How Much Does An LLC Cost In North Dakota? (Filing Fees)
Before you form your North Dakota LLC, knowing the associated formation costs is essential.
As an M&A advisor who has guided over 50 entrepreneurs through the North Dakota LLC formation process since 2019, I've compiled every fee you'll encounter—from initial filing costs to ongoing compliance requirements.
This guide breaks down all fees, including the $135 state filing fee, registered agent options, annual report obligations, and the taxes your LLC will owe.
To guarantee that all crucial steps are conducted accurately, enlist the help of a professional. Reaching out to an experienced LLC service in North Dakota will smooth the LLC formation process and provide you with further advice for your business.
Quick Summary
- A North Dakota LLC costs $135 to file the Articles of Organization.
- Once the business has been approved, additional expenses include a registered agent service, business licenses and permits, annual reports, taxes, and other documentation.
- North Dakota's individual income tax tops out at 2.5%, making it one of the lowest in the country. The first $48,475 of income is now taxed at 0%.
- Based on my experience, North Dakota offers favorable conditions for LLCs, including no state-level business license fee and efficient online filing through the FirstStop portal.
Cost to Start an LLC in North Dakota
Before you can form an LLC in North Dakota, there are mandatory and optional fees that the company has to cover.
1. LLC Formation Filing Fee ($135 - Mandatory)
The North Dakota domestic LLC filing fee is $135 and requires submitting LLC Articles of Organization to the Secretary of State through FirstStop, the state's online business portal.
You can file online, by mail, or by fax. Online submissions are processed within approximately five business days. The state does not currently offer expedited processing due to high filing volumes.
When I helped a client file recently, we completed the entire process online in under 20 minutes.
2. Registered Agent Service Fee ($80-$300 – Optional)
If you are forming an LLC, the North Dakota law requires that you designate an LLC Registered Agent.
You can appoint a member to be a registered agent or employ the services of one, which costs between $80 to $300.
This person or company will be responsible for receiving and processing any legal documents and state notices on behalf of your business.
3. Name Reservation Fee ($10 - Optional)
If you want to reserve a business name, you need to file a Reserve Name Application (SFN 13015), which costs $10. The LLC name won’t be available for other businesses for up to 12 months
Before filing, I ensure that the name is available and compliant with state guidelines.
Expenses Following the Approval of Your LLC
There are several additional expenses that arise from the company once it becomes operational.
1. Business License (Depending on Line of Business - Mandatory)
Obtaining a license for your business is typically required by most municipalities, with fees and requirements varying depending on the location and the nature of your business [1]. Licensing requirements vary by industry and municipality, so check with your local city or county office.
I helped a client obtain professional license and business permits to operate a medical clinic in the state.
2. Annual Report Fee ($50 – Mandatory)
All North Dakota LLCs are required to submit their Annual Report to the Secretary of State no later than November 15th.
Submissions must be made through their official website, and those who miss this deadline will incur a $100 penalty fee.
3. Operating Agreement (Optional, but Recommended)
North Dakota LLC Operating Agreement is an agreement between the members of your LLC that outlines the business structure and profit distribution.
While North Dakota law does not mandate an operating agreement, having one protects members by establishing clear terms for profit distribution and decision-making authority.
For a multi member LLC, an operating agreement prevents disputes by defining each member's ownership percentage, voting rights, and responsibilities upfront.
Whether you operate a single member LLC or have partners, you can draft the document by yourself or hire an online LLC formation service. A client of mine wanted to cut on expenses so they availed of an online template which costs $100.
Online formation services can provide your company with an operating agreement for $100 to $200.
"In North Dakota, while it's not mandatory to have an LLC operating agreement, it's strongly recommended. This agreement is crucial as it outlines the members' rights, responsibilities, powers, and liabilities both within the LLC and towards each other."
- Jon Morgan, CEO, Co-Founder & Editor-in-Chief of Venture Smarter
4. Taxes
LLC owners should be aware of the taxes they must pay when filing, which include:
- Federal taxes
- State income tax
- Local income tax
- Business taxes
- Self-employment taxes
- Sales tax
- Payroll tax
- Property tax
The nature of your business will determine what type of taxes apply.
If you want to learn more about taxes related to limited liability companies in the area, contact the North Dakota State Tax Commissioner.
5. Certified Copies Of Business Documents ($15 + $5 per page - Optional)
North Dakota charges $15 and $5 per page for each document.
I advise clients to obtain copies of their business documents for filing purposes and to keep the entity legally protected.
6. Certificate Of Good Standing ($15 + $5 for the state’s record search)
A Certificate of Good Standing, or as it is known in North Dakota—a Certificate of Fact—is a vital document for any LLC looking to expand their business across state lines.
You can order this certificate by fax, mail, email, phone call, or even in person, and the cost only amounts to $20 ($15 for the certification itself and $5 for the state's record search).
7. DBA Name ($25 - Optional)
A DBA, commonly referred to as a Trade Name, Fictitious Name, Assumed Name, or Fictitious Business Name is filed to the Secretary of State along with the $25 state fee.
It's an easy and affordable way to operate your business under another name without the hassle of changing official paperwork.
8. EIN ($0 - Optional, but Recommended)
Obtaining an Employer Identification Number from the Internal Revenue Service (IRS) is free and only requires a few minutes. You only need to visit their website and complete the online form.
When forming a limited liability company, I advise clients to obtain an EIN since it can be used to open an LLC business bank account, file income taxes, and hire employees.
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FAQs
How Much Does It Cost To Register A North Dakota Foreign LLC?
It costs $135 to register a North Dakota foreign LLC, which covers the state fee for filing the Certificate of Authority.
What Payment Methods Can I Use To Pay North Dakota’s State Fees For Filing My LLC?
Money order, check, cashier’s check, and credit card are the payment methods you can use to pay North Dakota’s state fees for filing your LLC.
References:
- https://apps.nd.gov/tax/tap/_/
