Updated on: October 5th, 2024

Virginia LLC Formation Costs: Read & Save Some $$

Hire Professionals to Create a Virginia LLC (from $0 + state fees)

Establishing an LLC in Virginia can be a costly endeavor, yet it doesn’t have to break the bank.

Below we’ll review all the costs associated with registering and managing a Virginia LLC, plus provide helpful advice on cost-cutting measures.

Are you ready to start your own LLC? But don’t know where to begin? Read our guide on how to start your own LLC. This guide will work in any state, not just Virginia.

If you want to skip the hassle of starting a Virginia LLC yourself, consider using professional help for the best price in the market:

Quick Costs for Virginia  LLC Breakdown & Best Options

Who forms the LLC?Total fees



You form the LLC in Virginia Yourself
$160 = ($100 Organization of Articles + $50 Annual Fee + $10 Name reservation fee)
by using ZenBusiness$0 + state fees
by using Northwest Registered Agent$39 + state fees
see our other best LLC service providersvaries

Pros and Cons of Starting Your Own LLC in Virginia

Starting a Limited Liability Company (LLC) in Virginia has its own benefits and drawbacks.

PROS

  • An LLC offers certain advantages such as providing protection to the business owners from personal liability while still allowing pass-through taxation, which can prove beneficial both monetarily and legally.
  • Purchase workers compensation Insurance.
  • Helpful business services for all kinds of businesses.

CONS

  • However, forming an LLC involves some intricacies that can become costly and difficult to navigate, particularly if the owners have no prior experience with LLC formation.
  • Additionally, there are stringent compliance requirements that require careful planning, or else costly fines or repercussions may apply.

It’s important for any potential business owner in Virginia to weigh all the pros and cons of sparking up an LLC before taking the leap.

How Much Does an LLC Cost in Virginia?

Establishing an LLC in Virginia requires a $100 fee to be paid for the Articles of Organization and is submitted directly to the Virginia State Corporation Commission (“SCC”). Upon approval, your LLC will become legally active.

Virginia LLC Online Filing Fee ($100)

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Starting an LLC isn’t too expensive; the most significant expense is filing your Articles of Organization online with the Virginia State Corporate Commission, for a mere $100.


Virginia LLC Annual Registration Fee ($50/year)

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All Virginia LLCs must remain in compliance with state law by filing an Annual Report (also known as the Annual Registration Fee) to keep their information up-to-date. Confirming and submitting this report, along with a $50 fee each year, is essential for your LLC’s continued operation and good standing. This annual fee must be paid every year throughout the life of your business to avoid penalties or other sanctions from the State Corporation Commission.


Virginia Registered Agent Fee ($39 or $125/year)

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As mandated by Virginia law, you must appoint a Registered Agent when establishing your LLC. A Registered Agent is an individual or business who acts as the recipient and focal point for all legal documents and notices sent to your LLC. It’s important that they have a physical address in the state of Virginia and are available during regular business hours.

If you prefer to be your own Registered Agent or have a friend serve as the Registered Agent, then there are no additional costs.

Here are our recommended LLC formation service providers:

  • Northwest Registered Agent services are the perfect choice for those seeking to establish a new business and gain access to a registered agent, with full LLC creation package starting at only $39 + state fees.

OR:


Cost to Form a Foreign LLC in Virginia ($100)

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If you’ve taken the initial step of registering your LLC in another state and are now looking to extend your business capabilities into Virginia, it’s time to register as a foreign LLC. This process will ensure that all legalities associated with operating a business within the state of Virginia are met, giving you peace of mind so that you can focus on running your business without worrying about any possible repercussions.

Registering a foreign LLC in Virginia is as easy and cost-effective as it gets – only $100 to file for the Certificate of Registration to Transact Business in Virginia (Form LLC1052). Get started today!


