Starting a Arizona LLC is straightforward. You file paperwork with the Arizona Corporation Commission, pay the $50 filing fee, and wait for approval. No lawyer required.

This guide walks you through the entire process step-by-step, including costs, timelines, required forms, and common mistakes to avoid.

💡 Did You Know? Arizona requires LLC publication in a newspaper within 60 days of formation.

⏱️ Time Investment: 1-2 hours to complete paperwork. 1-3 days (expedited available) for state processing.

Step-by-Step Guide to Forming a Arizona LLC

Choose Your LLC Name

Your Arizona LLC name must:
- Include "Limited Liability Company," "LLC or L.L.C."
- Be distinguishable from existing Arizona businesses
- Not contain restricted words (bank, insurance, corporation) without approval
Check name availability: Arizona Corporation Commission Business Search

⚠️ Common Mistake: Don't skip the name search. If your name is too similar to an existing business, your filing will be rejected and you'll lose the $50 fee.
Appoint a Registered Agent

Arizona requires every LLC to have a registered agent—a person or company authorized to receive legal documents on behalf of your business.

Requirements:
- Must have a physical Arizona address (no P.O. boxes)
- Must be available during normal business hours
- Can be yourself, a partner, or a professional service
Cost: $0 if you act as your own agent. Professional services cost $100-300/year.
File Articles of Organization

This is the official document that creates your LLC. You'll submit it to the Arizona Corporation Commission.

Required information:
- LLC name
- Purpose of business (can be general)
- Registered agent name and address
- Management structure (member-managed or manager-managed)
- Principal office address
How to file:
- Online: Arizona Corporation Commission Online Filing (fastest)
- Mail: Download and mail completed form (slower)
Filing Fee: $50 (non-refundable)
Visit Arizona Corporation Commission
Publish Your LLC (Arizona Requirement)

You must publish your Articles of Organization in a newspaper of general circulation in your county for 3 consecutive weeks. Cost: $100-300 depending on the newspaper.

⚠️ Important: This is a mandatory requirement in Arizona. Failure to publish may result in your LLC losing its ability to bring lawsuits in state courts.
Create an Operating Agreement

While not always legally required, an Operating Agreement is highly recommended. It defines ownership percentages, profit distribution, management structure, and procedures for adding/removing members.

Why you need it:
- Protects your limited liability status
- Prevents disputes between members
- Required by most banks to open a business account
💡 Pro Tip: Even if you're a single-member LLC, create an Operating Agreement. It strengthens the legal separation between you and your business.
Get an EIN (Employer Identification Number)

An EIN is like a Social Security number for your business. You need it to open a bank account, hire employees, and file taxes.

How to get it: Apply free online at the IRS website. Takes 10 minutes, receive immediately.

Cost: $0 (free from the IRS)

⚠️ Scam Alert: Third-party services charge $50-200 for EIN applications. Don't pay. The IRS does this for free.
Annual Reporting

Good news! Arizona does not require annual reports for LLCs, saving you time and money on ongoing compliance.

✓ Advantage: No annual report means less paperwork and lower ongoing costs compared to many other states.

Complete Cost Breakdown

Item	Cost	When Due
Articles of Organization	$50	At filing
EIN (Federal Tax ID)	$0	Anytime
Registered Agent (if using service)	$100-300	Annual
Publication Requirement	$100-2,000+	One-time (within 60-120 days)
TOTAL (First Year, DIY)	$50	—

Note: Optional costs like registered agent services ($100-300/year) and business licenses (varies by city/industry) are not included in the minimum total.

Timeline: How Long Does It Take?

Step	Time Required
Choose name and check availability	15 minutes
Complete Articles of Organization	20-30 minutes
State processing	1-3 days (expedited available)
Create Operating Agreement	1-2 hours
Get EIN from IRS	10 minutes (instant online)
Publication requirement	3-6 weeks
TOTAL	1-3 days (expedited available) (plus paperwork time)

Common Mistakes to Avoid

1. Skipping the Operating Agreement

Banks often won't open business accounts without one. Plus, it protects you in disputes and strengthens your liability protection.

2. Not Separating Personal and Business Finances

Open a dedicated business bank account immediately. Mixing personal and business funds can "pierce the corporate veil" and eliminate your liability protection.

