How to Start an LLC in Arizona in 6 Steps

Starting a limited liability company (LLC) in Arizona is a smart choice for many new business owners. The state offers a streamlined formation process, affordable filing fees, and clear rules, making it easier for entrepreneurs to get up and running quickly. An LLC provides personal liability protection and flexible tax treatment, and it sets the stage for building a strong financial foundation as your business grows.

This AZ LLC formation guide walks you through each step of forming your LLC so you can move forward with clarity and confidence. If you require support from a dedicated accountant at any point in the process, expert LLC formation services from 1-800Accountant, America's leading virtual accounting firm, can help you launch your company with ease.  

Key Highlights

• Arizona LLCs are simple to set up and require just a few formation documents.

• Filing Articles of Organization with the Arizona Corporation Commission (ACC) is the core legal step.

• Some counties require LLCs to publish a formation notice in an approved newspaper.

• An Operating Agreement strengthens your business structure even though it is not required by Arizona law.

• You will need an Employer Identification Number (EIN) to hire employees, open a business bank account, and handle federal taxes.

• Arizona LLCs do not file an annual report unless they elect corporate taxation, but they still must keep records and registered agent details current.

• Professional bookkeeping and ongoing tax advisory support can help your business stay compliant long after formation for an affordable, tax-deductible fee. 

Step 1: Choose a Name for Your Arizona LLC

Selecting the right name is the first formal step in establishing your business identity. Arizona has specific rules that your LLC name must follow, and taking time to choose one that is both legally compliant and brand-friendly will set your business up for long-term success.

Arizona naming rules

Your LLC name must meet the ACC’s requirements. These include:

• The name must contain “Limited Liability Company,” “LLC,” or “L.L.C.”

• It must be distinguishable from all existing business names in Arizona.

• The name cannot contain language that implies it is a government agency.

• Terms like “bank,” “association,” or “university” often require additional approval.

Perform an Arizona business name search

Before filing your formation documents, run an Arizona LLC name search using the ACC's online database. This helps confirm that your preferred name is available.

Aim for a name that is simple, memorable, and scalable as your business grows. Many entrepreneurs also secure a matching domain name once availability is confirmed.

Reserve your LLC name (optional)

If you need more time to prepare your formation documents, you can reserve your name with the state. A small reservation fee holds your name for a set period, ensuring no one else can use it during that time.

Step 2: Appoint a Statutory Agent

Arizona requires every LLC to appoint a statutory agent, sometimes referred to as a registered agent, who receives legal documents on the company’s behalf. Registered agent services are available for a nominal fee.

Arizona statutory agent requirements

Your LLC's statutory agent must:

• Have a physical street address in Arizona

• Be available during regular business hours

• Consent to serve as the agent

A P.O. box does not meet Arizona LLC requirements.

Why a professional statutory agent helps

A professional agent helps ensure you never miss important legal or tax notices. Many LLC owners prefer the added privacy and reliability of working with an expert. If you choose to start your Arizona LLC with help from a professional, 1-800Accountant can guide you through each compliance requirement. 

Step 3: File Your Articles of Organization with the Arizona Corporation Commission

This step officially forms your LLC in the state of Arizona.

What the Articles must include

Your Arizona Articles of Organization must list:

• LLC name

• Principal business address

• Statutory agent information and acceptance

• Whether the LLC is member-managed or manager-managed

• Names of managing LLC members or managers

Filing methods and costs

You can file online or by mail through the ACC. Arizona’s standard filing fee is $50, according to the ACC’s official fee schedule, with an optional expedited processing fee of $35. This low filing cost is one reason many entrepreneurs choose to do business in Arizona.

For accurate filing and faster processing, you can also rely on 1-800Accountant’s LLC formation services.

Publication requirement in Arizona (if applicable)

Some Arizona counties still require newly formed LLCs to publish a notice of formation in an approved newspaper for three consecutive weeks. Counties without this requirement allow you to skip the step entirely.

Published notices generally list:

• Your LLC name

• Statutory agent information

• Management structure

• Principal address

Check county details through the ACC or consult a professional to confirm whether this requirement applies to your business location.

Step 4: Create an LLC Operating Agreement

While the state does not legally require an Arizona LLC Operating Agreement, it is an essential internal document for outlining how your LLC will function.