LLC Operating Agreement Fee ($0)

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A Virginia LLC Operating Agreement is essentially an agreement between all members of the company, outlining ownership structure and detailing how profits will be distributed. Whether you are a single-member or multi-member LLC, having this document in your business records is absolutely essential – even more so when one considers that most websites charge up to $200 for such an agreement! Make sure to provide each member with a copy as well; after all, knowledge is power.


LLC EIN Number Fee ($0)

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An Employer Identification Number (EIN) or Federal Employer Identification Number (FEIN), commonly known as an EIN number, is a must-have for filing income taxes, opening an LLC bank account and hiring employees. Although many websites charge hefty fees to obtain one for your LLC, you can get it completely free from the Internal Revenue Service (IRS). The online application takes only few minutes and is absolutely costless!


Virginia Business License and Permit Fees (varies)

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If your LLC operates in certain parts of Virginia and within a specific industry, you may need to obtain additional Business Licenses or Permits. For instance, it could be necessary for you to acquire a City Business Permit. While the cost of these licenses or permits will depend on their location and industry, they typically do not incur high fees. Generally speaking, some are issued from state-level offices while others come from municipalities (towns, cities or counties).


LLC Taxes (varies)

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There are many different types of Virginia LLC taxes that owners must pay, so this annual cost varies widely.

Some of the taxes LLC owners pay include:

  • Federal and state taxes
  • State and local income tax
  • Business taxes
  • Self-employment taxes
  • Collect Sales tax
  • Payroll tax (if you have employees)

Unfortunately, since the amount of taxes you owe for your Virginia LLC is contingent on both the type and size of activity within your business, it’s impossible to provide an estimate. Each company has unique circumstances that determine which tax obligations apply to their LLC.


Other LLC Filing Costs (Optional)

There are optional fees associated with LLC formation:

LLC Name Reservation ($10)

Protect your desired company name for a full two months before forming an LLC by filing Form SCC631 and paying the $10 fee. This reservation can then be extended an additional 120 days with another SCC631 submission.

“Doing Business As” (DBA) Name ($10)

Create a distinct name for your LLC business by filing and paying the $10 fee of Certificate of Assumed or Fictitious Name (Form SCC59.1-70-BE). With this option, you can create an alternative identity separate from your legal company name.

Certified Document Copies ($6)

Easily attain Certified copies of your Virginia business records by ordering through the State Corporation Commission at only $6.

Certificate of Fact of Existence ($6)

A Virginia certificate of good standing, also referred to as a “certificate of fact,” is often requested by banks and other lenders. Obtaining this document is simple: simply order it through the State Corporation Commission for just a $6 fee!


Cost of Filing Formation Certificates

VirginiaDomestic LLCForeign LLC
Online Filing $100 $100
Annual Report$50$50 
Name Reservation fee $10$10
By MailBy Mail: Fill out the application form, and send it to State Corporation Commission Clerk’s Office P.O. Box 1197 Richmond, VA 23218-1197. Costs $100.


By Mail: Fill out the application form, and send it to State Corporation Commission Clerk’s Office P.O. Box 1197 Richmond, VA 23218-1197. 
Costs $100.


Costs Change Often. Where Can I Find the Most Up-to-date Cost & Tax Info?

If you’re considering business formation in Virginia, understanding the cost to open a Virginia LLC is essential. The Virginia State Corporation Commission (SCC) is an excellent resource for business owners looking for information about business structure and cost. The SCC website provides business formation service and resources to help business owners understand the cost of opening a Virginia LLC. Don’t hesitate to contact the SCC if you have any questions regarding the costs associated with opening a Virginia LLC – they’ll be able to provide clear and concise information to ensure you make all the right decisions.


How To Start Your Own LLC in Virginia?

Here are the Basic steps you can follow to start your own LLC in Virginia.

Step 1: Choose a Name for Your LLC

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In Virginia, forming an LLC requires you to choose a name that contains either “Limited Liability Company” or “L.L.C.,” and the words must not match any of the names already taken in their business name database. Confirm your chosen LLC title is available on their official website before registering it with the State Corporations Commission, Office of Clerk!

