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Filed with Alabama Secretary of State

Start your Alabama LLC Online for Free

Verified: September 20, 2026 · Updates

Alabama’s $236 filing fee goes straight to the Alabama Secretary of State, whether you file it yourself or not. Your LLC and EIN come at no extra cost.

Free EIN (Tax ID)Free Registered Agent

Register your Alabama LLC Online

Complete the form below in 2–3 minutes. Your LLC and EIN come at no extra cost — you only pay Alabama’s own $236 state fee.

  1. Enter your desired LLC name
  2. Choose your state
  3. Receive your LLC and free EIN by email
Stuck on a name? Try the free name generator →

Trusted by Thousands Nationwide

What is an LLC in Alabama?

An LLC (Limited Liability Company) is a simple structure for running your business under a professional name. It separates your business from your personal name, and it's the most common way to add a partner, sell the business, or look like a real company instead of a side project.

That separation goes further than the name. If the business owes money or gets sued, your house, car, and personal bank accounts are generally off-limits — as long as you run the LLC properly. It doesn't protect you from something you personally did wrong.

A sole proprietorship skips all of that. You're doing business under your own name or a DBA, and everything stays tied to you personally.

A corporation does the same separation as an LLC, but it's built for a different job: issuing stock and bringing in outside investors. An LLC is simpler to run and cheaper to keep up if that's not you right now.

Benefits of an LLC in Alabama

  • Add partners or co-owners whenever you're ready
  • Transfer ownership if you sell the business
  • “Alabama Company, LLC” shows you’re a real business
  • Shows you’re registered (Alabama Secretary of State)
  • Get a matching domain like AlabamaCompanyLLC.com
  • Simpler upkeep than forming a corporation

What's different about an Alabama LLC

Your $236 filing fee covers Alabama's mandatory Name Reservation and your Certificate of Formation — both included when you file here.

Filed Through Your County FirstAlabama doesn't file your Certificate of Formation with a single state office. It goes to the Judge of Probate in the county where your LLC is based, who records it and forwards it to the Secretary of State. A corporation skips this step and files with the Secretary of State directly.

Alabama has no separate LLC franchise tax beyond the Business Privilege Tax below, and no newspaper-publication requirement, unlike a handful of other states.

The Real Recurring CostAlabama's Business Privilege Tax is due by March 15 every year — but a 2022 law fully exempts anyone who'd owe $100 or less, which covers most small LLCs. Alabama also dropped its separate annual report entirely in 2024, so this is the only recurring paperwork left, even though it's often $0.

Cost to start an LLC in Alabama

$236 to the Alabama Secretary of State — that's it. We don't charge a filing fee on top of it. An Alabama corporation runs $236 through the same process.

Alabama LLC: what you get with Inc Authority vs. other formation services
What you getInc AuthorityOthers
EIN (Tax ID)Freeup to $99
Registered agentFreefirst yearup to $249per year
Name checkFreeusually free
Alabama state filing feespaid to the state — same for everyone$236$236

Free EIN with your Alabama LLC

Your EIN (Employer Identification Number) is what opens a business bank account and identifies your company to the IRS — it's like a Social Security Number for your LLC. It's included at no extra cost, right alongside your LLC.

LLC vs Corporation in Alabama

An LLC is simpler and more flexible, and keeps “LLC” in your business name. A corporation is a more formal structure built for issuing stock and outside investment, and keeps “Inc” or “Corp” in the name instead. 97% of our clients choose an LLC.

What is a Sole Proprietor in Alabama?

A sole proprietorship means you're doing business as an individual. You can register a trade name with the Secretary of State to use a name other than your own — Alabama handles this at the state level, not through your city or county. As an individual, you can't add a partner to the business, because everything is tied to your personal name and Social Security Number. If you later want to add partners or sell the business, you'll need to start an LLC or corporation.

File a DBA Under Your LLC

Alabama calls a DBA a Trade Name. It lets one LLC operate under more than one business name. That's a state-level filing with the Secretary of State's Trademarks Division — the same office your Alabama LLC is registered with — for $30, and you have to already be using the name before you register it.

A DBA isn't required if you're fine using your LLC's own name.

Example: Alabama Company, LLC dba Alabama Auto Brokers.

DBA vs LLC in Alabama

A DBA only gives you another name to use. The LLC is the actual business entity that owns the DBA name and holds all legal rights.

Common Questions

Why start an LLC in Alabama?

It separates the business from your own name, lets you add or remove owners as the business grows, and reads as a real, established company.

How long does it take to get an Alabama LLC?

Filing takes a few minutes on this page. Alabama doesn't publish a guaranteed turnaround for standard processing, and your Certificate of Formation is recorded by your county's Probate Judge before the state finalizes it.

What's Alabama's Business Privilege Tax, and what does it cost?

Often $0 — a 2022 law fully exempts any LLC that would owe $100 or less, which covers most small LLCs. You still have to file the first return within 2.5 months of forming no matter what, even to report $0 due; after that, if you do owe tax, it's due by March 15 every year.

Do I need an EIN for my Alabama LLC?

Yes, for a business bank account and for the IRS to recognize your company. It's included free when you file here.

What's a registered agent, and do I need one?

A registered agent is the address Alabama sends legal mail to. Every LLC needs one, and it's included free for your first year when you file here.

Do I need an operating agreement?

Alabama doesn't require one to file, but a bank often asks for one to open your business account. You can add it when you file, or write your own later.

Still deciding on a name?

Try the free name generator — type a word you like, get real available options back, then come straight here to file.

Page updates (1)
  • Taxable years beginning after December 31, 2023 — Alabama fully exempted any LLC or corporation that would owe $100 or less in Business Privilege Tax, under Act 2022-252 — most small, newly formed LLCs now owe $0 a year. Alabama Department of Revenue →
Sources (6)

Every fact on this page was checked directly against Alabama's own filing agency, tax agency, and business code — verified September 20, 2026.