When you form your LLC in Idaho, you’ll have to pay certain costs to officially register your business with the state.
In addition to formation and ongoing costs, there will be business expenses like using a registered agent service, building a website, getting business insurance, and so on. So, how much does an LLC cost in Idaho?
In this guide, we break down the costs associated with forming your LLC, from the Idaho LLC filing fee to LLC upkeep prices and other business expenses.
Cost of Forming an LLC in Idaho
When forming your LLC, there are a few different costs that you may incur. These include the filing fee, LLC formation service cost, operating agreement draft, and registered agent costs.
Idaho LLC Filing Fee
When forming an LLC in Idaho, you will need to file a Certificate of Organization with the Idaho Secretary of State. Filing can be done online, in person, or by mail. The filing fee is $100 online and $120 for hard copies. The filing fee is sometimes referred to as the “state fee.”
If you elect to use an LLC formation service, you will pay the $100+ state filing fee on top of their service fee. Service fees start at $29 and increase depending upon the additional services you require.
Most people choose to use an LLC formation service to create their LLC. The cost is low and they guarantee that your filing is done correctly. Check out our #1 rated LLC service:
For more details on the formation process, check out our Idaho LLC Formation guide.
Idaho Registered Agent and Registered Office
Every LLC in the State of Idaho is required to appoint a registered agent. The registered agent you appoint will accept mail on behalf of the LLC, including legal documents, tax forms, and written communication from the government. Registered agents can be an individual or a business entity. You can elect to hire a registered agent service, which costs $130 or more annually.
Your registered agent can be:
- A registered agent service (most common)
- Yourself (not recommended)
- Another member of the LLC
- A business attorney
If you haven’t yet formed your LLC, we recommend using Northwest Registered Agent to form, as you will receive one year of registered agent services for free with a $29 formation.
Idaho LLC Operating Agreement
An operating agreement is a legal document that outlines the ownership and profit distribution details and operating procedures of an LLC. Each member or manager’s position and responsibilities are outlined in this document. This transparency helps avoid any confusion and settle potential conflicts as they arise.
While recommended, Idaho does not require LLCs to file their operating agreements with the Idaho Secretary of State. You won’t need to include a filing fee for this in your startup budget. The only potential costs you face are in the drafting of the document. If you are a single member LLC and simple multi-member LLC, you can draft the document yourself.
If you decide to draft your LLC’s operating agreement yourself, consider using a free operating agreement template or document builder. That brings your total cost to $0.
Optional Idaho LLC Formation Costs
Along with the fees associated with forming an LLC, there are several optional LLC formation costs that you may encounter.
- Reserve a Name for Your LLC – Before registering your Idaho LLC’s business name, you must first confirm that the name is unique and available by doing a business name search. You can then reserve the name for four months with the Reservation of Legal Entity Name application. This can be done online or by mail. Online reservations are $20 and mail-in reservations are $40.
- Doing Business As (DBA) Name – If you plan to operate your business under a different name than your LLC’s, you will need to file a DBA. In Idaho, DBAs are called “assumed business names.” Filing is done through the Idaho Secretary of State. The fee for online filings is $25; in-person and mail-in filing fees are $45.
- Expedited Idaho LLC Filing – Idaho offers expedited filing of your Certificate of Organization for an additional $40. For same-day processing, the expedited fee is $100.
- Certified Document Copies – A certified copy of your LLC’s business documents is a great way to confirm your information is correct. The fee for requesting a certified copy is $10, plus $0.25 per page.
- Certificate of Existence – Commonly referred to as a “Certificate of Good Standing,” a certificate of status verifies that your LLC is registered and legally permitted to do business in Idaho. This form is often required by lenders and banks. The fee for requesting a Certificate of Existence is $10.
Idaho LLC Cost and Fees Over Time
There are a few things you need to address to keep your LLC in good standing with the state year after year. Each of these comes with costs and fees.
Annual LLC Fee Idaho
Each year, your Idaho LLC must file an annual report with the Idaho Secretary of State. The state does not charge a filing fee for this report.
