How do I form an LLC in Arizona?

Arizona LLCs are governed by the Arizona Limited Liability Company Act, A.R.S. Title 29, Chapter 7 (effective Sept. 1, 2019, replacing prior Chapter 4).

1. Filing Fee and Processing Time

Articles of Organization (Form L010): $50 filing fee with the Arizona Corporation Commission (ACC).

Processing: 14-16 business days standard. Expedited service: $35 extra for 5-7 day processing.

2. Name Reservation

Optional. 120-day reservation for $45 ($10 + $35 expedited). Name must include "Limited Liability Company," "Limited Company," "LLC," "L.L.C.," "LC," or "L.C." (A.R.S. § 29-3112).

3. Statutory Agent

Required under A.R.S. § 29-3115.

Must be an Arizona resident individual OR an entity authorized to do business in AZ, with an AZ street address.

Statutory Agent Acceptance (Form M002) must be filed with the Articles.

4. Publication Requirement — Unique to AZ

Required for LLCs whose statutory agent is outside Maricopa or Pima County.

Within 60 days of approval, publish a notice of formation in a newspaper of general circulation in the county for 3 consecutive publications.

File an Affidavit of Publication with the ACC.

Maricopa (Phoenix) and Pima (Tucson) counties are EXEMPT — the ACC publishes online for free in these counties.

Cost in other counties: ~$30-$300 depending on newspaper.

5. Operating Agreement

Permitted but not required (A.R.S. § 29-3105). Not filed with the state.

Recommended for multi-member LLCs.

6. NO Annual Report

Arizona does NOT require an annual report for LLCs (unlike corporations which do). One of the simplest ongoing maintenance regimes in the country.

7. State Taxes

Arizona has a flat 2.5% individual income tax (since 2023, one of the lowest flat rates) on pass-through LLC income.

LLCs taxed as C-corps pay 4.9% Arizona corporate income tax.

Transaction Privilege Tax (TPT) (Arizona's sales tax) registration if engaged in taxable business activity.

8. Federal EIN

Required for multi-member LLCs and any LLC with employees.

9. Professional LLCs (PLLCs)

Licensed professionals form a regular LLC; specific licensure rules from the relevant board (e.g., physicians under A.R.S. § 32-1401) apply.

10. Local Business Licenses

Most AZ cities (Phoenix, Tucson, Mesa, etc.) require local TPT licenses and sometimes general business licenses.

This is legal information, not legal advice.