Secure your desired business name for the next four months by filing an Application for Reservation or Renewal of Reservation of a Business Entity Name (Form SCC631) to the Commonwealth of Virginia State Corporation Commission. Filing must be done via mail, with an easy payment fee of only $10!


Step 2: Appoint a Registered Agent

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All Virginia LLCs must have a registered agent to accept legal documents on their behalf if they are ever sued. This could be an individual or business entity that agrees to this service of process within the state.

  1. Individuals in Virginia who are members or managers of the LLC, a member or manager of an LLC that is part of said LLC, officers and directors of corporations connected to the said business entity, general partners with either limited or general partnerships related to this corporate structure, trustees with trusts associated with it and licensed attorneys from the Virginia State Bar can all be included.
  2. In order for a corporation to be lawfully authorized to transact business in Virginia, its designated registered agent must have an active physical address within the state.

Step 3: File Articles of Organization

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Establishing a Virginia LLC is incredibly easy; all you need to do is submit the Articles of Organization (Form LLC-1011) with the Virginia State Corporation Commission and your LLC will be ready for business.


Step 4: Prepare an Operating Agreement

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Although it is not compulsory in Virginia, an LLC operating agreement is highly encouraged. This internal document sets out the rights and responsibilities of the members and managers concerning how your LLC will operate. Additionally, this agreement helps to protect your limited liability by demonstrating that your company functions as a distinct business entity. Without an operating agreement, state law dictates how everything runs within your organization.


Step 5: Obtain an EIN

Forming an LLC with multiple members necessitates obtaining a different IRS Employer Identification Number (EIN) even if there are no employees, as opposed to one-member LLCs that only need an EIN if it will have workers or you opt for taxation as a corporation instead of a disregarded entity. Furthermore, procuring the EIN is free and can be done through completing the online application on the IRS website in minutes! EIN is essential for opening a business bank account and hiring clients.


Step 6: Pay Annual Registration Fees

Every LLC located in Virginia or authorized to act within the state is mandated to pay a yearly registration fee of fifty dollars. This payment must be made on or before the final day of the month when your LLC was established, and you will receive notification from Virginia’s Corporations Commission via mail sent to your registered agent at their dedicated address.

To avoid a $25 penalty, the LLC’s annual registration fee payment must be submitted to the Commission by the due date indicated in the notice of assessment. You can easily make your payment online via Corporations Commission SCC efile website or send it through postal mail.


Get Professional Help in Forming an LLC in Virginia & Save Some $$

It can be difficult and time-consuming to form a Virginia LLC all by yourself.
That’s why we decided to give you a few of the best options for professional services that can help you start an LLC in no time & with 0 effort!

#1 – Create an LLC in Virginia Using Northwest Registered Agent

Northwest has vast experience in creating LLCs and Corporations. They by far have the best support and client satisfaction rate. We’ve used and tested them ourselves and can guarantee that they’ll do an exceptional job for you.
You can read our full & extensive Northwest review here.

$39+State Fees

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Rating: 4.9/5
Review count: 4850+

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Form an LLC today with Nortwest. They have 98% customer satisfaction rating and over 4150+ verified reviews. They will include 1 year of free registered agent service!


#2 – ZenBusiness Will Form an LLC in Virginia

ZenBusiness is one of our top-rated LLC services as well. They have a super value-to-price ratio. And it’s perfect for those who are looking for the cheapest option to form their LLCs. When we tested their service — they’ve done a great job, so we can honestly recommend them.
To know more about them — read our full ZenBusiness review here.

$0 + State Fees

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Rating: 4.8/5
Review count: 4830+

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Form an LLC today with ZenBusiness for only $0 + State fees. They Have 98% customer satisfaction rating and over 4830+ verified reviews.


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