Rhode Island was ranked #45 on CNBC's 2022 Top States for Business. Despite its high real estate costs, the state has a well-developed technology infrastructure. It's also a great place for starting a tourism business.
Researching how to start an LLC in Rhode Island is worthwhile in order to generally assess the regulatory costs of your business formation. For example, if you plan to hire employees, you need to know the state laws and payroll taxes.
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If you are opening an LLC for the first time, it is advisable to use the assistance of the best LLC services in 2023. All costs for registering and maintaining a business are divided into mandatory and additional.
The minimum list of mandatory costs in Rhode Island includes:
|State filing fee||$150|
|Foreign LLC filing fee||$150|
|Annual report||$50 + $2.50 enhanced access online fee|
|Registered agent change fee||$49|
|Certificate of Good Standing||$22|
|Certified document copies||$10 plus $0.15 per page|
|LLC dissolution rate||$49 + state fees|
For licensed businesses, specific activity fees are added to the mandatory LLC fees in Rhode Island. The business assistant of the Secretary of State's office is recommended for this purpose.
If you are looking for the cheapest way to start an LLC in Rhode Island, it is essential to consider not only the basic costs but also the additional expenses.
First and foremost, you will have to pay $150 for obtaining a Certificate of Formation (Articles of Organization).
Your Certificate of Formation will contain the following information:
The document is authenticated by the signature of the LLC organizer. Rhode Island does not have strict statewide basic business license requirements.
To file the Articles of Organization for a Domestic Limited Liability Company, you will need to download, print, and fill out the form.
The annual LLC tax report should be filed between February 1 and May 1. This can be done in person or by mail. The Secretary of State's office is located at:
148 W. River Street, Providence,
To file the annual report online, use a simple one-page form. For that, you will need to log in and enter basic information about your business.
The state of Rhode Island has a penalty for late filing of the annual report. For LLCs, the penalty is $25.
In Rhode Island, a registered agent is not only an individual or company that accepts legal mail on behalf of an LLC. Additionally, they can act as a general point of contact for business notices.
Requirements for a registered agent in Rhode Island are:
If you choose to contact a commercial registered agent, the cost is approximately $100-$300 per year.
In the state of Rhode Island, the enterprise tax is 7% with a minimum of $400. The rate does not change depending on how many days a year the company had actual business.
Note that an LLC is required to pay enterprise tax whether or not there is actual business activity. You also have to pay the minimum tax even if there is no profit.
The list of required Rhode Island LLC fees for foreign companies includes more than just the initial fee.
As with other state-registered LLCs, if the business is engaged in licensed activities, the total cost includes the appropriate fees.
To form a Low-Profit LLC, you will also need to file Articles of Organization with the Secretary of State. To do this, you have to download, print, and fill out the form for a Domestic Low-Profit Limited Liability Company.
You can pay the filing fee in person at the Department of State by check, cash, or credit card.
You have to form a PLLC if your company is in an industry requiring licensing. Check the complete list of the business types on the Department of Business Regulation website.
In some cities, such as Providence, you will need a local permit or license to open an LLC.
In Rhode Island, the main business license is a sales tax permit. You need this permit if:
To obtain this permit, you have to visit the Division of Taxation in the Secretary of State's office.
To calculate how much is an LLC in Rhode Island, you need to consider not only the basic costs but also the ancillary expenses. The list of fees is different for each business, depending on the type of activity.
In some cases, it may be necessary to reserve the name of an LLC in advance. You can do this online for $50, but it is not part of the mandatory Rhode Island LLC cost.
You can reserve a business name for 120 days. Before doing so, check to see if a business name is available. You can do this at the RI Department of State Corporate Database.
But it's critical to remember that reserving a name in Rhode Island does not protect your LLC name in other states.
In the state of Rhode Island, all companies operating under a name that differs from the legal name register a DBA. A database operator service can help make things easier.
This can be done in person or online. You will need to provide the legal name of the business, a facility identification number, date and place of registration.
DBA is registered once, so you do not need to reapply.
Certified Document Copies are issued by the Rhode Island Department of State's Division of Business Services. You can order them in 3 ways:
Hours of operation are 8:30 a.m. to 4:30 p.m., Monday through Friday. The type of payment depends on how you apply.
The Rhode Island Certificate of Good Standing is proof that the company has met all tax obligations. You can apply in several ways: in person, by mail, by phone, or online.
To apply online, you have to:
Submit your order. After that, be sure to print and save your payment receipt.
To obtain a Certificate of Compliance from the State of Rhode Island, download the State of Rhode Island Certificate of Compliance request form from the Secretary of State’s website.
The State of Rhode Island allows you to register a trademark or service mark if needed. Before you apply, choose the type of mark you want. Next, make 3 identical samples of the mark on 8 ½ x 11-inch paper.
Next, fill out the Application for the Registration of a Trademark or the Application for the Registration of a Service Mark. These must be printed, filled out, and submitted to the Secretary of State's Office either in person or by mail.
To confirm the filing of a Trademark, you should:
If the result is negative, you can find it in the Rejected Filings Viewer.