Arizona is quickly becoming one of the most friendly states in the U.S for new entrepreneurs as it maintains a low cost of living with a business friendly policies.
Additionally there is no critical regulatory framework and new business owners are always welcomed which further illustrates why Arizona attracts new business owners even from outside the country.
If you are a U.S. based entrepreneur, or a non-resident looking to expand in the American market, Arizona offers a Limited Liability Company (LLC), which with its advantages of legal protection, tax benefits, and operational flexibility, is a great option for you.
In this article, Bizstartz walks you through to form an LLC in Arizona step-by-step, detailing the requirements and costs along with compliance while explaining how we assist non-resident founders.
Why choose Arizona for your LLC?
Arizona emerges for entrepreneurs as one of the states with low business costs and little to no regulatory burden. This is the reason why a large number of startups and small businesses are opting for Arizona as their business base.
No Franchise Tax: Arizona is one of the states with no franchise tax and LLCs are not charged franchise tax like in Texas and California, this tax exemption saves businesses hundreds to thousands every year.
No Annual Report Requirement: Arizona LLCs don’t have to file an annual report or pay annual reporting fees which slashes the costs and tasks for recurring compliance.
Affordable Startup Costs: With a low filing fee of $50 and simple online filing, launching an LLC in Arizona is one of the most cost-effective options.
Business-Friendly Climate: Arizona offers a thriving ecosystem for businesses in technology, healthcare, logistics, real estate, and manufacturing.
Fast Growing Population: Cities like Phoenix and Tucson are experiencing rapid population growth, creating more opportunities for B2C and service-based businesses.
Also, a remarkable benefit for foreign business owners who are not accustomed to the U.S. legal framework is Arizona’s streamlined filing procedure and minimal regulatory constraints.
Step 1: Your LLC must come with a unique name
Your LLC name is the face of your Company. As per the regulations of Arizona, the business name must not be deceptively similar to other businesses operating within the state.
Main considerations:
- The name must include “Limited Liability Company,” “LLC,” or “L.L.C.”
- The name must not be deceptively similar to registered businesses operating within Arizona.
Tip from Bizstartz:
If you want to hold onto a name for your LLC while you prepare to set it up, you can reserve a name for up to 120 days in Arizona with a Name Reservation Application for just $10.
Step 2: Appoint a Registered Agent
Every LLC in Arizona is required to have a Registered Agent (also known as a registered agent). This person or business will receive legal documents and other important mail from the government for your business.
Statutory Agent Requirements:
- Must have a physical address in Arizona (not a P.O. Box).
- Must be available during normal business hours.
- Can be an individual resident or a legally authorized business entity.
Why It’s Important:
If you do not have a Statutory Agent, you risk losing your LLC and good standing with the state due to administrative dissolution.
How Bizstartz Helps:
Bizstartz provides Statutory Agent services for international founders or U.S. citizens without a physical address in Arizona so they can keep their business in good standing and receive official documents in a timely manner.
Step 3: File the Articles of Organization
You will create your LLC officially in Arizona using the Articles of Organization. This can be submitted online or through mail to the Arizona Corporation Commission (ACC).
What You’ll Need:
- The legal name of your LLC
- The physical and mailing address of your business
- Name and address of your Statutory Agent
- Will your LLC be Member-managed or Manager-managed?
- Is the LLC perpetual or for a set duration?
Filing Methods & Fees:
- Online Filing: Through eCorp (fastest method).
- By mail: Still accepted, but slowest.
- Standard Fee: $50.
- Expedited Processing: $35 extra (recommended if you need results fast).
The ACC usually processes standard filings within 14–20 business days and expedited filings within 3–5 days.
Step 4: Arizona Publication Requirement
Unlike most states, Arizona requires newly formed LLCs to publish a Notice of LLC Formation in a local newspaper.
Key Points:
- Only applies if your business address is outside Maricopa or Pima counties.
- The notice must be published once a week for three consecutive weeks in a county-approved newspaper.
- After publication, newspapers issue an Affidavit of Publication that must be kept for the business’s records.
Bizstartz Solution:
We make this easier by partnering with newspapers all over Arizona and take care of the entire publication process for you, so you can concentrate on running your business.