Why Arizona LLCs need an Operating Agreement

A well-written Operating Agreement helps:

• Prevent disputes

• Clarifies ownership rules

• Sets expectations for members

It also supports conflict prevention and long-term stability. Lenders and banks often request a copy before opening an account.

When combined with reliable year-round bookkeeping support from 1-800Accountant, this document helps maintain accurate records and long-term financial organization.

What to include

Your Operating Agreement should cover:

• Ownership percentages

• Member contributions

• Voting procedures

• Management structure

• Meeting rules

• Profit distribution

• Dissolution processes

Step 5: Get an EIN from the IRS

Most LLCs need an EIN from the Internal Revenue Service (IRS) to operate smoothly.

Why you need an EIN

An EIN is needed for:

• Hiring employees

• Opening a business bank account

• Filing federal taxes

• Obtaining licenses

• Running payroll

How to apply

The Arizona EIN application is free on the IRS website. Most applications are approved instantly. While an EIN can be obtained for a single-member LLC, it is particularly important for multi-member LLCs and LLCs electing S corporation taxation.

EIN and bookkeeping reminders

Once your EIN is issued, it becomes the cornerstone of your tax and payroll systems. New LLC owners should stay aware of federal tax deadlines, including estimated payments due:

• September 15

• January 15

• April 15

• June 15

You can keep your business organized throughout the year with 1-800Accountant’s year-round tax advisory and small business tax preparation.

Step 6: Maintain Your Arizona LLC

After formation, keeping your LLC compliant is an ongoing responsibility.

Arizona annual compliance requirements

Unlike many states, Arizona LLC annual reports are not required unless corporate tax treatment is elected. Still, you must maintain accurate statutory agent information and respond to any ACC notices promptly.

Tax considerations for Arizona LLCs

Most Arizona LLCs are taxed as pass-through business entities, which protects your personal assets. Some LLCs require an Arizona business license. Members may owe the 15.3% self-employment tax that funds Social Security and Medicare, and must stay current on estimated tax payments.

Key dates include:

• September 15 quarterly estimated tax payment

• January 15 final estimated payment for the prior year

• April 15 is Tax Day and the first installment for the new tax year

Employers must also file IRS Form 941, Employer's Quarterly Federal Tax Return, quarterly and issue IRS Form W-2, Wage and Tax Statements, and 1099s by January 31 each year.

Ongoing bookkeeping and recordkeeping

Accurate monthly bookkeeping helps support compliance and tax efficiency. Tools like 1-800Accountant’s ClientBooks platform streamline tasks such as account reconciliation and transaction categorization, helping ensure clean books.

If you require hands-off financial management, you can rely on full-service professional bookkeeping.

When to consider a tax election

Growing LLCs may benefit from electing S corporation taxation to reduce self-employment tax. This decision is best made with guidance from an accountant who understands your financials. 1-800Accountant’s expert tax planning for small businesses can help you evaluate whether the election is right for you.

Additional Arizona LLC Costs to Expect

Common formation and maintenance expenses include:

• $50 Articles of Organization filing fee

• Statutory agent fees

• Name reservation fees

• Operating Agreement drafting assistance (if drafted by a professional)

• Publication fees (where required)

• Ongoing compliance or licensing costs

Arizona LLC Tax Overview

How LLCs are taxed by default

Arizona LLC taxes: By default, Arizona LLCs enjoy pass-through taxation. Members report income on their personal tax returns, IRS Form 1040, U.S. Individual Income Tax Return, and pay taxes based on their share of profits.

Other potential tax obligations

Depending on your business, you may also need to register for:

• Transaction privilege tax (TPT)

• Employer payroll taxes

• W-2 and 1099 reporting

Federal compliance dates to note

Important upcoming deadlines include:

• Quarterly Form 941 filings

• Estimated payments on September 15, January 15, April 15, and June 15

• W-2 and 1099 filings due January 31

Strong bookkeeping habits make these tasks significantly easier and more efficient.

Starting an LLC in Arizona: Expert Help for a Stress-Free Launch

How 1-800Accountant supports Arizona LLC owners

When you partner with 1-800Accountant, you gain access to real accountants and bookkeeping professionals who offer personalized guidance for every phase of your business. From formation and EIN registration to ongoing bookkeeping, payroll, and tax advice and planning, your accountant helps you stay organized and compliant through every stage of growth.

Schedule your free consultation today

Schedule your free 30-minute consultation with a small business expert today to learn how our suite of professional services can help your Arizona business grow.