Yes, there is an annual filing fee for an LLC in CO. In Colorado, it is called the LLC Periodic Report. The Periodic Report is due every year and it costs $10. This fee is paid to the Colorado Secretary of State.
Cost to Start an LLC in Colorado
When establishing an LLC in the state, you should be aware of the mandatory fees and optional expenses associated with forming a business entity.
- LLC Formation Filing Fee ($17 – Mandatory): An LLC in Colorado costs $17 for essential filing. This fee covers the Articles of Organization fee ($1) and license tax ($16).
Colorado has a sales tax of 2.9%, and certain cities and counties may charge additional sales taxes.
Securing funding and financing options are more accessible here compared to many other regions.
Colorado is one of the best states for starting a business, thanks to its low taxes, friendly regulations, and vibrant entrepreneurial culture. Forming a Limited Liability Company (LLC) is a great option if you want to start your own business in Colorado.
It costs $50 to file the Articles of Organization (the form that creates your LLC) in Colorado. Other Colorado LLC fees to be aware of include the Periodic Report fee and taxes.
No, you aren’t required to hire an attorney to form your LLC.
While the main cost is the $50 filing fee, other potential costs include obtaining necessary licenses and permits, setting up a registered agent, and the periodic report filing fee.
Yes, Colorado requires LLCs to file a Periodic Report each year, for which a $10 fee is charged. This report keeps your LLC in good standing and updates the state on any changes in your business.
There are no "hidden" costs per se, but it’s essential to understand all the potential costs involved.
If you use an LLC formation service, you will be responsible for the state fee on top of the service’s fee. Pricing starts at $29 and increases with additional services.
Let our trade experts shed light on Colorado LLC fees to ensure that you understand all potential expenses and procedures.
To form your Colorado LLC, submitting incorporation documents is necessary. Upon sending your articles of organization to the office of the state’s secretary, a mandatory $50 filing fee is required.
Additional Considerations for Starting an LLC in Colorado
By law, all corporations and LLCs doing business within Colorado are required to have a registered agent. You can act as the registered agent or hire a person or company to perform this role. The cost varies from a little over $30 to as much as $300.
Important Naming Guidelines for Colorado LLCs
Your name must include the words “limited liability company” or an abbreviation such as "Ltd. liability company," "limited liability co.," "limited," "L.L.C.," or "LLC".
In Colorado, all LLCs are required to have Worker’s Compensation Insurance for employees, Automobile Insurance for company vehicles, and Professional Insurance for doctors and healthcare specialists.
The cost to start a Colorado LLC is $50. This fee is paid to the Colorado Secretary of State when filing the LLC’s Articles of Organization.
Colorado LLCs are considered “pass-through entities” for tax purposes, meaning that the business’s revenues are passed to the owner(s) for tax calculations and payments.
Colorado offers programs to assist new businesses with financing and tax credits through its Office of Economic Development and International Trade.
Most LLC formation services offer Registered Agent services.
After an LLC’s formation documents have been filed and approved, you will receive a certificate formally confirming the existence of your LLC.
Advantages and Considerations of a Colorado LLC
For forming an LLC, your personal assets are protected against any defaulted loans or lawsuits brought against your business. However, liability protection isn’t absolute.
The most significant benefit of forming a Colorado LLC is access to limited liability protection, along with pass-through taxation and flexible management structures.