Colorado LLC Cost: Filing Fees Explained (2026)
A Colorado LLC costs $50 to form: that is the fee to file Articles of Organization online with the Colorado Secretary of State. After that, the only mandatory recurring state cost is the $25 Periodic Report filed once a year. Colorado has no franchise tax; LLC income is taxed to the owners at a flat 4.40%.
Quick Answer
- Formation fee
- $50 - Articles of Organization (online only)
- Annual cost
- $25 - Periodic Report, every year
- Franchise tax
- None in Colorado
- Income tax
- Flat 4.40% on pass-through income
- Registered agent
- $0 to name; $10 to change; service optional
- Sales tax license
- $16 (2-year) + $50 refundable deposit
The Formation Cost: $50 Articles of Organization
The single required cost to create a Colorado LLC is the $50 fee to file Articles of Organization with the Colorado Secretary of State. Colorado accepts only online filings, so there is no cheaper paper option and no more expensive expedite tier - every filer pays the same $50, and online submissions are generally approved immediately. There is no per-member charge and no minimum capital requirement. For the full formation walkthrough, see how to form an LLC in Colorado.
That $50 is notably low: many states charge $100 to $500 to form an LLC, so Colorado is one of the least expensive states to start one. The fee is set by the Secretary of State and is not affected by how many members the LLC has or where the members live. Compare this figure with the national picture in how much an LLC costs.
Because Colorado filings are online only, the fee is also fully transparent: you pay the $50 by card at the moment you submit, and the confirmation doubles as proof of filing. There is no separate "certified copy" charge required at formation, no publication requirement (some states, such as New York, require newspaper publication that can cost hundreds of dollars), and no minimum-capital or organizer fee. A foreign LLC - one formed in another state that wants to operate in Colorado - registers instead by filing a Statement of Foreign Entity Authority, which carries its own state fee; that path is separate from forming a brand-new domestic Colorado LLC and applies only if your company already exists elsewhere.
The Annual Cost: $25 Periodic Report
Colorado's recurring state cost is the Periodic Report - the state's name for an annual report. Every LLC files one each year with the Secretary of State for $25. That fee has been $25 since July 1, 2024, when it rose from the prior $10. The report confirms your entity name, principal office address, and registered agent; it does not require any financial information or tax payment.
The Periodic Report is due in your LLC's anniversary month, with a filing window that opens the month before and closes the month after. If you file late, the entity becomes delinquent and you must file a Statement Curing Delinquency and pay the Secretary of State's cure fee to restore good standing. For full timing and reinstatement detail, see Colorado Periodic Report and taxes.
It helps to think of the $25 report as the price of keeping your LLC in good standing rather than as a tax. The report itself moves no money to the Department of Revenue and asks for no revenue figures; it simply reaffirms your name, principal office, and registered agent so the public record stays accurate. Over a typical five-year span, then, the recurring state cost of a Colorado LLC is roughly $125 in Periodic Report fees - a small figure compared with states that levy annual franchise taxes running into the hundreds of dollars. Setting a calendar reminder for your anniversary month is the single most valuable habit for controlling this cost, because the only way the number climbs is by missing the window and triggering a delinquency cure.
Full Colorado LLC Fee Table (2026)
The table below lists the state fees most Colorado LLCs encounter, each set by the Colorado Secretary of State or the Colorado Department of Revenue. Amounts are effective for 2026.
| Item | Filing | Fee (2026) | Frequency |
|---|---|---|---|
| Form the LLC | Articles of Organization | $50 | Once |
| Annual report | Periodic Report | $25 | Yearly |
| Reserve a name (120 days) | Statement of Reservation of Name | $25 | Optional |
| Change registered agent | Statement of Change | $10 | As needed |
| Register a trade name (DBA) | Statement of Trade Name | $20 | Optional |
| Sales tax license | Form CR 0100 | $16 + $50 deposit | Per 2-year period |
| Federal EIN | IRS Form SS-4 | $0 (free) | Once |
None of these fees is charged by a filing service - they are the state amounts you pay directly. A commercial registered agent or formation service is optional and adds its own separate charge on top.
Year-One Cost Example
A typical single-member Colorado LLC that files everything itself pays the $50 Articles of Organization fee to start, then $25 for its first Periodic Report a year later. The federal EIN is free. If the owner acts as the registered agent, that costs nothing. So the realistic first-year state cost is often just the $50 formation fee, with the $25 report landing in year two. A business that sells taxable goods adds the sales tax license ($16 plus the refundable $50 deposit).
Contrast this with a multi-member LLC that hires a commercial registered agent and buys a formation service package. That business still pays the same $50 state fee, but it may add $100 to $300 in optional service charges in year one. Those charges are not Colorado requirements - they are private vendor fees. Understanding which line items are mandatory (the $50 formation fee and the $25 report) and which are optional (registered agent service, operating-agreement templates, expedited handling that Colorado does not even offer) is the key to an accurate budget. A realistic all-in first-year figure for a do-it-yourself single-member Colorado LLC that sells services is simply the $50 formation fee.
