should submit a Certificate of Assumed Name to obtain a DBA. You should first check the Mississippi Business Database to see if your DBA name is available.

4. Certificate of Good Standing

Mississippi Certificate of good standing (also known as Certificate of existence) applications must be submitted online for a $25 fee.

It's a state-issued report that attests to the fact that your company is operating legally in Mississippi.

A certificate of good standing is often required when registering to run a business in another state or opening a business bank account.

5. Mississippi Professional Licensing Fees

You will require a professional license if your company operates in a sector subject to governmental regulation, such as landscape architecture or body piercing.

The amount you must pay will vary depending on the license type. For instance, Mississippi charges $100 for art therapist licenses and $55 for cosmetologist licenses.

6. Mississippi Local License Fees

Specific municipalities in Mississippi issue a local business license (sometimes called a privilege license).

The cost of a local permit varies. For instance, a privilege license is required for all businesses in Jackson County, and the fee is based on the kind of business, the volume of inventory, and the staff size.

Construction, city planning permits, and licensing for specific industries, like amusement parks or the distribution of alcohol, are some more examples of local licenses.

7. Statement of Change

You must choose a Mississippi Registered Agent for your LLC when submitting your initial formation certificate. 

Also, you can subsequently change your Registered Agent by paying the Mississippi State $10 and submitting a Statement of Change.

8. Certificate of Amendment

When your Mississippi firm is founded, your business formation documents contain information that could change over time.

If they do, you must pay a $50 filing fee and submit a Certificate of Amendment to the Mississippi Secretary of State.

You might want to submit a Certificate of Amendment if you:

• Replace, add, or remove an LLC administrator or member.
• Change your LLC business activity.
• Move your LLC's registered office address.

9. Employer Identification Number

The Internal Revenue Service offers EINs for no cost ($0). However, depending on the business, the price might be between $10 and $50 if you employ a professional to apply for it.

Mississippi Foreign LLC Registration

Certain charges are attached to filing your foreign company in Mississippi if you founded your LLC in a different state and wish to operate in Mississippi.

Essentially, "foreign" refers to a company established in a state other than Mississippi.

You must submit an Application for Registration of a Foreign Limited Liability Corporation to establish your foreign LLC in Mississippi.

Even if you are a foreign LLC, you must open a Business Services account to submit documents and make payments.

Mississippi foreign LLC fees are $250, payable with recognized credit cards.

Also, you'll require a Foreign Qualification or a Certificate of Authority or Compliance from the Mississippi Secretary of State and pay a fee of $500.

You must do this if you conduct business, hire people, or have a physical presence in Mississippi.

FAQs

Do You Need Professional Help with Your Mississippi LLC?

Mississippi is one of the most affordable states for forming an LLC, with a filing fee for the Certificate of Formation at only $50. The state also allows LLCs to submit annual reports for free.

Our list of the best LLC services in Mississippi is a great place to start if you seek a reliable company to handle critical business documents and complex legal issues.

These credible websites can walk you through the procedure step-by-step and provide expert guidance to ensure every process is completed successfully.

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References:

1. https://corp.sos.ms.gov/corp/portal/c/page/login/portal.aspx
2. https://tap.dor.ms.gov/WebFiles/Help/TAP/index.html#returnsandpayments
3. https://www.dor.ms.gov/business/sales-tax-frequently-asked-questions#