Indiana LLCs cost $95 to form and $32 every 2 years for biennial reports - extremely affordable. Report due every odd year on anniversary. Indiana Secretary of State processes online filings in 5-7 business days. Biennial (not annual) system cuts compliance burden in half compared to annual-report states.
Indiana LLC Formation
Indiana Secretary of State processes LLC formations. $95 filing fee (affordable).
Standard processing: 5-7 business days. 24-hour expedite: +$50. Same-day: +$100.
Name Requirements
Must include "Limited Liability Company", "L.L.C.", or "LLC". Not case-sensitive.
Restricted words: Bank, Trust, Insurance, University. Indiana SOS rejects 14% of names for similarity to existing businesses.
Name Reservation
Search Indiana Business Entity Search at inbiz.in.gov. Free.
Name reservation: $20, holds 120 days. Can't extend but can re-reserve.
Formation Process
File Articles of Organization with Indiana Secretary of State. Online filing at inbiz.in.gov or mail to Indianapolis office.
Required: LLC name, registered agent with IN address, principal office address, organizer information.
Registered Agent Requirement
Must have Indiana registered agent with physical IN address (no PO boxes). Can be individual or entity.
Can use yourself if you have IN address. Professional registered agent: $100-200/year.
Biennial Report
Due every ODD year (2025, 2027, 2029) on anniversary of formation. $32 fee. Skip even years entirely.
Example: LLC formed June 2024 files report June 2025, skips 2026, files June 2027, skips 2028, files June 2029.
Why Biennial System Saves Time
File once every 2 years instead of annually. Cuts compliance burden 50%. Only 5 filings in 10 years vs 10 filings for annual states.
Cost comparison 10 years: IN $160 (5 × $32) vs IL $750 (10 × $75) vs CA $8,000 (10 × $800).
IN vs Other Midwest States
Indiana $95 + $16/year (averaged) vs Illinois $150 + $75/year: IN saves $59/year.
Indiana $95 + $16/year vs Ohio $99 + $0/year: OH slightly cheaper but IN offers better central location.
Central Location Advantage
Indiana at crossroads of Midwest. Easy access to Chicago, Detroit, Cincinnati, Louisville, St. Louis.
Lower costs than Illinois or Michigan while maintaining central distribution hub location.
Tax Considerations
Indiana income tax: 3.15% flat rate (very low and simple). Pass-through taxation like all LLCs.
No state franchise tax. No gross receipts tax. One of simplest tax structures in US.
Indianapolis Additional Requirements
Indianapolis businesses need business tax account. Usually $25-75/year depending on gross receipts.
Other IN cities have minimal or no additional business taxes.
Operating Agreement
Not required by IN law but HIGHLY RECOMMENDED for all LLCs.
Indiana courts enforce Operating Agreement terms. Worth legal review for multi-member LLCs.
Foreign LLC
Out-of-state LLCs doing business in Indiana must register as foreign LLC. $125 filing fee.
Biennial report still required: $32 every 2 years (odd years only).
When Foreign Registration Required
Maintaining office in IN, employing IN workers, owning IN real estate, regularly conducting business in state.
Online sales to IN customers typically don't require foreign registration (no physical presence).
Common Mistakes
Filing in even years: Indiana biennial reports due ODD years only. Don't file in 2026, 2028, 2030. Only 2025, 2027, 2029.
Not setting 2-year reminder: Easy to forget with 2-year gap. Set calendar reminder for odd years only.
Assuming annual filing: Many entrepreneurs expect annual reports. Indiana's biennial system is unusual (only few states use it).
When IN Makes Sense
Choose Indiana LLC if: Want low cost with minimal compliance, central Midwest location important, logistics/distribution business (crossroads advantage), value simple 3.15% flat tax.
Best for: Distribution centers, logistics companies, manufacturing with Midwest markets, businesses serving multiple Midwest states.
Logistics & Distribution
Indiana known as "Crossroads of America." Interstate highways I-65, I-69, I-70, I-74 all cross state.
Indianapolis within 1-day truck drive of 75% of US population. Major logistics hub for ecommerce, distribution.
Manufacturing Belt Access
Close proximity to Chicago, Detroit, Cincinnati manufacturing centers. Easy supplier and customer access.
Lower costs than Illinois/Michigan while maintaining central location. Biennial filing adds to simplicity.
Trademark Lens verifies Indiana LLC name availability before $95-115 formation costs.