Iowa LLC Cost

We’ve compiled the most common fees associated with forming an LLC in Iowa.

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FAQs on how to determine Iowa LLC costs

  • When you establish your LLC in Iowa, you’ll need to account for several fees:

    Iowa LLC Filing Fee – $50

    There is a $50 fee for the Secretary of State to file your Certificate of Organization.

    State Business Taxes

    Iowa doesn’t have a separate tax or fee for the privilege of doing business in the state. However, you’ll need to register your LLC with the Iowa Department of Revenue if you engage in a taxable business activity. You’re required to register if your business:

    • Makes retail sales
    • Purchases items for resale without paying sales taxes
    • Has employees
    • Engages in a taxed industry (automobile rental, hotel, water service provider)

    Many of these taxes require quarterly payments, so it’s important to register if you qualify.

    Iowa LLCs don’t pay corporate income taxes at the entity level. As owners of a pass-through entity, the members account for business profits or losses on their individual tax returns.

    Registered Agent Fee – Free

    In Iowa, you can be your own Registered Agent without paying a fee. However, as the LLC’s Registered Agent, you must be available at your office address during business hours to receive notices. It’s more common for LLC owners to hire a commercial registered agent for a small fee.

    Because you need to know if your LLC is served with a legal notice, you need to choose a Registered Agent you can count on. Let us connect you with the right Registered Agent for your LLC with our Iowa Registered Agent Service.

  • The average cost to start a business in Iowa is more than just the fees to file a Certificate of Organization.

    Certificate of Existence or Authorization

    In some cases, you’ll need to show that your LLC is duly registered, up to date on its state taxes, and current with its biennial report. A Certificate of Existence will confirm that your domestic LLC is in compliance with the Secretary of State and Department of Revenue. If you run a foreign LLC, you’ll need a Certificate of Authorization. The fee for a Certificate of Existence or Authorization is $5.

    DBA Name in Iowa

    Your LLC needs to register a “Doing Business As” name or DBA if it uses a name other than its official name. If an LLC has a DBA, it’s called a “fictitious name,” and filing allows the public to identify the business. LLCs might want to use a fictitious name if you introduce new branches to your company or use a shortened version of your business name. To register a DBA in Iowa, the LLC members need to complete a Resolution to Adopt Fictitious Name. The fee for this filing is $5.

    Foreign LLC

    If you’ve formed an LLC in another state and now want to do business in Iowa, you’ll register as a Foreign LLC. When you file an Application for Certificate of Authority, the Iowa Secretary of State will authorize your LLC to legally conduct business in Iowa. The filing fee for a Foreign LLC to register is $100.

    Business Licensing

    Iowa doesn’t require a general state business license. Still, depending on your business activities, you may need to pay fees for:

    • Business licenses
    • Permits
    • Registrations

    The nature and location of your business determine whether you must pay these fees. As the business owner, you’re responsible for checking for required licenses at the local, state, and federal levels. Use our Business License Service to get a report detailing the licenses, permits, and registrations your business needs.

    For just $0 plus state fees, we can form your Iowa LLC for you in just minutes. No LegalZoom promo code required: Pay just $0 plus filing fees for fast LLC formation in Iowa. 

  • Yes. Failing to pay your business fees and taxes means you could owe interest payments or late fees or suffer legal repercussions. In addition, the government can administratively dissolve the business if it’s behind on its fees. 

  • If you don’t pay your filing fees, the Iowa government will refuse to file your formation or licensing documents. Without these documents, your LLC won’t be legal. You would be considered a sole proprietorship or general partnership and face increased liability.

  • You pay your Certificate of Organization fees to the Secretary of State. 

  • When it comes to the cost to start a business in Iowa, the most significant fee is your Certificate of Organization fee, which is $50. The number of one-time fees you’ll owe will vary with your business activities, industry, and location.

  • If you pay through the online portal, you can use a credit card or pay on account. You must file in person or by mail to pay by cash or check.

Related Topics

Iowa Secretary of State Contact Information

Location:
First Floor, Lucas Building
321 E. 12th St.
Des Moines, IA 50319
Email: 
sos@sos.iowa.gov
Telephone:
515-281-5204
Website:
https://sos.iowa.gov/

We can help!

We know you’re excited about starting your new business. Our Formation Services helps you register your LLC quickly so you can get up and running today. Further, our business products and services can help you stay compliant and ready for tax time. When you form your business with us, our team of business experts will guide you through every step of the process.

Disclaimer: The content on this page is for information purposes only, and does not constitute legal, tax, or accounting advice. If you have specific questions about any of these topics, seek the counsel of a licensed professional.

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Written by Team ZenBusiness

File Your LLC in Iowa