LLC Cost In Oregon - How Much To Pay In Fees & Taxes in OR
If you’ve decided to set up an LLC in the state of Oregon and have already learned what it takes to start one, it’s half the battle won!
However, it is also necessary to understand the costs as well as additional fees that may arise in the course of running your business so that you can plan them ahead of time.
To make it a tad easier for you, we’ve put together a comprehensive guide on how to establish a company in Oregon and what costs it entails.
We also answer popular questions such as “what is the cheapest way to form an LLC in Oregon” and “is it even worth starting one?” so you have everything you need to build up your business the way you’ve always wanted to.
How Much Does an LLC in Oregon Cost?
When it comes to LLCs, price is one of the variables that differ from state to state. Not only do some companies levy higher fees for filing services, but there may be more processes involved, depending on the state’s law.
On the other hand, if you decide to fill out the forms yourself, which some LLC owners do, you may significantly reduce costs.
Regardless, the required cost for forming a business in Oregon includes the following fees:
- Compulsory LLC fees. These are the fees that you have to pay to register your company;
- Optional payments. These fees may arise later in the future if or when you decide to transfer your business to another state or include a new service in it.
| Service | Cost |
|---|---|
| Article of Organization fee | $100 |
| Registered agent fee | $0-$125 |
| Annual report fee | $100 |
| Foreign LLC fee | $275 |
| Company’s name reservation fee | $100 |
| DBA name | $50 |
| Certificate of Existence | $10 |
| Certified document copies | $15 |
| Articles of Amendment | $0-$100 |
| Articles of Dissolution | $100 |
Let’s discuss each of them in more detail.
How Much Is an LLC in Oregon: Compulsory Payments
To begin with, we are going to cover the compulsory cost that the formation of an LLC in Oregon entails. Most of them are one-time payments that need to be made at the start, some need to be paid regularly, and some only once every few years.
Knowing what to pay for and when will help you plan your business expenses wisely and be ahead of the game.
LLC Fees in Oregon: Filing Fee: $100
When forming an LLC in the state of Oregon, the first thing you need to do is file the Articles of Organization form with your Secretary of State (SOS). This application proves the creation of your business and its legitimacy and is a must step that cannot be overlooked.
Here’s the type of information that must be included in the Articles of Organization form:
- The name of your LLC company;
- The duration of a company (in case the date of dissolution is already known);
- The physical street address at which your LLC is registered;
- The data of your registered agent (the name and physical address);
- The description of how the company is going to be managed (by its owners or managers);
- The list of managers and owners of the company;
- The purpose of your LLC;
- The company’s creation date;
- All other information that may be necessary or required by your bank.
The Articles of Organization can be sent either in a paper format or online, and the filling LLC fee is $100, which is about the average in the US.
Registered Agent Fee in Oregon: $0-$125
The second step to setting up an LLC in Oregon is to hire a registered agent. A registered agent can be an individual or a company that will take care of your business paperwork and will send you timely reminders of the deadlines to keep your legal entity in good standing.
In fact, you can be your own registered agent. If this is what you choose, you’ll not need to pay any fees. Who else can be a registered agent? Let’s take a look.
- Your friend, colleague, or even a neighbor if he or she is at least 18 years and has a physical street address within the state of Oregon;
- A business consultant or lawyer;
- A professional RA company.
By and large, if you’re only running a small business that has a low document turnover, you may very well save money and do the work yourself.
However, in most cases, it’s much better to employ a professional RA that not only guarantees compliance for your LLC but also saves you from having to disclose your personal information to the public. The RA fee in Oregon can be anywhere from $49 to $125.
Annual Report Fee in Oregon: $100
Once you have set up your LLC, you need to renew it every year on the same date it was formed. This can be done by submitting an annual report to Oregon’s Secretary of State on the official website, which will cost you $100.
Basically, all you need to do is to update your company’s information, aka, your business physical address and registered agent’s data.
Foreign LLC Fee in Oregon: $275
In case you want to transfer your existing out-of-state business to Oregon, rather than filing the Articles of Organization, you will need to submit an Application for Authority to Transact Business form. This form is pretty simple yet compulsory to legalize your business.