3. Forgetting Ongoing Compliance

While Arizona doesn't require annual reports, you still need to maintain your LLC properly—keep records, file taxes, and maintain your registered agent.

4. Using Your Home Address as Registered Agent

Your registered agent address is public record. If you value privacy, consider using a professional registered agent service or a business address.

5. Paying Third-Party "EIN Services"

Scammers charge $50-200 to file for your EIN. The IRS does this for free at irs.gov. Never pay for an EIN.

6. Ignoring the Publication Requirement

Arizona requires you to publish notice of your LLC formation. This is unique to only a few states and catches many new business owners off guard. Budget for this expense and don't miss the deadline.

Arizona LLC Tax Information

Arizona does not have a franchise tax for LLCs. LLCs pay state income tax on profits at individual rates.

Federal taxes: By default, LLCs are "pass-through" entities—profits pass through to your personal tax return. Single-member LLCs are taxed as sole proprietorships. Multi-member LLCs are taxed as partnerships. You can also elect S-corp or C-corp taxation if beneficial.

💡 Tax Tip: Consider consulting a CPA familiar with Arizona tax law. The right tax structure (default, S-corp, or C-corp election) can save you thousands annually.

Do You Need a Lawyer?

Short answer: No.

Forming a Arizona LLC is simple enough to do yourself. The forms are straightforward, and the Arizona Corporation Commission website has instructions.

When you might want a lawyer:

Complex ownership structures (multiple members with different equity stakes)
High-risk industries (healthcare, finance, construction)
Significant startup capital or investor involvement
You want custom Operating Agreement provisions

Typical lawyer cost: $500-1,500 for LLC formation services.

Arizona LLC Checklist

Choose LLC name and verify availability
Appoint a registered agent with a physical Arizona address
File Articles of Organization with $50 fee
Complete publication requirement
Create an Operating Agreement
Apply for EIN with the IRS (free)
Open a business bank account
Obtain any required business licenses for your city/industry
Set up accounting to separate business and personal finances

Frequently Asked Questions

Can I form a Arizona LLC if I don't live in Arizona?

Yes. You can form a Arizona LLC from any state or country. However, you'll need a registered agent with a physical Arizona address.

How much does it cost to start an LLC in Arizona?

The state filing fee is $50. Add $0 for your EIN (free from IRS). If you use a professional registered agent, add $100-300/year. Total minimum DIY cost: $50.

How long does it take to form an LLC in Arizona?

State processing typically takes 1-3 days (expedited available). The paperwork itself takes 1-2 hours to complete.

What's the difference between member-managed and manager-managed?

Member-managed: All LLC owners (members) make day-to-day decisions. Most common for small businesses.

Manager-managed: Members appoint one or more managers to run the business. Used when some members are passive investors.

Do I need a business license in Arizona?

It depends on your city and industry. After forming your LLC, check with your local clerk's office for required permits or licenses. Professional services may need state-level licensing.

Can I convert my sole proprietorship to an LLC?

Yes. Form a new LLC and transfer your business assets. Update your licenses, permits, contracts, and bank accounts with your new LLC name.

How is a Arizona LLC taxed?

Arizona does not have a franchise tax for LLCs. LLCs pay state income tax on profits at individual rates. At the federal level, LLCs are pass-through entities by default. You can elect S-corp or C-corp taxation if it's more beneficial.

What happens if I don't maintain my LLC?

While Arizona has minimal ongoing requirements, failing to maintain your registered agent or file required tax returns can lead to administrative dissolution.

Why Choose Arizona for Your LLC?

✓ Arizona LLC Advantages:

Filing fee: $50
Processing time: 1-3 days (expedited available)
Ongoing costs: No annual report fee
No annual report requirement

Other State LLC Guides

Comparing states? Check out our other popular LLC guides:

Additional Resources

🎉 Ready to Start? You now have everything you need to form your Arizona LLC. The process is straightforward—just follow the steps above and you'll be up and running in 1-3 days (expedited available).

Last updated: February 27, 2026
Information verified with Arizona Corporation Commission and IRS guidelines. Contact the Arizona Corporation Commission at (602) 542-3026 for the most current information.