Starting a business in the United States can be an exciting and lucrative venture. But before you launch your startup, it’s crucial to understand the financial obligations involved—especially when it comes to registration. If you’re wondering how much it costs to register a startup in the USA, you’re not alone. Many first-time founders, especially international entrepreneurs, want to know what expenses to expect.
In this comprehensive guide, we’ll break down the key costs associated with forming a startup in the U.S., including business entity registration, legal fees, licensing, and optional services.
Is It Expensive to Start a Business in the USA?
The good news is that starting a business in the U.S. is relatively affordable compared to other countries—especially if you plan carefully and only pay for what you need.
The total cost of registering a startup in the U.S. depends on several factors:
- The state in which you register your business
- The type of entity (LLC, C Corporation, etc.)
- Whether you use professional services
- Optional extras like trademarks, virtual addresses, or expedited filings
Let’s break it all down step by step.
1. State Filing Fees
Every U.S. state charges a filing fee to register your startup. This is the cost to file your Articles of Organization (for an LLC) or Articles of Incorporation (for a Corporation).
| State | Average Filing Fee |
|---|---|
| Delaware | $90 |
| California | $70 (LLC), $100 (Corporation) |
| Florida | $125 |
| Texas | $300 |
| Wyoming | $100 |
Some states also require an initial report or business license fee, which can add another $25–$200 depending on the jurisdiction.
Tip: States like Delaware, Wyoming, and Nevada are popular among startups for their business-friendly environments.
2. Registered Agent Service
If you’re not physically located in the U.S. (or even if you are), you’ll need a registered agent to receive official mail and legal notices on behalf of your business.
Cost: $50–$150 per year
Some formation companies include this service for the first year when you register with them.
3. EIN (Employer Identification Number)
Your EIN is a tax ID issued by the IRS. It’s necessary for:
- Opening a U.S. bank account
- Filing federal taxes
- Hiring employees
Cost: Free if you apply directly via the IRS.
Some companies charge $75–$150 to obtain it for you.
4. Business Licenses and Permits
Depending on your business type and location, you may need local, state, or federal licenses.
Average cost: $50–$400 depending on industry and location.
Check your local city or county government website or use SBA’s licensing tool.
5. Legal and Professional Services
Hiring a lawyer or business consultant isn’t required—but it’s often recommended, especially for:
- Drafting operating agreements or bylaws
- Navigating immigration and tax implications
- Setting up ownership agreements
Estimated cost: $300–$2,500 depending on complexity
Some platforms offer business formation packages that include documents and support starting at $49 + state fees.
6. Virtual Office or U.S. Address (Optional)
If you don’t live in the U.S., you may need a virtual address to receive mail, especially for banks or payment processors.
Cost: $10–$50 per month
Some services include scanning and mail forwarding.
7. Domain Name and Website
Although not legally required, most startups want an online presence right away.
- Domain name: $10–$20/year
- Basic website hosting: $50–$150/year
If branding matters from day one, these small costs are worth it.
8. Trademark Registration (Optional)
Want to protect your brand name or logo? Registering a trademark with the U.S. Patent and Trademark Office (USPTO) costs:
- Filing fee: $250–$350 per class
- Attorney fees (optional): $300–$1,000+
Startups often delay this step until they validate their business idea or secure funding.
Total Estimated Cost to Register a U.S. Startup
Here’s a ballpark estimate of the costs for a first-time founder registering a startup in the U.S.:
| Expense Category | Estimated Cost |
|---|---|
| State Filing Fees | $50–$300 |
| Registered Agent | $0–$150 |
| EIN | $0 (free via IRS) |
| Licenses & Permits | $50–$400 |
| Legal/Formation Help | $49–$2,500 |
| Virtual Address | $120–$600/year |
| Website/Domain | $60–$200/year |
| Total Range | $250–$4,000+ |
Of course, you can start small and scale as needed. Many bootstrapped founders spend under $1,000 to get up and running.
FAQs About Startup Registration Costs in the U.S.
Q: What is the cheapest state to register a business in the U.S.?
A: States like Wyoming and Delaware offer low filing fees and minimal ongoing costs, making them ideal for startups.
Q: Do I have to be in the U.S. to register a startup?
A: No. You can register a U.S. startup from abroad using a registered agent and online services.
Q: How long does registration take?
A: It depends on the state. Some approve your business within 1–3 days; others may take a week or more. Expedited filing is available in many states for an extra fee.
Q: Can I register the company myself, or do I need a lawyer?
A: You can absolutely do it yourself using state websites or formation platforms, especially if your startup is simple. But for complex ownership structures or foreign founders, legal advice is helpful.
Final Thoughts
Starting a startup in the United States doesn’t have to break the bank. While the exact costs vary based on your location, industry, and whether you need professional help, most first-time founders can register their company for under $1,000.
Plan ahead, choose your state carefully, and only pay for what you truly need. Whether you’re a local entrepreneur or an international founder looking to tap into the U.S. market, understanding the startup registration costs is a smart first step toward business success.