Arizona is a low-cost, no-annual-report state that suits founders who want a simple LLC without yearly state paperwork. This guide covers what Arizona actually costs in year one and after, the publication requirement most new owners miss, and when Wyoming or Delaware makes more sense instead.
Who Arizona suits
Arizona works well if you want a US LLC with no state renewal fee for later years, and you are comfortable with a one-time publication step after formation. It is a reasonable pick for a service business, a small e-commerce brand, or a holding entity that does not need Delaware-style corporate law or heavy investor familiarity. If you plan to raise venture money later through a C-Corporation, Delaware is usually the better starting point, and Wyoming is often the better pick if your only goal is the lowest ongoing cost with no publication step at all. Check the state's site for the current fee and rule before you file, since these can change.
What it costs in year one
Arizona's LLC filing fee is $85. Your total year one cost on PowerLaunch is the plan price plus that state fee.
| Plan | Plan price | Arizona filing fee | Year one total |
|---|---|---|---|
| Launch | $295 | $85 | $380 |
| Run | $1,995 | $85 | $2,080 |
| Scale | $2,995/yr or $329/mo | $85 | $3,080/yr |
If you form a corporation instead of an LLC, the Arizona filing fee is $60, so subtract $25 from each total above. State fees are paid at cost and are never refundable, even if you later dissolve the company.
Yearly cost after year one
Arizona does not charge a yearly LLC report fee or a franchise minimum, so your state-level cost after formation is $0 in most cases. Corporations may have different requirements, so check the state's site for the current rule if you are forming a corporation rather than an LLC. Your only recurring costs going forward are your PowerLaunch plan renewal and, for LLCs owned by non-US residents, the federal filings described below.
Registered agent requirement
Arizona requires every LLC and corporation to keep a registered agent with a physical Arizona address on file. This agent receives legal and state mail on your behalf. PowerLaunch includes registered agent service on every plan, so this is handled automatically from formation onward and does not require you to have a US address of your own.
The publication requirement
This is the step most new owners overlook. In most Arizona counties, you must publish a notice of your LLC's formation in an approved local newspaper for a set number of consecutive weeks after your Articles of Organization are approved. A small number of counties, including Maricopa and Pima, are exempt because the state publishes the notice for you at no extra cost. If your LLC is formed in a county that requires publication, you will need to arrange it directly with an approved newspaper in that county, and there is a separate cost for this outside of PowerLaunch's fees. Check the state's site or the newspaper's listing for the current requirement and cost, since these vary by county and can change.
Annual report
Arizona LLCs do not file a yearly annual report with the state, which is one reason the state is popular for keeping ongoing costs low. Arizona corporations do have separate annual filing obligations, so if you choose a corporation structure, check the state's site for the current report and fee schedule.
State income tax, in general terms
Arizona has a state income tax that applies to income earned within the state. For a non-US founder running a business with no physical presence, employees, or Arizona-based customers, your Arizona-level tax exposure is often minimal, but this depends heavily on where you operate from and how your income is sourced. This is a general description, not tax advice for your situation, and rules can vary by activity type and change over time. A licensed tax professional consultation is included on the Run and Scale plans, and this is the right venue to walk through your specific facts.
Federal filings that apply regardless of state
If your LLC is single-member and foreign-owned, the state you form in does not change your federal obligation to file Form 5472 with a pro forma 1120 by April 15 each year. Under the current 2026 interim FinCEN rule, US-formed companies are exempt from BOI reporting, so this is one less filing to track. These federal rules apply the same way whether you form in Arizona, Wyoming, or anywhere else, so they should not be the deciding factor between states.
When Wyoming or Delaware fits better
Choose Wyoming instead if your priority is the lowest possible ongoing cost with no publication step and strong owner privacy. Choose Delaware instead if you are forming a C-Corporation with plans to raise investor money, since Delaware's corporate law and investor familiarity are the industry default for that path. Arizona sits in between: cheaper long-term than states with annual report fees, but with the added one-time publication step that Wyoming does not require.
Step-by-step through PowerLaunch
- Pick your plan and go to checkout at powerlaunch.solutions/signup.
- Choose Arizona as your formation state and confirm LLC or corporation.
- Submit your founder details for the Articles of Organization, EIN application, and operating agreement.
- PowerLaunch files your formation documents; expect roughly 2 to 3 weeks of processing for Arizona.
- Your EIN is filed once formation is approved; non-resident owners without an SSN typically see 2 to 4 weeks, or faster with the expedited EIN add-on.
- If your county requires publication, PowerLaunch will flag this so you can arrange it with an approved local newspaper.
- Once your EIN is issued, PowerLaunch can introduce you to Mercury, Wise Business, or Relay for a business bank account; approval is the bank's decision.
- On Run or Scale, your bookkeeper or tax professional consultation gets scheduled to cover your Form 5472 filing and any Arizona-specific questions.
What to do next
If you are ready to file, start at powerlaunch.solutions/signup and select Arizona as your state. If you want to talk through Arizona versus Wyoming or Delaware for your specific plans first, book a free 20-minute consultation at powerlaunch.solutions/book.