Step 5: Formulate an Operating Agreement
An Operating Agreement defines how your LLC will be owned and managed. While it may not be necessary in Arizona, it’s recommended.
Advantages of an Operating Agreement:
- Outlines steps necessary for making decisions
- Avoids disputes among members in the future
- Increases the liability protection for the LLC
- Some banks and investors require it
Key Provisions to Include:
- Duties and voting rights for members
- Distribution of profits and losses
- Rules for the addition or removal of members
- Guidelines for the closing of the business
Bizstartz offers Operating Agreements tailored to the structure of your LLC, be it single or multi-member.
Step 6: Apply for an EIN (Employer Identification Number)
An EIN is your company’s federally issued tax ID number and is issued by the IRS. Its the social security number for your business.
You Need an EIN To:
- Open a business bank account in the USA
- File taxes with the IRS
- Hire new employees
- Register for certain taxes or other business licenses
For those living outside the USA:
Obtaining an EIN does not require a Social Security Number (SSN). You simply file Form SS-4 with the IRS, and this can be sent by fax or mail.
Bizstartz Advantage:
We file for an EIN for foreign founders with no SSN or ITIN with no IRS delays. We specialize in foreign EIN filings.
Step 7: Open a U.S. Business Bank Account
A U.S. business bank account is crucial to conduct business or receive payments in the U.S.
Documents Typically Required:
- Articles of Organization
- EIN Confirmation Letter CP575
- Operating Agreement
- Valid Passport or U.S. ID
- Proof of address or business utility bill (if applicable)
Remote Options:
Foreigners can open accounts remotely with no in-person visit using Mercury Bank, Relay Bank, or Wise.
Bizstartz partners with these banks and assists you in meeting KYC (Know Your Customer) regulatory standards during the account opening.
Step 8: Comply With Arizona Regulations
The Arizona LLCs don’t have to file annual reports and income tax return filings.
Ongoing Responsibilities:
- Statutory Agent
- Obtain local sales tax license, if applicable.
- Annually renew business licenses or permits.
- Federal taxes annually.
Beginning 2024, under the Corporate Transparency Act, mandated BOI submissions to FinCEN.
How Bizstartz Supports You:
We provide compliance support that includes:
- BOI reporting.
- Annual bookkeeping.
- Tax filings with the IRS.
- Renew registered agent reminder.
Estimated Cost of Starting an Arizona LLC
| Item | Estimated Cost |
| Articles of Organization | $50 |
| Expedited Filing (optional) | $35 |
| Statutory Agent (yearly) | $49–$99 |
| EIN Application (with assistance) | $75–$150 |
| Publication Requirement (if applicable) | $60–$150 |
| Operating Agreement (optional) | $50–$100 |
| Bank Account Setup (optional) | Free to $100 (depending on service) |
Why Form Your Arizona LLC With Us?
With Bizstartz, non-U.S. residents can get fully compliant Arizona LLCs formed effortlessly with a trusted partner by their side.
What We Offer With Our Arizona LLC Package:
- LLC Arizona formation filing
- Statutory Agent supplied for one year
- EIN application processed (no SSN required)
- Tailored Operating Agreement
- Aid with Arizona publication necessity
- Assistance with U.S. business bank account
- Submission of BOI report
- Complimentary consultation for ongoing tax obligations with the U.S.
Authored by experts, our Arizona LLC packages provide comprehensive solutions for those keen on pursuing freelancing, drop shipping, Amazon selling, SaaS ventures, or freelancing as part of the U.S. economy.
Final Thoughts
When it comes to business ease of use, minimal upkeep, and competitive tax rates, Arizona is amongst the best states an LLC can be formed in. With recapturing no annual report, no franchise tax, and an easy filing interface, it’s proficient and affordable.
For many overseas founders, the journey can be daunting, and that’s where we come in. Bizstartz is there to assist alongside formation and compliance so that business can be enacted on, confidently and legally.
📞 Looking to set up an LLC in Arizona?
Reach out to Bizstartz today to book your free consultation and learn how you can own a U.S company from virtually anywhere.
