How to Start a Business in Florida
Everything you need to form your Florida LLC, corporation, or sole proprietorship, with exact fees, timelines, and step-by-step instructions.
Florida's low startup costs and tax-friendly environment make it an attractive place to launch a business. Forming an LLC costs just $125, and the state imposes no personal income tax on pass-through business profits. This allows business owners to reinvest earnings more efficiently than in states with income taxes.
This guide covers every step of launching your Florida business: choosing the right legal structure, forming your LLC, registering for taxes and licenses, and understanding your ongoing compliance obligations.
Choosing Your Florida Business Structure
This is the first decision and it affects everything: taxes, liability, paperwork. If you are unsure, an LLC is the right default for most Florida small businesses.
| Entity Type | Liability Protection | Taxation | Florida Filing Fee | Annual Cost | Best For |
|---|---|---|---|---|---|
| LLC | Yes | Pass-through | $125 | $138.75 Annual Report | Most small businesses |
| Corporation | Yes | Double (C-Corp) or pass-through (S-Corp) | $70 | $150 Profit Annual Report | Raising investment, stock options |
| Sole Proprietorship | No | Pass-through | $0 | $0 | Freelancers, side hustles |
| Partnership | No | Pass-through | $0 | $0 | 2+ owners (consider an LLC instead) |
8 Steps to Start Your Florida Business
- 1
Choose your business structure
LLC, corporation, or sole proprietorship. Each has different costs, tax treatment, and liability protection.
- 2
Pick and reserve your business name
Search the Florida Department of State, Division of Corporations (Sunbiz) database. Reserve for $25 (120 days).
- 3
Appoint a registered agent
Must have a physical Florida street address. Can be yourself (free) or a service ($100 to $300 per year).
- 4
File your formation documents
Articles of Organization ($125) or Articles of Incorporation for a Florida Profit Corporation ($70) with the Florida Department of State, Division of Corporations (Sunbiz).
- 5
Get your EIN from the IRS
Free, online, takes about 5 minutes. Do not pay anyone for this.
- 6
Register for a sales tax permit if you sell goods
Through the Florida Department of Revenue. State sales tax rate: 6%.
- 7
Get required licenses and permits
Florida issues no general statewide business license.
- 8
Register for Florida taxes
Personal income tax: none.
How Much Does It Cost to Start a Business in Florida?
| Item | Cost | Notes |
|---|---|---|
| LLC filing fee (Florida Department of State, Division of Corporations (Sunbiz)) Required | $125 | No guaranteed turnaround is published. The Division states online filings are processed in the order received, and... |
| Corporation filing fee Required | $70 | If forming a corporation instead |
| Annual Report Required | $138.75 | Filed each year between January 1 and May 1. A $400 late fee applies to reports received after May 1 (total $538.75). |
| Name reservation | $25 | 120 days |
| Registered agent service | $0 to $300/yr | Free if you serve as your own |
| EIN (IRS) Required | $0 | Always free |
| Business license | Varies | Florida issues no general statewide business license. |
| Operating agreement | $0 to $500+ | Free template or attorney-drafted |
| Realistic LLC total (year 1) | $125 to $563.75 |
Start a Specific Business in Florida
Florida Business Guides
Formation & Entity Types
- How to Start an LLC in Florida
- How to Start a Corporation in Florida
- Sole Proprietorship in Florida
- How to Start an S Corp in Florida (and When an LLC Should Elect)
- Registering an Out-of-State LLC or Corporation in Florida
- How to Start a Nonprofit in Florida
- How to Dissolve or Reinstate an LLC in Florida
- Florida LLC Operating Agreement
- Florida PLLC vs Professional Association (P.A.)
- How to Use Sunbiz to File, Update and Maintain a Florida Business
- How to Register a Business in Florida
- Forming a Florida LLC as a Non-US Resident
- Florida LLC Asset Protection and Privacy
Licenses, Permits & Registrations
- Florida Business License
- Florida Annual Report
- How to Get a Contractor License in Florida
- Florida Fictitious Name (DBA)
- Florida Business Name Search
- How to Get an EIN in Florida
- How to Get a Resale Certificate in Florida
- Florida Home-Based Business Laws
- Florida Certificate of Status
- How to Sell to the State of Florida
- FDACS Business Licenses
- How to Use MyFloridaLicense (DBPR)
Taxes & Compliance
- Florida Business Taxes Explained for New Owners
- Florida Workers' Comp
- Florida Sales Tax by County
- Florida Local Business Tax Receipt (BTR)
- Florida Sales Tax for New Businesses
- Florida Reemployment Tax and Payroll Taxes for New Employers
- Florida Business Rent Tax Repeal
- Florida Documentary Stamp Tax
- Florida Employer Requirements
- Florida Income Tax for Business Owners
- Florida Tangible Personal Property Tax
Costs, Money & Services
- How Much Does It Cost to Start a Business in Florida
- Best LLC Services in Florida
- Florida Registered Agent
- Opening a Business Bank Account in Florida
- Florida Business Insurance
- Florida Small Business Grants, Loans and Disaster Help in 2026
- Florida LLC Cost in 2026
County Business Licensing
- Bay County and Panama City Business License
- Brevard County Business License
- Broward County Business License
- Collier County Business License
- Escambia County and Pensacola Business License
- Hillsborough County Business License
- Lake County, Florida Business License
- Lee County Business License
- Manatee County Business License
- Marion County and Ocala Business License
- Miami-Dade County Business License
- Monroe County and Key West Business License
- Okaloosa County Business License
- Orange County, Florida Business Tax Receipt
- Osceola County Business License
- Palm Beach County Business License
- Pasco County Business License
- Pinellas County Business License
- Polk County Business License
- Sarasota County Business License
- Seminole County Business License
- St. Johns County Business License
- St. Lucie County and Port St. Lucie Business License
- Volusia County Business License
Why Start a Business in Florida?
- Florida's population was an estimated 23,462,518 as of July 1, 2025, up 8.9% from the 2020 census count of 21,538,207.
- Florida has the fourth largest economy of any US state, at roughly $1.8 trillion in current-dollar GDP for 2025.
- Florida levies no personal income tax, so LLC and S-corp profits that pass through to owners face no state income tax.
- The corporate income and franchise tax rate is 5.5% of Florida net income for tax years beginning on or after January 1, 2022.
- Forming an LLC online costs $125 total: a $100 filing fee plus the required $25 registered agent designation.
- The state sales and use tax rate is 6%, with counties adding a discretionary sales surtax on top, and registering as a sales tax dealer is free.
Florida Business Resources
Frequently Asked Questions
- How long does it take to form an LLC?
- Electronically filed documents typically post within 3 business days of processing.
- What does it cost in year one?
- Your formation fee is $125. Your first annual report costs $138.75 and is due between January 1 and May 1 of the following year.
- Can a non-resident form an LLC?
- Yes. You can file online through Sunbiz eFile, and the $125 formation fee includes a required registered agent designation.
- What is the cheapest way to start a business in Florida?
- A profit corporation costs just $70 to file, the lowest state fee. An LLC costs $125.
- Is an operating agreement required?
- No. You must file Articles of Organization to form your LLC, but an operating agreement is not required.