How Much Does an LLC Cost in Wyoming (A Breakdown of Fees)
Before forming an LLC in Wyoming, it's essential to understand the costs involved.
While Wyoming has a reputation for being a business-friendly state with low fees and taxes, there are still expenses associated with forming and maintaining an LLC. From our experience, it’s crucial to know the state laws in depth, or you might face some legal issues.
This article will explore the costs you can expect to pay when forming an LLC in Wyoming, including state filing fees, annual report license tax fees, and other Wyoming LLC fees.
Quick Summary
- The cost to form an LLC in Wyoming is \$100 by mail or in person, and \$102 if filed online.
- Once you choose a company name, you need to check its availability, and find or become a registered agent.
- As per Wyoming Public Media, between 2011 and 2014, the number of LLCs in Wyoming increased by 185%, from 4,720 to 13,482, indicating a growing interest in business formation within the state.
- From our experience, Wyoming offers a very favorable cost structure for entrepreneurs seeking budget-friendly business options, allowing you to reserve a name for a full year for only a \$50 fee.
Cost to Start an LLC In Wyoming
Based on our personal experience, establishing an LLC in Wyoming involves a \$100 fee for filing the Articles of Organization directly with the Wyoming Secretary of State, or \$102 if you choose the online filing option.
Between 2011 and 2014, Wyoming experienced a significant increase in LLC formations, from 4,720 LLCs to 13,482. This represents an increase of 185%, indicating a growing trend and interest in establishing business entities within the state, as stated in the Wyoming Public Media [1].
After establishing an LLC in Wyoming, as stated in the Wyoming Secretary of State Business Division Filling Fee Schedule, you may need to pay additional costs to reserve a business name, get a basic business license, obtain a certificate of occupancy, and submit your LLC's biennial report [2].
There are also some other optional costs associated with establishing an LLC in Wyoming that you should be aware of.
1. LLC Formation Filing Fee (\$102 - Mandatory)
The Wyoming LLC Filing Fee is \$102, paid to the Wyoming Secretary of State's Office when filing the Articles of Organization.
This fee covers the cost of processing and filing the LLC formation documents and is the only required fee paid to the state to establish an LLC in Wyoming [3].
It is helpful to know that the filing fee is paid initially when the LLC is formed and then once every 12 months.
The Wyoming Secretary of State charges a \$100 fee for filing the necessary paperwork to register a foreign LLC, while the additional \$2 stands for a convenience fee.
As noted on the Secretary of State webpage, this fee must be paid at the time of application and is non-refundable [4].
2. Annual Report Fee (\$50 - Mandatory)
Foreign LLCs registered in Wyoming must file an LLC annual report with the Wyoming Secretary of State.
The annual report fee is \$50 and must be submitted by the anniversary date of the LLC's registration. Failure to file the annual report on time can result in late fees and penalties.
"The Secretary mandates disclosure of the individual filing the company's annual report. If anonymity is crucial, ensure another party files on your behalf. Once filed, removal from public records is not an option."
- Delina Yasmeh, J.D./Tax LL.M, Distinguished Expert in Mergers & Acquisitions
3. Registered Agent Fee (\$100 - \$300, Optional but Recommended)
Drawing from our own experiences, the cost of a registered agent service in Wyoming can vary depending on the provider, typically ranging from \$100 to \$300 annually.
Your registered agent is required by law in Wyoming to receive legal and official documents for your LLC.
While you can technically serve as your registered agent, using a professional service is often recommended to ensure the timely receipt of essential documents and avoid potential legal complications.
Some providers may also offer additional services and benefits, such as compliance monitoring and access to legal resources.
All foreign LLCs in Wyoming must have a registered agent with a physical address. A registered agent is responsible for receiving legal and official documents on behalf of the LLC and forwarding them to the appropriate parties.
You can act as your registered agent, but you can seek professional service if you can’t handle it. The cost of registered agent services can vary but typically ranges from \$100 to \$300 per year.
4. Name Reservation (\$50 Optional, but Recommended)
Before forming a limited liability company (LLC) in Wyoming, you should look up a Wyoming LLC and reserve your desired company name for up to 12 months by filing an Application for Reservation of Name and paying a \$50 filing fee [5].
