Starting a Business
The cost to file Indiana LLC Articles of Organization online is $95. You’ll file this form with the Indiana Secretary of State. The cost for registering an Indiana foreign LLC online is $105. Optional LLC formation costs include service fees starting from $29. Costs for registered agent service range from $50 a year up to $300 or more.
A sole proprietorship only has one owner. It is the simplest business structure and does not need to be registered with the Secretary of State.
Common Costs and Business Structures
One or two most common types of companies you may wish to form when starting and registering business in Indiana are: Indiana Limited Liability Company (LLC) and Indiana Incorporated Company (Inc.).
Indiana offers a competitive cost structure, including affordable real estate, utility costs, and labor costs. The state has one of the lowest living costs. Indiana’s central location provides easy access to markets.
If you currently have an LLC in another state and want to expand into Indiana, you must register as a foreign LLC. This costs $105 online or $125 by mail. Depending on the industry and area, you may need federal, state, and municipal permits/licenses to operate in Indiana. This is true regardless of whether you create an LLC or another structure.
Registered agents in Indiana receive tax forms and correspondence on behalf of a proprietorship, corporation, or LLC. Choose an Indiana resident or registered agent service to conduct business in the state.
When starting an Indiana LLC, the primary cost will be the $95 fee to register with the Secretary of State. You’ll also need to pay $50 every other year to file the required report.
Licenses and Permits
The most common business license is a Registered Retail Merchant Certificate, or a seller’s permit, which allows you to sell products or services in Indiana, and costs $25. To file the Articles of Incorporation for a corporation in Indiana, you must file your formation documents with the Secretary of State Business Services Division online for a $95 filing fee or by mail for a $100 filing fee.
Indiana law requires all businesses to have a valid sales tax permit to legally trade, buy, sell, and pay tax to the state. This is the most basic requirement for any business.
You can obtain a business license in Indiana by applying with the relevant licensing or regulatory agency. The agency you apply with will depend on where your business is located and what business activities it engages in.
Many types of businesses require a license in Indiana, including retailers, restaurants, contractors, healthcare professionals, and more. You can register your business with the Indiana Secretary of State’s office online, by mail, or in person. You can apply for applicable tax registrations with the Indiana Department of Revenue online, by mail, or in person.
LLC Specifics and Taxation
To form an LLC in Indiana, you must file Articles of Organization with the Indiana Secretary of State. The regular filing fee is $100 (by mail and $95 online); if you need expedited processing, it will cost an additional fee.
In Indiana, the “Business Entity Report” is expected to be filed every other year by the end of the month in which you formed your LLC. Filing online will cost you $32, while a hard copy costs $50.
The state of Indiana doesn’t charge LLCs with a specific “franchise” or “privilege” tax either. However, your business will need to pay specialized taxes if it sells products (sales tax) or has employees (withholding tax).