How to form an LLC in Tennessee

In Tennessee, the recurring column is built from one scheduled charge: the Annual report fee, $300 minimum per year. It counts $300 in the one-year view and $1,500 across five years, one payment for each year the cycle runs. If the amount or the cycle changes, every total on this page moves with it, which is why the checked record and its verification date are printed next to the figures.

How to read the recurring fee

Tennessee calls this charge the annual report fee. That name is the filing you calendar, pay, and confirm, and it is not interchangeable with an annual report, statement of information, or entity tax in another state. Business entities are required to file an annual report with the state by April 1 each year. The office named in the checked record is Tennessee Secretary of State, Division of Business and Charitable Organizations; confirm the exact form name there before the first deadline, because paying the right amount on the wrong filing does not keep an LLC in good standing. Budget $300 on the yearly cycle shown above, and keep the state confirmation with the formation records.

Formation checklist

The steps below follow the Tennessee record on this page: formation through Tennessee Secretary of State, Division of Business and Charitable Organizations, the charge named Annual report fee, and the due rule checked on 2026-10-04.

1. Choose the legal name. Search the entity records held by Tennessee Secretary of State, Division of Business and Charitable Organizations and check the Tennessee name rules before printing cards, signing a lease, or opening accounts.
2. Choose the registered agent. The agent needs a qualified Tennessee address and must be available to receive official papers. Decide whether that will be you, another eligible person, or a paid service.
3. File the formation document. Submit the form through Tennessee Secretary of State, Division of Business and Charitable Organizations and pay articles of organization, $300 minimum.
4. Write the operating agreement. Record owners, contributions, authority, money rules, and exit terms. Keep it with company records even if the state does not collect it.
5. Get tax and bank accounts in order. Apply for an EIN when required, open business banking, and separate personal money from company money from day one.
6. Calendar the recurring charge. Business entities are required to file an annual report with the state by April 1 each year. Add a reminder well before the deadline and save the state confirmation after each filing.

What the state total does not include

The five-year figure on this page is a state formation and recurring-fee total. It does not include income tax, franchise tax beyond a charge explicitly named in the source record, sales tax, payroll tax, local business licenses, industry permits, insurance, bookkeeping, or professional fees.

If the business will operate in another state, price foreign registration there as well. A formation in Tennessee does not remove duties where employees, property, or sales activity create a second registration obligation.

Before you pay for help

A filing service can be worth paying for when your time is tight or the ownership is not simple. Compare the service quote with the state-only baseline in the LLC True Cost Calculator. If a quote bundles a registered agent, ask for the renewal price. Low first-year promotions can become the largest line in year two.

State notes from the checked record

• SOS FAQ states the annual report fee increases by $50 per member for every member over six, up to $3,000.
• The Department of Revenue franchise and excise tax is separate from the SOS annual report fee; the Department states the minimum franchise tax is $100.

Next steps

Run the five-year calculator, read the registered agent guide, and keep the recurring report checklist with your formation records.