Florida LLC Formation: What You Need to Know

Florida is the third most populous state in the US, has no personal state income tax, and has seen explosive business growth in recent years. Whether you are starting a local business, moving from another state, or launching a remote company, Florida is a strong choice for your LLC. Here is everything you need to know.

Why Florida?

• No personal income tax. Like Texas, Florida does not tax individual income. LLC profits that pass through to your personal return face zero state income tax.
• Low filing fees. The Articles of Organization filing fee is $125 — moderate compared to states like Texas ($300) or Massachusetts ($500).
• Growing market. Florida gained more residents than any other state in recent years, meaning a growing customer base for local businesses.
• Homestead protection. Florida's generous homestead exemption protects your primary residence from most creditors, adding another layer of personal asset protection.

How to Form a Florida LLC

1. Choose your name. Must include "LLC" or "Limited Liability Company." Check availability on Sunbiz.org, the Florida Division of Corporations website.
2. File Articles of Organization. File online at Sunbiz.org. Fee: $125. Processing is typically fast — often within a few business days.
3. Designate a registered agent. Must have a Florida street address. Can be yourself if you have a Florida address, or a commercial registered agent service.
4. Get your EIN. Free at IRS.gov. Required for taxes, banking, and hiring.
5. Create an operating agreement. Florida does not require it by law, but banks will ask for one when you open a business account, and it protects your limited liability status.
6. File your annual report. Due by May 1 each year. Fee: $138.75. Miss this deadline and you will face a $400 late fee.

Ongoing Costs

• Annual report: $138.75 per year, due May 1
• Late fee: $400 if filed after May 1
• Registered agent: $50–$150/year (if using a service)
• No state income tax on LLC profits

The annual report is filed through Sunbiz.org and takes about 10 minutes. The most common mistake is simply forgetting the deadline. Set a calendar reminder for April.

Florida LLC Taxes

Single-member and multi-member LLCs in Florida pay no state income tax. Your LLC income passes through to your personal federal return. Florida also has no franchise tax on LLCs.

However, if you elect to be taxed as a C-Corporation, Florida does impose a 5.5% corporate income tax. This is another reason most Florida LLCs stick with pass-through taxation.

Privacy in Florida

Florida is not a strong privacy state for LLCs. Member and manager names are listed on the annual report, which is publicly searchable on Sunbiz.org. If privacy matters to you, consider using a nominee manager service or forming an anonymous LLC in a privacy state like New Mexico or Wyoming that operates in Florida as a foreign entity.

Form Your Florida LLC

Florida's combination of no income tax, reasonable filing fees, and a growing economy makes it an excellent choice for LLC formation. With Sedes, you can have your Florida LLC formed, your EIN filed, and your operating agreement generated — all for $29 plus the $125 state fee.