No Franchise Tax, Flat Income Tax
Colorado does not impose a franchise tax or an entity-level privilege tax on LLCs, unlike states such as California or Delaware. Instead, an LLC is a pass-through entity by default: its profits flow to the members, who report them on their personal returns and pay Colorado's flat 4.40% individual income tax. The IRS default treats a single-member LLC as a disregarded entity and a multi-member LLC as a partnership; either can elect S-corporation treatment, which can change how the owners are taxed but does not add a Colorado franchise tax. See Colorado Periodic Report and taxes for how the income tax and any pass-through entity election work.
The practical effect is that a Colorado LLC's tax "cost" is not a fixed annual bill but a percentage of profit. An LLC with $80,000 of net profit that all passes to one owner generates roughly $3,520 of Colorado income tax at the flat 4.40% rate - but that tax is owed on the income regardless of the LLC wrapper, so it is not an added cost of the LLC itself. What the LLC structure adds at the state level is only the $50 formation fee and the $25 annual report. This is why Colorado is frequently cited as one of the cheapest states to maintain an LLC: there is no recurring entity-level tax to plan around.
Optional and Situational Costs
Beyond the mandatory fees, several optional costs are common. If you want to protect a name before filing, a Statement of Reservation of Name holds it for 120 days for $25. If you operate under a different public name, a trade name (DBA) is registered for $20. Changing your registered agent later costs $10 via a Statement of Change. Many Colorado cities and counties also charge their own business or sales tax license fees; there is no single statewide business license, so costs vary by locality - see business license in Colorado.
Costs That Are Not Actually Required
Marketing from filing services can make a Colorado LLC look more expensive than it is. You are not required to buy a registered agent service (you can serve as your own), an operating agreement template (you can draft your own), a "certificate of good standing" at formation, or any expedited processing - Colorado's online filings are already immediate. The genuinely required state costs are the $50 formation fee and the $25 annual Periodic Report. Everything else is optional or activity-specific. For the national baseline, see how much an LLC costs and the primer on what an LLC is.
Cost to Close a Colorado LLC
Closing costs little in Colorado. To dissolve, you file a Statement of Dissolution with the Secretary of State for $10, again online only. There is no exit tax at the state level, though you should settle any outstanding sales tax or withholding accounts with the Department of Revenue first. Full steps are in how to dissolve an LLC in Colorado.
Weighed end to end, the Colorado LLC is inexpensive across its whole life cycle: $50 to open, $25 a year to maintain, and $10 to close. Even a business that runs for a decade and then dissolves pays only about $310 in mandatory Secretary of State fees over that entire span, before any activity-specific licenses or taxes. That predictability - a small fixed formation fee, a small fixed annual report, and no franchise tax - is the core reason many founders and remote entrepreneurs choose Colorado, and it is worth keeping in view whenever a filing service quotes a much larger "startup package" price.
Frequently Asked Questions
How much does an LLC cost in Colorado?
It costs $50 to file Articles of Organization online with the Colorado Secretary of State. After formation, the main recurring cost is the $25 Periodic Report filed each year. Colorado's formation fee is among the lowest of any state.
Does Colorado have an annual LLC fee?
Yes, but it is called a Periodic Report, not an annual report. Every Colorado LLC files one each year for $25. There is no separate franchise tax or annual license fee at the state level.
Is there a franchise tax on a Colorado LLC?
No. Colorado does not impose a franchise or privilege tax on LLCs. Income passes through to the owners, who pay Colorado's flat 4.40% individual income tax on their share.
How much does a Colorado registered agent cost?
Nothing to name your agent in the Articles of Organization, and $10 to change agents later. A commercial registered agent service is optional and typically costs $50 to $150 per year.
What is the cheapest way to form a Colorado LLC?
File the Articles of Organization yourself online for the $50 state fee and act as your own registered agent, which is free. You still owe the $25 Periodic Report each year and any tax registrations your activity requires.
Related
- How much does an LLC cost? (cluster hub)
- How to form an LLC in Colorado
- Colorado registered agent requirements
- Colorado Periodic Report and taxes
- Business license in Colorado
- How to dissolve an LLC in Colorado
- How to get an EIN
- S-corp vs LLC
Sources
- Colorado Secretary of State - News Release: Periodic Report fee $25 (effective July 1, 2024).
- Colorado Secretary of State - Business Division FAQs (online-only filing).
- Colorado Secretary of State - Business Home (Articles of Organization; Periodic Report).
- Colorado Revised Statutes - § 7-80-204, Articles of Organization.
- Colorado Revised Statutes - § 7-90-501, Periodic reports.
- Colorado Revised Statutes - § 7-80-802, Dissolution.
- Colorado Department of Revenue - Standard Retail License ($16 two-year; $50 deposit).
- Colorado Department of Revenue - Individual Income Tax (flat 4.40% rate).
- Colorado Department of Revenue - Sales Tax Guide.
- IRS - Get an Employer Identification Number (free EIN).
- IRS - Limited Liability Company (LLC).
- Legal Information Institute - 26 CFR § 301.7701-3, Entity classification election.
LegalGlass provides general information for educational purposes and is not a law firm or a substitute for advice from a licensed attorney or tax professional. Laws, fees, and thresholds change; verify current requirements with the Colorado Secretary of State and Colorado Department of Revenue before acting.