Alabama Business Guide

Start an LLC in Alabama the right way

Everything you need to form, register, and run a business in Alabama — business licenses, registered agents, EIN numbers, privilege tax, and more. Plain English, no legal jargon.

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How to start an LLC in Alabama — the short version

Forming an LLC in Alabama takes 5 steps and costs $200 in state filing fees. Most people can complete the process in a single afternoon using an online formation service, or do it themselves through the Alabama Secretary of State.

01

Choose a business name

Your name must be unique in Alabama and include "LLC" or "Limited Liability Company." Check availability with the Alabama SOS business name search.

02

Appoint a registered agent

Every Alabama LLC must have a registered agent with a physical Alabama address. You can serve as your own or use a registered agent service for $49–$125/year.

03

File Articles of Organization

File with the Alabama Secretary of State — online or by mail. The state filing fee is $200. Processing takes 3–5 business days online. See our full guide to filing.

04

Get an EIN number

An EIN (Employer Identification Number) is your LLC's federal tax ID. It's free from the IRS and required to open a business bank account or hire employees.

05

Get your business license

Alabama requires a state business privilege license plus a local license from your county or city. Requirements and fees vary by location.

06

File the privilege tax return

Alabama LLCs must file an annual business privilege tax return each year. The minimum tax is $100, due by April 15.


All guides

Everything you need to run a business in Alabama

How to Form an LLC in Alabama

Step-by-step guide to forming your Alabama LLC, including costs and timeline.

Registered Agent Alabama

What a registered agent does, who qualifies, and the best services for Alabama LLCs.

Alabama Business License

State privilege license plus county and city requirements — what you need and where to get it.

EIN Number Alabama

How to get a free EIN from the IRS for your Alabama LLC or business.

Alabama Business Privilege Tax

What it is, who pays it, how much it costs, and when it's due.

DBA Alabama

How to register a "doing business as" trade name in Alabama.

Dissolve an LLC in Alabama

How to properly close your Alabama LLC and avoid future fees and liability.

Sole Proprietorship vs LLC

Which business structure is right for you — a plain-English comparison.

Alabama Business Name Search

How to check if your business name is available in Alabama before you file.

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By county

Alabama business license by county

Business license requirements and fees vary by county and city in Alabama. Find your county below for specific instructions.

Madison County Jefferson County Mobile County Montgomery County Shelby County Tuscaloosa County Limestone County Morgan County