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Which costs are set by the state and which are service fees?
State filing fees are mandatory government charges. Service fees are optional payments to a formation provider, registered agent, or address service. Mixing the two is the biggest reason Indian founders over-budget for a US company.
Quick Answer: Registering a US company from India means paying a mandatory state filing fee (roughly $50 to $500 for an LLC, depending on state) plus optional service fees if you use a provider. The IRS EIN is free. Recurring costs, not the one-time filing fee, decide your real first-year spend.
You can file the Articles of Organization (the document that creates the LLC) yourself by mail or online with the state. You pay only the state fee. A provider gives you speed, a US address, a registered agent, and someone to chase the paperwork. That is a real convenience. It is not a legal requirement.
Keep three buckets separate in your head:
| Bucket | Who gets paid | Mandatory? | Typical range |
|---|---|---|---|
| Government fees | State, IRS | Yes | $50 to $500 one-time, plus annual |
| Provider/service fees | Formation agency, registered agent, address | No, but often practical | $50 to $300 per service |
| Recurring banking/currency | Bank, payment gateway, FX | Depends on usage | Varies by provider |
Suppose you file a Wyoming LLC yourself. You pay the state filing fee, buy a registered agent service (legally required), and skip the formation package. You have saved the provider's setup fee and kept the two things you actually need. That is the lean route, and it works. If you want one vendor to handle filing, registered agent, and EIN support in a single order, use a formation provider and accept the markup. For the step-by-step process, see US LLC formation for non-residents.
State filing fees for common formation states
Filing fees for an LLC run from about $50 in New Mexico to $500 in Massachusetts. Delaware charges $90 for an LLC and $89 for a C-Corp. Wyoming charges $100. California charges $70 to file, then adds an $800 minimum annual franchise tax.
That last number matters more than the filing fee. A cheap filing state with an expensive annual obligation is not cheap.
| State | LLC filing fee | C-Corp filing fee | Annual obligation (LLC) |
|---|---|---|---|
| Delaware | $90 | $89 | No annual report for LLCs; C-Corps pay franchise tax (minimum around $400) |
| Wyoming | $100 | $100 | Annual report around $60 |
| New Mexico | $50 | Check the current official fee | No annual report |
| California | $70 | Check the current official fee | $800 minimum franchise tax |
Fees change. Confirm the current number on the state Secretary of State website before you pay.
Delaware is the default for venture-backed C-Corps because investors expect Delaware law. For a solo founder selling services or software, Wyoming or New Mexico usually wins on total cost. Delaware calculates C-Corp franchise tax on authorized shares, and the minimum alone runs several hundred dollars a year.
Registered agent and business address costs
A registered agent is a person or company with a physical street address in the formation state who accepts legal papers on your behalf. Most states require one. It costs roughly $50 to $300 per year. [7]
You cannot use a PO box. You cannot use your flat in Bengaluru. The agent must be reachable at a real address inside that state during business hours.
A business address is different. It is where your mail goes and what you put on your bank application. It is optional as a legal matter, but a US mailing address makes banking and customer trust easier. Expect $50 to $200 per year for a mail-forwarding or virtual address service. Some formation providers bundle registered agent and address into one annual package. That is convenient, but it hides the line items. Ask for the breakdown before you buy.
Say your Wyoming LLC has a registered agent at $100 a year and a virtual address at $100 a year. That is $200 recurring before you have earned a rupee. Budget it as a fixed cost, not a surprise.
EIN and ITIN costs and when each is needed
The EIN (Employer Identification Number, the company's tax ID) is free from the IRS. The ITIN (Individual Taxpayer Identification Number, a personal tax ID for people without an SSN) is also free from the IRS, but you file Form W-7 and often pay a Certified Acceptance Agent to verify your documents.
Paid EIN assistance exists because the process is awkward from abroad. A non-resident without an SSN cannot use the online EIN tool. You file Form SS-4 by fax or mail, and you wait. Many providers charge a fee to prepare and submit the form for you. That fee buys convenience, not a faster IRS.
You need an EIN to open a US business bank account and to file your company's federal returns. You need an ITIN only if you personally have US tax filing obligations and no SSN. Company formation does not require an ITIN.
If the SS-4 and W-7 paperwork is where you get stuck, getting an EIN as a non-US resident walks through it without an SSN.
Banking and payment gateway setup costs
Business bank account costs range from $0 at fintech platforms to monthly maintenance fees and minimum balances at traditional banks. Payment gateways charge per transaction. Stripe publishes a standard rate of 2.9% plus $0.30 per successful card charge for domestic cards.
Traditional US banks usually want an in-person visit and a US address. Some ask for an SSN. Fintech platforms built for founders accept remote applications, but they are not banks, and approval is their decision. An LLC makes you eligible to apply. It does not guarantee an account.