LLC Name Reservation is reserving a desired business name for a limited period before officially forming a Limited Liability Company (LLC).
This process ensures that no other entity takes your chosen name while you prepare for LLC formation.
If you are still waiting to be ready to form an LLC immediately but want to secure your desired company name, reserving the name is a simple and affordable solution.
Learn how to change an LLC name in Wyoming if you have to rename your LLC.
Expenses Following the Approval of Your LLC
Once you register a foreign LLC in Wyoming, there might be additional costs to consider. Here is a breakdown of the fees and expenses associated with registering a foreign LLC in Wyoming.
Wyoming is very supportive of small businesses, which employ almost 64.6% of the state's workforce, according to the U.S. Small Business Administration [6].
This strong support system provides a nurturing environment for entrepreneurs and small business ventures, highlighting the state's commitment to economic growth and development.
1. Certificate Of Good Standing (\$20 - \$100 Optional)
In addition to the application fee, many states require that foreign LLCs submit a Certificate of Good Standing from their home state as part of the registration process. This document certifies that the LLC is in good standing and has met all obligations in its home state.
The cost of obtaining a Certificate of Good Standing can vary depending on the state but typically ranges from \$20 to \$100.
2. Business Licenses And Permits (Optional)
Depending on the nature of the LLC's operations, obtaining additional business licenses or permits to conduct business in Wyoming may be necessary.
The cost of these licenses and permits can vary depending on the industry and location of the business.
3. Professional Services (Optional)
In our personal journey, we've seen that, while optional, many LLCs opt to enlist professional services for assistance with registration.
These services, such as attorneys, accountants, and business formation services, vary in cost depending on the provider and the complexity of the tasks involved.
The cost of these services can vary depending on the provider and the scope of the work required.
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4. Expedited Processing Fees (Optional)
In Wyoming, the expedited processing fee is \$50. Expedited processing fees are additional charges that you can pay to receive faster processing of your LLC formation or filing documents.
Expedited processing fees guarantee same-day processing for documents received by noon or next-business-day processing for documents received after noon.
This option can be helpful if you need to form or register your LLC quickly or if you need to make changes to your LLC's registration on time.
5. DBA (Optional)
DBA, also known as a Trade Name Registration, costs \$100. This fee is paid to the Wyoming Secretary of State's office.
It is important to note that filing a DBA in Wyoming is not the same as forming an LLC, corporation, or other business entity.
A DBA is simply a way for a business to operate under a different name than its legal name. In addition to the filing fee, other costs may be associated with obtaining any necessary business licenses or permits to operate under the DBA name.
FAQs
Can I Withdraw Or Cancel My Wyoming DBA?
You can withdraw or cancel your Wyoming DBA by filing a cancellation of the DBA form with the Secretary of State. This form must be signed by an authorized individual and submitted with the appropriate filing fee.
Can A Non-Resident Open An LLC In Wyoming?
Yes, a non-resident can open an LLC in Wyoming. There is no residency or citizenship requirement to form an LLC in the state. However, if you are a non-resident, you must appoint a registered agent with a physical address in Wyoming and be authorized to do business in the state.
Why Is Wyoming Good For LLCs?
Wyoming is often considered a good state for forming LLCs due to its business-friendly environment. Some reasons Wyoming is a good choice for an LLC include low filing fees, low annual license tax fees, no state income tax, strong asset protection laws, and a fast and efficient registration process.
References:
- https://www.wyomingpublicmedia.org/open-spaces/2015-08-14/a-decade-after-scandal-wyoming-is-once-again-a-hotspot-for-business-formation
- https://sos.wyo.gov/business/docs/businessfees.pdf
- https://www.llcuniversity.com/wyoming-llc/costs/
- https://sos.wyo.gov/faqs.aspx?root=BUS
- https://sos.wyo.gov/Forms/Business/General/LLC/LLC-NameReservation.pdf
- https://advocacy.sba.gov/wp-content/uploads/2023/11/2023-Small-Business-Economic-Profile-WY.pdf
