Interested in making Virginia your place to start the entrepreneurial adventure? You’re in the right place. There are numerous advantages for starting a new business in the Virginia area inclusive of a good atmosphere for business growth. Okay, so let me give you some information you want to hear regarding the guidelines of the start of a business in the Commonwealth. How Much Do Virginia Business Startup Costs? It is important to assess and understand the costs in the event to plan early for the financial part. Here’s what you need to know.

LLC Filing Fee

The cost of filing Formation of Limited Liability Company (LLC) in Virginia state is one hundred US dollars. This fee provides for filing of the Articles of Organization at the Virginia State Corporation Commission or SCC. The Articles of Organization is official formation document that acknowledges your LLC legally in the state. This one-time fee is amongst the cheapest in the states which makes Virginia very favorable to new LLC formation.

Corporation Filing Fee

For those that choose to register for a corporation, the filing fee is set at $75. This fee pertains to the application for Articles of Incorporation to the SCC. It escalates in cases where you allow more than 25,000 shares of stock. Your corporation Articles of Incorporation now form your corporation as a legal entity distinct from its owners, provide limited liability and possibility to emit stocks. The prices of the initial rates are also lower than the majority of the other states, thus making it cheaper for startups to venture into the field.

Registered Agent Fees

However, if you decide to hire a registered agent service, you will be charged extra costs. A registered agent is mandatory for all forms of businesses in Virginia. Receiving of legal documents is the work of this agent on the side of your business. Indeed, there is no requirement that a registered agent must be an employee of the served entity and a registered agent can be a person herself or himself, which you may be if you are incorporating a business yourself; still in most cases businesses tend to hire a registered agent service, which will be able to represent the business, count with compliance knowledge and still avoid meeting the served public. To put into perspective, registered agent fees usually fall within $50 to $300 per service provider annually.

Local Business License Fees

Local business license costs differ with the place and the nature of the business that you are running. Licensing requirements and accompanying fees differ from city or county to city or county in Virginia. For illustration, the general business license in the first locality will be $50 while that of the second locality will be $150 only. Also, some industries for example restaurants and contractors may need permits or inspections on top of a lot of money. You should consult your local government in order to understand all the fees that apply to your business as well as all the necessary procedures.

Additional Costs

The above are the main cost related to early planning but you might also experience other costs relating to establishing your business.

These can include:

  • Name Reservation Fee: To reserve your business name before filing formation documents there is 120-day reservation for $10.
  • Trade Name Registration: If you intend to incorporate a name other than your legal business name in your operating activities, you will be required to register a trade name (doing business as (DBA) name) at a cost of ten dollars ($10 only).
  • Professional Licensing Fees: Some occupations are regulated and any person practicing that profession must secure licenses from the state, which are likely to attract certain costs. These differ one profession from the other and from the regulating bodies set in different countries.
  • Zoning and Land Use Permits: Depending on the location of the business the person may require a zoning or land use permit, which can be costly. It is also important to understand all these costs beforehand to enable you make adequate preparations regarding the legal necessities with regards to starting up your business in Virginia.

The professional lawyers at Legacy Law Centers can assist not only with identification of the potential issues connected with the finances of your business but also with effective management of the payroll processes.