Watch the recurring line items: monthly account fees, incoming wire fees, minimum balance requirements, and card foreign transaction fees. A $0 monthly account with a $25 incoming wire fee costs more than a $15 monthly account if you wire often. For the account options, see opening a US business bank account.
Imagine you take $5,000 in US card payments in month one. At Stripe's published rate you keep roughly $4,830 before refunds and disputes. That is the real cost of getting paid, and it belongs in your budget from day one.
Annual report and franchise tax obligations
Annual report fees run from $0 in New Mexico to around $60 in Wyoming and $800 minimum franchise tax in California for an LLC. Delaware LLCs file no annual report but pay a flat annual tax. Delaware C-Corps pay franchise tax calculated on authorized shares.
Heads-up: miss the deadline and the state charges a penalty and eventually administratively dissolves the company. A dissolved company cannot bank, sign contracts, or defend a lawsuit.
| State | LLC annual | C-Corp annual |
|---|---|---|
| Wyoming | Annual report around $60 | Annual report plus franchise tax |
| Delaware | Flat annual tax, no report | Franchise tax, minimum around $400 |
| New Mexico | None | Check the current official fee |
| California | $800 minimum franchise tax | $800 minimum franchise tax |
These are recurring costs. Put the deadline in your calendar the day you form the company.
Currency, payment method, and foreign card issues
Paying US fees with an Indian card triggers currency conversion markups and foreign transaction fees. Expect a 2% to 5% spread on conversion and 1% to 3% in foreign transaction charges, depending on your bank and card.
Some US services decline Indian cards outright. A US business bank account or a multi-currency account solves this, because you pay US vendors from a US account in dollars.
Tip: compare the all-in rate, not the headline fee. A platform quoting "zero markup" still earns on the exchange rate. Check what actually lands in the recipient's account.
Building a realistic first-year budget
A lean first year for a Wyoming or New Mexico LLC lands around $500 to $1,000. A comfortable first year with a formation package, address, and banking setup runs $1,000 to $2,000. A Delaware C-Corp costs more because of franchise tax.
Here is a sample Wyoming LLC budget, filed yourself with a registered agent:
| Item | One-time | Recurring (year 1) |
|---|---|---|
| State filing fee | $100 | |
| Registered agent | $100 | |
| Business address | $100 | |
| EIN | $0 | |
| Bank account | $0 to $180 | |
| Annual report | $60 | |
| Total | $100 | $260 to $440 |
Add the formation provider package and you add a few hundred dollars. Add a Delaware C-Corp and franchise tax replaces the annual report line.
Common Mistakes
- Assuming the EIN costs money. It is free from the IRS. A provider fee is for assistance, not the number.
- Choosing a state on the filing fee alone. California's $70 filing fee hides an $800 annual minimum. Wyoming's $100 filing fee is the cheaper total.
- Skipping the registered agent to save $100. The state rejects the filing without one, and you pay again to fix it.
- Using a home address in India on the formation documents. The registered agent address is what goes on the state record.
- Forgetting the annual report. The penalty and dissolution cost more than the fee you skipped.
- Paying US vendors with an Indian card and ignoring the FX markup. It quietly adds 3% to 5% to every bill.
Frequently Asked Questions
Do I need to pay for an EIN as an Indian founder? No. The EIN is free from the IRS. You file Form SS-4 by fax or mail. Paid services exist for assistance only.
What is the cheapest state to register a US company from India? New Mexico has the lowest filing fee and no annual report. Wyoming and Delaware are popular but carry different ongoing costs.
Are there annual fees I must pay after registration? Yes. Most states require an annual report or franchise tax. Wyoming charges around $60, California has an $800 minimum, and Delaware C-Corps pay franchise tax.
Can I use my Indian credit card to pay US fees? Yes, but expect foreign transaction and conversion fees. Some US services decline Indian cards, so a US account or multi-currency account helps.
How much should I budget for the first year? A lean LLC runs $500 to $1,000. A comfortable setup with a provider package runs $1,000 to $2,000. C-Corps cost more.
Do I need a registered agent in the US? Yes, most states require one with a physical address in the state. Services cost $50 to $300 per year.
NexFyla helps non-US founders form US companies and set up EIN and US business banking support. If you want help with US LLC formation, EIN and business setup, NexFyla can assist. Check NexFyla pricing before you commit.
*Last updated: February 2026.*
Related reading
- US Company Registration for Non-Residents: What to Prepare
- Foreign Company Registration in the US: Two Paths
- What a US LLC Really Costs a Non-Resident Founder
Ready to act on this? US company formation takes the filing, registered agent and paperwork off your desk.