TN · LLC formation
Form LLC in Tennessee
Form a company in Tennessee: $300 state filing fee, 1-2 business days online with the Tennessee Secretary of State. $300 state filing fee with no state income tax on wages. ClearFormation includes in-state agent service in every plan.
Business Formation + Registered Agent
+ $300 TN state filing fee
- Tennessee formation ($149 one-time)
- TN Registered Agent — 1 year included ($149/yr after)
Tennessee formation at a glance
Key fees, timing, and compliance rules for forming a limited liability company in Tennessee with the Tennessee Secretary of State.
| State filing fee | $300 |
|---|---|
| Processing time | 1-2 business days online |
| Filing agency | Tennessee Secretary of State |
| Registered agent | Required — physical TN street address |
| Annual report | Annual Report — $300 minimum, due 1st day of 4th month after fiscal year end |
| Franchise / business tax | Franchise and Excise Tax applies |
| Registered agent (ClearFormation) | Included with formation |
| Operating agreement | Included with ClearFormation |
$50 per member, $300 minimum, $3,000 maximum.
How to form an LLC in Tennessee
There are seven steps. File Articles of Organization with the Tennessee Secretary of State, pay the $300 state fee, and appoint a statutory agent with a physical TN address. Most filings finish in 1-2 business days online.
- 1
Step 1: Choose a compliant name
- Your name must include "LLC" or "Limited Liability Company".
- It must be unique on Tennessee Secretary of State records.
- Search before you file.
- Words like "bank" may need approval.
- ClearFormation runs a name check before we submit your Articles.
- 2
Step 2: Appoint a statutory agent
- Tennessee requires an in-state contact with a physical TN street address.
- They must accept lawsuits and state mail during business hours.
- Most founders use a commercial agent for privacy.
- ClearFormation includes agent service in all 50 states.
- 3
Step 3: File Articles of Organization
- File with the Tennessee Secretary of State and pay $300.
- Processing is usually 1-2 business days online.
- You will list your name, agent, principal address, and management type.
- ClearFormation prepares and files online for you.
- 4
Step 4: Create an operating agreement
- Not legally required in Tennessee, but every company should have one.
- It sets ownership, voting, and profit splits.
- Banks often ask for it.
- Included with ClearFormation.
- 5
Step 5: Apply for an EIN
- You need an EIN to open a US bank account, hire staff, and file federal taxes.
- The IRS issues EINs for free.
- ClearFormation can file Form SS-4 for you — including for non-US founders without an SSN.
- 6
Step 6: Get the licenses and permits your business needs
- State approval does not replace city, county, or professional licenses.
- Check local Tennessee rules for your industry.
- Contractors, restaurants, and healthcare often need extra permits.
- 7
Step 7: File annual reports and stay compliant
- Tennessee requires the Annual Report ($300 minimum), due 1st day of 4th month after fiscal year end.
- Franchise and Excise Tax applies.
- ClearFormation tracks deadlines and pre-fills your report.
Form your TN LLC now
We prepare the filing, include a TN registered agent, and walk you through the rest.
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Documents to gather before you start
- Proposed company name (with LLC designator) — search Tennessee Secretary of State records first
- Registered agent name and TN street address
- Principal business address (can be outside Tennessee in many cases)
- Member or manager names for your operating agreement
- Payment method for the $300 state fee
You do not need a US Social Security Number to form in Tennessee. You will need an EIN before most US banks open an account.
Typical timeline after you file
- Day 0 — Submit filing. Pay $300 to the Tennessee Secretary of State. Online filings in Tennessee usually process in 1-2 business days online.
- Week 1 — Get stamped articles. Save the approved formation document. You need it for banking.
- Week 1–2 — EIN and bank account. Apply for a federal tax ID, then open a business checking account. See our EIN guide.
- Week 2–4 — Operating agreement and licenses. Sign your internal rules. Check city and county license rules for your industry.
- Ongoing — Compliance calendar. File the Annual Report ($300 minimum), due 1st day of 4th month after fiscal year end.
Fees and ongoing requirements in Tennessee
Forming in Tennessee has three cost layers: the one-time state filing fee, ongoing state compliance (the annual report and any franchise tax), and federal-level requirements like an EIN.
