North Dakota is a straightforward, low-cost state to form an LLC in, with fast processing and a light yearly filing burden. This guide walks you through what it costs on each PowerLaunch plan, what North Dakota expects from you every year, and when a different state might suit your business better.
Who North Dakota suits
North Dakota works well if you have an actual reason to be there, such as a customer base, a supplier, or a physical presence in the state. It also suits founders who want a simple, low-fee state without a lot of extra paperwork. The filing fee is modest, processing is quick, and the yearly upkeep is one of the lighter ones among US states.
If you have no connection to North Dakota and you are forming purely for the lowest possible ongoing cost or the strongest privacy protections, Wyoming or Delaware are usually better picks. More on that below.
What it costs in year one
North Dakota's state filing fee for an LLC is $135. For a corporation, it is $100. You pay this on top of your PowerLaunch plan fee, at cost, with no markup.
| Plan | Plan fee | North Dakota LLC fee | Year one total |
|---|---|---|---|
| Launch | $295 | $135 | $430 |
| Run | $1,995 | $135 | $2,130 |
| Scale | $2,995/yr or $329/mo | $135 | $3,130/yr or $329/mo + $135 |
If you want your EIN faster than the standard timeline, the expedited EIN add-on is $295 on Launch and Run. Scale already includes expedited EIN.
What it costs after year one
North Dakota requires a yearly filing to keep your LLC in good standing, with a minimum cost of $50. This is separate from your PowerLaunch plan renewal.
| Plan | Plan renewal | North Dakota yearly filing | Total yearly cost |
|---|---|---|---|
| Launch | $295 | $50 | $345 |
| Run | $1,995 | $50 | $2,045 |
| Scale | $2,995/yr or $329/mo | $50 | $3,045/yr or $329/mo + $50 |
Run and Scale include the annual state report filing as part of the plan, so you are not doing this filing yourself. You still owe the state's $50 minimum, but the paperwork is handled for you.
Registered agent requirement
North Dakota, like every US state, requires your LLC to keep a registered agent with a physical address in the state. This agent receives legal and state correspondence on your behalf. All three PowerLaunch plans include a registered agent, so this is covered from day one and renews automatically with your plan.
Annual report
North Dakota expects a yearly filing to keep your LLC active, tied to the $50 minimum cost mentioned above. Missing this filing can put your LLC out of good standing, which can cause problems with banks and with any state licenses tied to your business. On Run and Scale, PowerLaunch files this for you as part of the plan. On Launch, you are responsible for tracking and filing it yourself, so mark your calendar or check the state's site for the exact due date each year.
State income tax position
North Dakota has a state income tax, and it applies to businesses with income sourced to the state. If your LLC is a single-member LLC owned by a non-US founder with no US trade or business and no state-sourced income, your state tax exposure may be minimal, but this depends heavily on your specific facts. Rules on nexus, sourcing, and filing thresholds vary and can change, so check North Dakota's state tax site or talk to a tax professional about your situation before assuming no filing is needed.
Separately, remember your federal obligations. A foreign-owned single-member LLC generally needs to file Form 5472 with a pro forma 1120 by 15 April each year, regardless of which state you form in. As of the current FinCEN interim rule for 2026, US-formed companies are exempt from BOI reporting, but this is worth checking on the state and federal sites since rules like this can shift.
When Wyoming or Delaware is the better choice
North Dakota is a fine choice if you have a real connection to the state. If you do not, here is how it stacks up against the two most common alternatives for non-resident founders.
| Factor | North Dakota | Wyoming | Delaware |
|---|---|---|---|
| Filing fee | $135 (LLC) | Lower, check current fee | Moderate, check current fee |
| Yearly state cost | $50 minimum | No state income tax, low yearly fee | Franchise tax, can scale with shares for corporations |
| State income tax | Yes, on state-sourced income | None | None on out-of-state income for LLCs, corporate tax applies to Delaware-sourced income |
| Best suited for | Founders with a real North Dakota connection | Founders with no state-specific tie, wanting low ongoing cost | Startups planning to raise venture capital, since investors are familiar with Delaware corporate law |
| Formation speed | About 1 week | Often 1 to 3 business days | Usually 1 to 2 weeks |
If your only goal is the lowest ongoing cost with no state income tax exposure, Wyoming is usually the simpler pick. If you are raising money from US investors and expect to issue preferred stock, Delaware's corporate law and investor familiarity make it the standard choice for a C-Corporation. North Dakota makes the most sense when you have an operational reason to be there, not just a search for the cheapest option.
Step-by-step through PowerLaunch
- Pick your plan on the PowerLaunch site, Launch, Run, or Scale, based on how much bookkeeping and tax support you want.
- Choose North Dakota as your formation state at checkout, and confirm LLC or corporation.
- Pay your plan fee plus the $135 state filing fee, at cost.
- PowerLaunch files your formation documents, prepares your operating agreement or bylaws, and sets up your registered agent and virtual business address.
- Your EIN application is filed. Standard processing for non-resident owners without an SSN typically takes 2 to 4 weeks, or add expedited EIN for a faster result.
- 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, not PowerLaunch's.
- On Run or Scale, your MyCG.AI dashboard is set up with transaction tracking, and your licensed tax professional consultation is scheduled.
- Mark your North Dakota annual report and your federal 5472 and pro forma 1120 deadlines, or let Run or Scale handle the state filing for you.
What to do next
If you are ready to form your North Dakota LLC or corporation, head to powerlaunch.solutions/signup to pick your plan and get started. If you want to talk through North Dakota versus Wyoming or Delaware for your specific situation first, book a free 20-minute consultation at powerlaunch.solutions/book.
