Louisiana LLCs cost $100 to form and $35/year for annual reports - cheapest annual fee in US. Annual report due by anniversary date. Louisiana Secretary of State processes online filings in 5-7 business days. Low annual fees and unique civil law system make Louisiana attractive for Gulf Coast operations.
Louisiana LLC Formation
Louisiana Secretary of State processes LLC formations. $100 filing fee (standard mid-range).
Standard processing: 5-7 business days. Expedited processing: +$30 (24-hour). Same-day: Not available online.
Name Requirements
Must include "Limited Liability Company", "L.L.C.", or "LLC". Louisiana accepts abbreviations.
Restricted words: Bank, Trust, Insurance. Louisiana rejects 15% of names for similarity to existing entities.
Name Availability Search
Search Louisiana commercial database at geauxbiz.sos.la.gov. Free search.
Name reservation: $25, holds 60 days. Can be renewed for another $25 (maximum 120 days total).
Formation Process
File Articles of Organization with Louisiana Secretary of State. Online filing at geauxbiz.sos.la.gov or mail to Baton Rouge.
Required: LLC name, registered agent with LA address, organizer information. Louisiana follows simplified LLC statute.
Registered Agent Requirement
Must have Louisiana registered agent with physical LA address (no PO boxes). Individual or entity.
Can use yourself if you have LA address. Professional registered agent: $100-200/year.
Annual Report
Due on anniversary of formation date. $35 fee (cheapest annual report fee in United States).
Example: LLC formed June 15, 2024 must file annual report by June 15, 2025. Online filing available year-round.
Why $35 Annual Fee
Louisiana keeps annual fees minimal to encourage business formation and economic development. Significantly cheaper than neighboring states.
Compare: Texas $0 (no report), Mississippi $25, Alabama $100, Arkansas $150. Louisiana $35 balances revenue and business-friendliness.
LA vs Other Southern States
Louisiana $100 + $35/year vs Texas $300 + $0/year: TX cheaper first year, LA cheaper long-term (year 6+ breakeven).
Louisiana $100 + $35/year vs Florida $125 + $138.75/year: LA saves $103.75/year ongoing.
Civil Law System
Louisiana only US state with civil law system (based on French Napoleonic Code, not English common law).
LLCs follow Louisiana LLC Law (revised 2016) which simplified formation. Unique legal environment but LLC structure standardized.
Tax Considerations
Louisiana income tax: 1.85-4.25% graduated brackets (moderate rates). Pass-through taxation like all LLCs.
Sales tax: 4.45% state + local (varies by parish, typically 8-10% combined). Franchise tax eliminated for most LLCs.
Franchise Tax Exemption
Louisiana eliminated franchise tax for most small businesses. LLCs under $1.5M revenue exempt.
Above $1.5M: $110 minimum + 0.275% on Louisiana capital. Still lower than most states.
Operating Agreement
Not required by LA law but HIGHLY RECOMMENDED for all LLCs.
Louisiana courts enforce Operating Agreement provisions. Important due to civil law differences from other states.
Foreign LLC
Out-of-state LLCs doing business in Louisiana must register as foreign LLC. $150 filing fee.
Annual report still required: $35/year on anniversary of foreign registration.
When Foreign Registration Required
Maintaining office in LA, employing LA workers, owning LA property, regularly conducting business in state.
Online sales to LA customers typically don't require foreign registration (no physical presence).
Common Mistakes
Confusing civil law with LLC formation: Louisiana LLC law is standardized. Civil law mainly affects contracts, property, family law.
Missing anniversary date: Louisiana uses exact formation date (not first of month). Track carefully.
Overlooking sales tax: Combined state + parish rates often 9-10%. Factor into pricing for Louisiana retail businesses.
When LA Makes Sense
Choose Louisiana LLC if: Gulf Coast operations (oil, gas, shipping), New Orleans area business, lowest annual fees priority, tourism/hospitality industry.
Best for: Oil and gas services, shipping/logistics (Port of New Orleans), tourism businesses, restaurants, hospitality.
Consider alternatives if: No Louisiana nexus, need common law legal framework, prefer no annual report (Texas).
Oil, Gas & Port Industries
Louisiana major hub for oil, gas, petrochemical industries. Port of New Orleans handles significant international shipping.
Energy service companies, logistics firms benefit from established Gulf Coast infrastructure and supply chains.
Tourism & Hospitality
New Orleans tourism generates billions annually. Hotels, restaurants, tour operators thrive in Louisiana's unique cultural market.
Low annual fees particularly beneficial for hospitality businesses with tight margins.
Trademark Lens verifies Louisiana LLC name availability before $100-125 formation costs.