Indiana is known for its competitive cost structure, which includes affordable real estate, utilities, and labor costs. This makes Indiana an attractive state for registering a business due to the overall low expenses.
Business Entities and Formation Costs
When starting a business in Indiana, you can choose from different company structures. The two most common types are:
- Limited Liability Company (LLC)
- Incorporated Company (Inc.).
A Sole Proprietorship has one owner and is the simplest structure, not needing state registration.
LLC Registration and Costs
To register an Indiana LLC, here are the associated fees:
- Filing Articles of Organization online: $95
- Registering a foreign LLC online: $105
- Optional LLC formation service fees start at: $29
Registered Agent Services
An Indiana registered agent is crucial for receiving tax forms and legal correspondence. Costs vary as follows:
- Annual fees: $50 – $300+
Business Licensing
General License Information
Operating legally in Indiana often requires obtaining a business license. For instance:
- The Registered Retail Merchant Certificate, also known as a seller’s permit, is required if selling tangible goods subject to sales tax.
Specific License Costs
License costs vary by type:
- Sales tax license: $25
- Liquor license: Exceeds $2,000
Costs to Consider for a Business License
When considering the total costs to operate a business in Indiana, you need to account for initial fees, annual reports, and potentially other industry-specific licenses or permits. These are true regardless of whether you create an LLC or choose another business structure.
Do take into account that the primary cost of starting an LLC in Indiana includes a $100 fee to register with the Secretary of State and a $50 biennial report filing fee, along with other variable expenses such as registered agent service and business insurance.