Annual reports are due at the end of the LLC’s anniversary month. For example, if you officially formed your LLC on March 12, your annual report is due by March 31 each year.
While Idaho does not charge a filing fee for annual reports, it is important that you file this paperwork on time. Failure to do so could result in the dissolution of your business. The Secretary of State sends out reminder emails 1-2 months before the report is due. See our Idaho LLC Annual Report article for a more in-depth overview.
Registered Agent Fee
If you use a professional registered agent service, you will pay their fee annually. Pricing will depend on the service provider that you use, but usually costs around $130/year. Using a registered agent service will save you time and the hassle of handling important legal documents and filings for the long term.
If you act as your own registered agent there are no maintenance fees. However, for privacy and compliance purposes, we don’t recommend being your own registered agent.
We recommend Northwest Registered Agent, which offers a year of its registered agent service for free when you use the company to form your LLC ($29 + state fees).
General Costs of Running a Business
Operating a business will obviously come with more than just LLC costs. These are a few of the expenses that you may run into.
Business Bank Account
An LLC separates your personal assets from your business assets. This separation is called the corporate veil. That corporate veil ensures that if your business is sued or incurs debts, your personal assets will be protected from any liabilities.
Commingling (mixing) your personal bank account with your business can pierce your LLC’s corporate veil, which means you are no longer protected by the separated entity of your LLC.
Using a separate bank account to accept payments and pay business expenses is the only way to prevent commingling funds and piercing the corporate veil.
Recommended article: Check out TRUiC’s Best Small Business Banks guide to find the best bank account for your business.
Business Permits and Licenses
Depending on the type of business you operate, your business may need the proper permits and licenses to legally operate in Idaho.
Alongside the permits required, your business may require industry-specific licenses to operate legally. Examples include licenses like the Idaho real estate license, Idaho insurance license, Idaho adjuster license, and so on.
See TRUiC’s How to Get a Business License in Idaho article for more information.
Every business needs a website. There’s no better way to get in front of your customers, build your brand, and grow your business.
Fortunately, the cost and difficulty of creating a business website have come down over the years. Websites are now simple to build and cheap to keep up.
We advise small business owners to use the GoDaddy Website Builder. It’s an extremely simple to use system, creates great business websites, and only costs about $15/month.
Having the proper insurance coverage can potentially save your entire business if there is a loss, accident, or lawsuit.
A few of the most common business insurance policies include:
- General liability insurance – Protects against claims of personal injury, physical injury, property damage, and more. This is the most common of all business insurance policies. Learn more about general liability insurance.
- Professional Liability Insurance – Protects against claims of inaccurate or negligent work. It’s most common in the “professional” space where businesses offer services or advice to other businesses or consumers. Learn more about professional liability insurance.
- Commercial Workers’ Compensation Insurance – This type of insurance protects your employees from on-the-job injuries or illnesses. This coverage is required if you have one or more employees. Learn more about Workers’ Compensation insurance.
The cost of business insurance varies widely based on business type, size, location, and other factors. Getting a quote is the only way to understand the actual cost of insurance for your LLC.
We recommend NEXT Insurance to help protect and grow your Idaho LLC. It features instant coverage with competitive pricing that’s tailored to fit your business’ needs.
LLC Cost in Idaho FAQ
Do you have to pay ongoing fees for an LLC every year?
All Idaho LLCs must file an annual report online with the Secretary of State. Unlike many states, Idaho does not charge a filing fee for this service.
What’s the cheapest way to form an LLC?
Can you start an Idaho LLC for free?
No. All applicants must pay the state filing fee to start an Idaho LLC. The filing fee is $100 online and $120 by mail or in person.
How much does a registered agent cost?
Do I need to pay a franchise tax for my Idaho LLC?
No. The State of Idaho does not collect a franchise tax from businesses operating in the state.
How much does an LLC formation service provider cost?
It depends on the LLC formation company you choose. We recommend Northwest Registered Agent, which starts at $29, plus the $100+ state fee, and includes the first year of registered agent services for free.