One-time formation cost
The state filing fee is $300, paid to the Tennessee Secretary of State when you submit your Articles of Organization. $50 per member, $300 minimum, $3,000 maximum. You'll also want an operating agreement to define ownership and management — included with every ClearFormation plan.
Ongoing compliance costs in Tennessee
The Annual Report is $300 minimum, due 1st day of 4th month after fiscal year end. Franchise and Excise Tax applies. LLCs are pass-through by default, so profits flow to your personal federal return unless you elect S-Corp or C-Corp taxation.
What's included with ClearFormation
Tennessee registered agent service is bundled into every formation plan — no separate annual RA fee. EIN filing is available as an optional add-on (we can file it for non-US founders without an SSN). An operating agreement template is included so you have the governance paperwork banks and partners expect from day one.
Fees reviewed against Tennessee Secretary of State (last reviewed June 2026).
Ready to file in Tennessee?
State fee is $300. Our formation plan includes your first year of TN registered agent service.
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Next steps after formation in Tennessee
Getting the stamped Articles of Organization back from the Tennessee Secretary of State is the legal birth of the company — but it's only step one. The next 30 days are where most founders cut corners and create problems that surface at tax time or when a bank asks for paperwork. Here's the order we recommend for your new TN company.
1. Adopt an operating agreement
The operating agreement is your internal rulebook: ownership, voting, profit splits, and buyout rules.
- Not required in Tennessee, but every company should have one.
- Banks routinely ask for it when you open a business account.
- ClearFormation includes a template with every formation.
2. Get your EIN and open a business bank account
Apply for a federal tax ID, then open a dedicated checking account. Commingling personal and business funds weakens your liability shield.
- Bring stamped articles, EIN letter, operating agreement, and ID.
- EIN filing is available as an optional add-on through ClearFormation.
3. Lock in tax and compliance calendars
- Federal: Schedule C (single-member) or Form 1065 + K-1s (multi-member).
- State: Annual Report ($300 minimum), due 1st day of 4th month after fiscal year end.
- Franchise and Excise Tax applies
- S-corp election: IRS Form 2553 within 75 days of formation if desired.
4. BOI report — only if foreign-formed
Domestic US entities are exempt from FinCEN BOI reporting after March 2025. A Tennessee-formed company does not file. Foreign entities registering in the US still must file within 30 days.
Annual cadence: Annual Report renewal, federal tax return, and an updated member ledger if ownership has changed. Keep business and personal finances separate — that's what preserves the liability shield.
Start your TN LLC today
Name check, state filing, registered agent, and operating agreement in one checkout.
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What is a limited liability company in Tennessee?
A Tennessee limited liability company is a state-filed entity that separates personal assets from business debts and defaults to pass-through federal tax. For the full definition, pros and cons, and entity types, see what is an LLC.
No state income tax on wages and central US logistics. Form in Tennessee when you operate here, hold Tennessee property, or want TN fees and rules. Non-US founders can own 100% with no residency requirement.
Benefits of forming in Tennessee
- Limited liability — members are generally not personally liable for company debts and lawsuits.
- Pass-through tax — profits flow to members' returns unless you elect C-Corp or S-Corp treatment.
- Flexible ownership — single-member or multi-member; no member cap like S-Corps.
- US banking — formation plus EIN unlocks Mercury, Relay, Stripe, and other business accounts.
Pros and cons in Tennessee
Drawbacks to weigh before you file:
- Self-employment tax on active LLC profits (unless you elect S-Corp payroll later).
- Tennessee franchise or business tax: Franchise and Excise Tax applies.
- Not ideal for US venture capital — investors typically expect a Delaware C-Corp.
Entity types in Tennessee
Most TN filers choose a single-member or multi-member LLC and record member- vs manager-managed structure in the operating agreement. Licensed professions may need a PLLC — confirm with the Tennessee Secretary of State.
Is this structure right for you?
Compare alternatives before filing:
- LLC vs sole proprietorship — liability shield vs simplicity.
- C-Corp in Tennessee — better for VC and stock options.
- S-Corp vs LLC — payroll tax savings with added compliance.
