How Much Does It Cost to Form an LLC in Connecticut? Hidden Fees & Timelines

Understanding Connecticut LLC Formation Costs

Starting a business in cities like Hartford, New Haven, or Stamford is an exciting venture, but managing startup costs is critical for new entrepreneurs. In Connecticut, setting up a Limited Liability Company (LLC) requires navigating the state's online Business.CT.gov portal and adhering to the Connecticut Uniform Limited Liability Company Act (Conn. Gen. Stat. § 34-243a). While the state heavily advertises the flat base fee for formation, there are several secondary costs, including local filings and optional business taxes, that business owners must budget for.

Initial CONCORD Filing Fees

The very first step to creating your business entity is filing a Form Non-Numbered, Connecticut, Secretary of the State, Certificate of Organization - Domestic Limited Liability Company with the Connecticut Secretary of the State, Hartford. While historically submitted through the state's legacy CONCORD filing platform, this process is now handled online via Business.CT.gov. The mandatory state filing fee for this document is exactly $120. Once this fee is paid and the document is approved, your LLC legally exists in the state of Connecticut.

Expedited Processing Costs

When you file standard documents online, the Secretary of the State typically takes 3 to 5 business days to process your application. If you need your LLC formed immediately to sign a commercial lease or open a business bank account, Connecticut offers expedited processing. By paying an additional $50 fee, the state will process your paperwork within 24 hours (excluding weekends and state holidays).

Town Clerk Fees for DBAs

If your LLC plans to operate under a name that is different from its official legal name (for example, "Smith Consulting LLC" operating as "Hartford Marketing Pros"), you must file a Trade Name Certificate, commonly known as a DBA (Doing Business As). Under Public Act 24-111 (Conn. Gen. Stat. § 35-1a) and Conn. Gen. Stat. § 7-34a, the filing fee is standardized across Connecticut at exactly $20.00. You must file this certificate solely with the Town Clerk in the single municipality where your business primarily transacts business, and the certificate remains valid for 5 years before requiring renewal.

Registered Agent Fees

Connecticut law requires every LLC to have a Registered Agent-a designated person or company available during standard business hours to accept legal mail and lawsuits on behalf of the business. While you can act as your own registered agent for free, many business owners hire a commercial Registered Agent to protect their privacy and ensure they do not miss crucial legal notices. Commercial services typically charge between $100 and $300 annually.

Recurring Maintenance: PE Tax and Annual Reports

The cost of an LLC does not stop after formation. To keep your business in "Good Standing" with the state, you must budget for ongoing maintenance.

Connecticut Annual Report Fees

Every year, your LLC must file an Annual Report with the Secretary of the State to confirm your current business address and the names of your principals. The fee for filing the Annual Report is $80. Failing to file this report on time will result in your LLC being administratively dissolved (shut down) by the state.

Connecticut Pass-Through Entity (PE) Tax

LLCs in Connecticut may also interact with the Connecticut Department of Revenue Services, Hartford (DRS). Under Public Act 23-204 (Conn. Gen. Stat. § 12-699), the Connecticut Pass-Through Entity (PE) Tax is entirely elective, not mandatory. Single-member LLCs taxed as disregarded entities do not pay or register for the PE Tax. For multi-member LLCs taxed as partnerships or S-corporations, opting into the PE Tax allows the business to pay tax at the entity level to help owners navigate federal SALT deduction caps, after which owners receive an 87.5% credit on their personal state income tax returns.

Step-by-Step Filing Process

To successfully form your LLC without overpaying, follow this general roadmap:

1. Run a business name search on the Business.CT.gov database to ensure your name is available.
2. Select a Registered Agent. If using a commercial service, sign up and pay their fee first.
3. Log into the Business.CT.gov portal and complete the Form Non-Numbered, Connecticut, Secretary of the State, Certificate of Organization - Domestic Limited Liability Company.
4. Pay the $120 state fee (plus the $50 expedite fee if you are in a rush).
5. File your Trade Name Certificate with the Town Clerk in your primary municipality if you plan to use a DBA ($20 fee).
6. Register with the DRS and evaluate whether to elect the Pass-Through Entity Tax (available for partnerships and S-Corps, not disregarded single-member LLCs).
7. Find a trusted local business attorney in our USA Lawyer Directory to draft your internal Operating Agreement.

Cost Breakdown in Connecticut

Here is a summary of the expected expenses when launching your LLC:

Frequently Asked Questions (FAQ)