How to Form an LLC in Alabama in Five Steps
Alabama makes you reserve your LLC name before you file anything else. Here is the order the state wants, and where the fees go.
Alabama has one step to take before anything else. You must reserve your LLC name with the state before you file anything. Get that order right and the rest is simple. Here is how to form an LLC in Alabama, step by step.
What Alabama requires
Alabama requires a Certificate of Formation and the filing fees to be filed with the Secretary of State to form an LLC. The form asks for a few things. It names one registered agent. It confirms the LLC has at least one member. And it must carry a name reservation certificate from the state, attached before you send it in. If you are still weighing the LLC against other structures, read should you form an LLC first.
Step 1: Pick a name that follows Alabama's rules
Alabama's Secretary of State says a domestic LLC name must contain the words Limited Liability Company or the abbreviation L.L.C. or LLC. So "Bayou Coffee LLC" works. "Bayou Coffee" alone does not.
Step 2: Reserve the name and get the certificate
Here is the step Alabama requires first. Alabama's Secretary of State says you must obtain a Certificate of Name Reservation before filing domestic LLC formation documents. This is not optional. In Alabama it is a precondition of filing. Do not file the Certificate of Formation until you have your Certificate of Name Reservation.
Step 3: Complete the Certificate of Formation
The Certificate of Formation certifies that the LLC has at least one member. One is enough. You do not need partners.
The form names one registered agent with an Alabama street address that is not a PO box. A post office box will not do. If you want help choosing, see an LLC's registered agent.
Alabama's Certificate of Formation says the form must be typed and will not be accepted via email. Type it. Handwriting and email are both out.
Step 4: Attach the Name Reservation Certificate
Alabama's Certificate of Formation says a copy of the Name Reservation Certificate from the Secretary of State must be attached. The state's downloads page says the same thing: a domestic LLC certificate of formation must have a name reservation certificate attached. Do not send the Certificate of Formation without it.
Step 5: File with the Secretary of State and pay
Alabama's Certificate of Formation instructions call for a $200.00 processing fee with the filing. Alabama's Secretary of State pays $100.00 to the county treasurer where the LLC's initial registered agent office is located. So your money splits. Part goes to the state. Part goes to the county where your registered agent sits.
Alabama's Secretary of State says to file the original and one copy of the Certificate of Formation with the Secretary of State. Send both. For more on fees across states, see the state filing fee for an LLC.
Filing online
Alabama's form says the Certificate of Formation may be filed online. The form must be typed, and the state will not take it by email.
After your LLC is formed
The state filing is not the end of the list. A few things come next.
Learn how to apply for an EIN for an LLC. See whether your business needs a license. For the general version of this process in any state, see how to form an LLC.