Just like with other LLC forms, foreign LLCs can be submitted online, and the fee is $275.
Cost to Form a Professional LLC in Oregon: $0
Unlike most other states in the US, Oregon doesn’t require doctors, architects, engineers, lawyers, and other specialists who want to set up their own company to file a professional LLC fee.
It’s enough to form a regular LLC and describe the purpose of business in the Articles of Organization.
At the same time, this doesn’t mean that you can run a professional LLC without having a business license. So, make sure you factor in the cost of obtaining a license, which may vary, depending on the nature of your business.
Oregon LLC Taxes
In general, Oregon limited liability companies that operate in their default status do not pay any taxes to the government. Instead, they pay individual taxes that depend on their personal income.
However, if the net income of your LLC exceeds the point of $70.000, you should be prepared to pay an estimated tax aligned with Oregon’s income charges.
Optional Oregon LLC Fees
Now that we’ve covered all the required fees for setting up a private venture in Oregon, let’s take a look at some of the optional fees you may need to pay as your business grows.
You might not need all of them, but understanding the ongoing maintenance costs can help you set your business in the right direction.
LLC’s Name Reservation Fee in Oregon: $100
The business name is the basis of the trademark design. Moreover, it’s a way to make yourself known and stand out from competitors, so it’s important to choose it carefully.
Even if you are not ready to form an LLC yet, but you already have a great name for your future business in Oregon, you can secure it by filing a name reservation form with the Secretary of Your State. The fee is $100 and gives you rights to your chosen name for up to 4 months (120 days).
Oregon DBA Registration Cost: $50
Some businesses use DBA (also known as “doing business as”). In layman’s terms, it’s a nickname that a company may use in addition to its legal LLC name. Here are some examples of when you might need to use a moniker:
- If you don’t want to run your business under your personal name;
- If you want a more distinctive brand name;
- If your bank requires a proven registered name;
- If you’re adding a new line of products or services to your business that is not reflected in your LLC’s name.
To register a DBA, you can go to the official website of the Oregon Secretary of State and submit an Assumed Business Name New Registration form online. The filing fee is $50.
The Cost for Certified Document Copies in Oregon: $15
Whether you apply for a bank loan or need to come to court, you will be required to obtain certified copies to prove the legal status of your LLC. These may include your Articles of Organization, Certificate of Existence, or DBA registration.
All copies of your business documents can be ordered and verified with your Secretary of State online for a fee of $15.
The Cost for the Certificate of Existence in Oregon: $10
Another document that you may be asked to show to banks or lending institutions is the Certificate of Existence (also known as a Certificate of Good Standing). As with other documents, it can be obtained through the Oregon Secretary of State. The fee is $10.
Articles of Amendment Cost in Oregon: $0-$100
To make any changes, a business in Oregon must file the Articles of Amendment, which will cost you $100. Here’s a short list of examples when this may be required:
- You want to change the name of your LLC;
- You want to update the content of your LLC’s articles;
- You want to bring changes to your company’s members and managers.
That being said, if you only want to change President or Secretary, you won’t need to pay any filing fee.
Depending on whether you submit your amendment certificate in person or by mail, the process takes between 1 day to one week, respectively.
LLC Reinstatement Cost in Oregon: $100
In case your LLC has been administratively dissolved, you may reactivate it by filing a special application with the Oregon Secretary of State. The reinstatement cost is $100. Plus, you’ll be required to pay $100 for each year you’ve missed submitting your annual reports.
It is more expensive than most other states, but on the other hand, there’s no expediting fee to pay as processing times are very fast. Reinstatement forms filed online take a maximum of 1-2 business hours, while in-person filings can be processed within less than one hour.
Articles of Dissolution Fee in Oregon:
To terminate your legal entity, you will need to file the Articles of Dissolution with the Secretary of State. The information to include is as follows:
- Your LLC name;
- The date of your LLC dissolution;
- An authorized signature.
Typically, the processing time is one week and the fee is $100, but you can speed things up by applying to your SOS in person.