Filed with
Alabama Secretary of State, Business Services
Document
Certificate of Formation
Recurring filing
Yearly tax or charge
- 01
Choose a name for your Alabama LLC
Alabama Secretary of State, Business Services business filings →The name must contain "Limited Liability Company", "L.L.C." or "LLC". It also has to be distinguishable from every business already on the Alabama register.
Search the Alabama Secretary of State, Business Services business records before you file.
- 02
Choose a registered agent
Every Alabama LLC needs a registered agent with a physical address in Alabama, available in business hours to accept legal papers and state notices.
You can be your own agent, but your address goes on the public record and you need to be there during business hours. A registered agent service keeps your home address off the filing.
- 03
File your Certificate of Formation
Alabama Secretary of State, Business Services →The Certificate of Formation is the document that creates your LLC. It is filed with the Alabama Secretary of State, Business Services, which accepts it online.
It names the LLC, its registered agent and address, and whether it is managed by its members or by managers.
- 04
Write an operating agreement
Alabama operating agreement rules and free generator →The operating agreement sets out who owns the LLC, how profits are shared and how decisions are made. It is not filed with the state, but banks often ask for it, and without one your state’s default rules decide disputes between members.
- 05
Get an EIN
An Employer Identification Number from the IRS is the LLC’s federal tax number. You need it to open a business bank account and to hire, and it is free from the IRS.
- 06
Open a business bank account
Keep the LLC’s money separate from yours from the first day. Mixing them is the most common reason courts set aside an LLC’s liability protection.
- 07
Get the licenses your business needs
Alabama business license lookup →Forming the LLC is not a business license. Check whether Alabama requires a state license, what your city or county requires, and whether your trade is licensed. If you sell taxable goods or services, register for Alabama sales tax too.
- 08
Keep your Alabama LLC in good standing
Compliance deadline tracker →Alabama has no annual report for LLCs; the yearly filing is the Business Privilege Tax return.
Alabama Business Privilege Tax return (Form PPT) filed with the Alabama Department of Revenue, due two and a half months after the start of the LLC's taxable year (March 15 for calendar-year LLCs). The initial return is due two and a half months after the LLC is organized. The tax must be paid in full by the original due date, with no extension of time to pay.
Worth knowing in Alabama
- A Certificate of Name Reservation from the Secretary of State must be obtained before the Certificate of Formation is filed.
- Alabama LLCs do not file a Secretary of State annual report. The yearly obligation is the Business Privilege Tax return to the Department of Revenue.
Or have it done for $399
We check your name, file your Certificate of Formation with the Alabama Secretary of State, Business Services and pay the state fee, act as your Alabama registered agent for the first year, get your EIN and write your operating agreement. One price, nothing else to buy.
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Frequently asked questions
How do I start an LLC in Alabama?
Choose an available name, appoint a registered agent in Alabama, and file a Certificate of Formation with the Alabama Secretary of State, Business Services. Then write an operating agreement, get an EIN from the IRS and open a business bank account.
How much does it cost to form an LLC in Alabama?
Alabama charges a filing fee for the Certificate of Formation. With StartGlobal the total is $399, with that fee included, plus your EIN, operating agreement and first-year registered agent service. See our Alabama LLC cost page for the yearly costs.
Does a Alabama LLC have to file an annual report?
Alabama has no annual report for LLCs; the yearly filing is the Business Privilege Tax return.
What is the Certificate of Formation?
The document filed with the Alabama Secretary of State, Business Services that creates your LLC. It gives the LLC's name, its registered agent and registered office in Alabama, and how it is managed.
Can I be my own registered agent in Alabama?
Yes, if you have a physical address in Alabama and are there during business hours. That address becomes part of the public record.
