How Much Does It Cost to Start an LLC in Kentucky

If you’re starting a business in Kentucky, you may consider forming a limited liability company (LLC). Before diving in, you should know that this comes with costs. 

To help prepare you, this handy guide details all you need to know about the cost of launching an LLC in Kentucky.

Kentucky LLC Costs 

Requirement	Cost
Name Reservation Fee	$15
LLC Registration Fee	$40
Business License Fees	Vary by localities and type of business
DBA fee	$20
Annual Report Fee	$15

Name Reservation Fee

One of your first decisions will be what to name your LLC. Once you’ve chosen the perfect name, you can reserve it with the state until you’re ready to form your LLC officially.

To do so, you’ll need to make sure the name is available. Here’s how:

1. Check for availability in Kentucky

To ensure the business name is available, go to the Secretary of State’s website and enter the names you like as well as similar names. You don’t want a business name that can be easily confused with other businesses in Kentucky.

2. Check Kentucky LLC name regulations

In Kentucky, your LLC name must include the phrase “limited liability company” or an abbreviation such as LLC or L.L.C., and your name cannot include words that could confuse your Kentucky LLC with any government agency. Your name also cannot include words like bank, insurance, university, or cooperative without approval from state authorities. 

Additionally, your name must be distinguishable from all other business names in the state.

3. Check Trademarks

It’s a good idea to ensure the name has not been trademarked. Check with the US Patent and Trademark Office to ensure the name is available nationally. 

4. Check domain name availability

You’ll want to ensure the domain name is available. You can check at a site like GoDaddy.com and use .com or .org, as those give your business more credibility.

5. Google it

Do a Google search to ensure the name is not being used in the U.S. or internationally. This is particularly important if you plan to have a strong online presence for your business.  

Once you’ve done your due diligence and know your preferred business name is available, you can reserve the name with the state using this name reservation form.

Cost to Register Your LLC in Kentucky

To officially form your LLC, you’ll file articles of organization with the state of Kentucky by visiting the One Stop Business Portal. You’ll need to register for an account before you file. You’ll need the following information:

• Company name
• Registered agent name and address
• Company mailing address
• LLC management structure

Business Licenses and Permits

Your LLC may also need to obtain licenses and permits at the federal, state, and local levels. These, of course, come with varying fees. 

At the federal level, licenses and permits are generally industry-specific and may include health licenses and permits from the Occupational Safety and Health Administration (OSHA).  

You may need a general business license to operate at the state level. If you sell tangible goods or services subject to sales tax, you’ll need a sales tax license, also known as a seller’s permit. 

Check the SBA guide for specific licenses required for your business. 

Here are some standard licenses and permits you may need:

• Industry-specific licenses for certain professions and industries such as construction, plumbing, electrical, childcare, food handling, liquor, architecture, and finance
• Building and zoning permits
• Doing business as (DBA) permit if you’re doing business using a name other than your LLC name
• Health licenses and permits at federal, state, and local levels
• Fire permits
• Sign permits

This is a crucial step in the LLC formation process, so make sure to check with your state and local government offices to find out all the licenses and permits that you need and their costs. If you operate without the proper licenses and permits.

If you need help, it’s a good idea to consult a business attorney to ensure you’re in full compliance. You can also use a service like MyCorporation to do the research and provide you with all the forms you need to license your business. 

Doing Business As (DBA) Name

If you plan to do business under a name that is not your LLC, you’ll need to register a “doing business as,” or DBA, name. To do so, you’ll visit the Secretary of State’s website to download the form.

Annual Reports

In Kentucky, you must file an annual report to verify your business information and confirm you’re still doing business.

In Closing

Starting an LLC in Kentucky is instead a complicated process that includes a handful of fees. There are several hoops to jump through. Still, the benefits of ensuring your LLC is properly registered, and fully compliant are huge, while the alternative risks significant penalties. 

LLC formation can be daunting, so many entrepreneurs prefer a professional service like ZenBusiness. This ensures the process is done correctly, saving time and giving you peace of mind.