- Best state to form an LLC — if you're not sure Tennessee is the right state.
Before you file in Tennessee
Before you file with the Tennessee Secretary of State, confirm:
- A distinguishable name with the required LLC designator
- An in-state statutory agent with a physical TN street address
- The $300 state filing fee
- Member-managed vs manager-managed structure (record in your operating agreement)
Non-US founders do not need a US address or SSN. Only the agent must be in-state.
Out-of-state companies doing business in Tennessee
If your company was formed elsewhere but you operate in Tennessee, you typically need to foreign-qualify with the Tennessee Secretary of State. That means filing a Certificate of Authority (or equivalent), appointing an in-state statutory agent, and paying a state fee. Domestic formation in TN is different — you file Articles of Organization as a new entity.
Tennessee Secretary of State Contact Information
File your Articles of Organization with the Tennessee Secretary of State. Search their business entity database to confirm name availability before you submit. After approval, keep stamped formation documents with your operating agreement and EIN letter — you need them for banking and compliance.
Taxes for your company in Tennessee
Tennessee obligations: Franchise and Excise Tax applies; Annual Report ($300 minimum) due 1st day of 4th month after fiscal year end. Federal pass-through rules, self-employment tax, and S-Corp elections are covered in our LLC tax guide. Operating in other states? See foreign qualification in Tennessee.
Tennessee Business Resources
Official TN filings go through the Tennessee Secretary of State. Use these starting points when you verify fees, search entity names, or check good standing before banking or contracting.
- Tennessee Secretary of State — file Articles of Organization, amendments, and annual report filings.
- Entity name search — confirm your business name is available before filing ($300 state fee is non-refundable on rejected names).
- Statutory agent in Tennessee — required on every formation and foreign qualification filing.
- Form a C-Corp in Tennessee — if you are raising venture capital instead of using this structure.
Common formation mistakes in Tennessee
- Skipping the operating agreement. Banks and courts expect written governance. Included with ClearFormation.
- Mixing personal and business funds. Weakens your liability shield.
- Missing the annual report. Can cost you good standing or trigger administrative dissolution.
- Acting as your own registered agent while traveling. Use a commercial TN registered agent.
Who usually forms in Tennessee?
Most TN filings come from founders who live or work in the state. Common examples:
- Freelancers and consultants who want a liability shield
- Local shops, agencies, and professional services firms
- Real-estate investors holding property in Tennessee
- E-commerce brands with customers or inventory in the US
- Non-US founders who need a US entity and bank account
Pick Tennessee when you have real ties here. If you only operate elsewhere, your home state (or the state where you work) is usually cheaper than forming in TN and then foreign-qualifying.
State approval vs. local licenses
Approval from the Tennessee Secretary of State creates your entity. It does not replace city, county, or professional licenses.
Restaurants, contractors, childcare, finance, and healthcare often need separate permits. Many cities require a general business license even for home-based companies. Budget time and fees for local rules after your TN filing is approved.
LLC vs C-Corp in Tennessee: which should you form?
Most Tennessee founders ask this exact question. Both entities give you the same personal-liability shield. The real differences are taxes, ownership, and the kind of capital you can raise.
Form an LLC in Tennessee if
- • You're owner-operated or have a small group of founders and want pass-through tax (no corporate-level tax).
- • You don't plan to raise from US institutional venture capital.
- • You want minimal ongoing paperwork — no required board meetings, no shareholder formalities.
- • You're a consulting business, ecommerce store, agency, real-estate holding company, or freelancer.
Form a C-Corp in Tennessee if
- • You plan to raise from venture capital, angels via SAFEs, or eventually go public.
- • You want to issue stock options to employees (an ISO plan requires a C-Corp).
- • You need multiple share classes (preferred for investors, common for founders).
- • You're targeting a strategic acquisition where the acquirer expects a clean cap table.
Raising venture capital? Most US VC-backed startups incorporate as a Delaware C-Corp — see our LLC vs C-Corp guide. An LLC in Tennessee is usually the right fit for operating businesses that won't take priced VC rounds.
Tennessee formation FAQs
Also for Tennessee founders: Form a C-Corp in Tennessee · Tennessee registered agent
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