Choosing a formation and compliance provider
Guide · 2 min read
Do you need a formation service, or can you file yourself?
Filing an LLC yourself is genuinely straightforward for a US resident. For a founder abroad, the calculation is different — and it is not about the filing.
The short answer
You can file an LLC yourself directly with the Secretary of State for the state fee alone, and for a US resident with a simple business this is often the cheapest sensible route. A service earns its fee mainly on the steps around the filing — the EIN for owners without an SSN, and ongoing compliance tracking.
What is identical either way
- The state filing fee. Set by the state. Wyoming's $100 is $100 however it is submitted.
- The certificate. A standard document that does not record who filed it.
- The EIN. Free from the IRS, and identical however obtained.
- Processing speed, mostly — dominated by the state's queue rather than the filer.
When filing yourself makes sense
- You are a US resident with an SSN, so the EIN takes fifteen minutes online.
- The business is straightforward and single-owner.
- You are comfortable tracking your own annual report and franchise tax dates.
- You are testing an idea and want the lowest possible outlay.
When a service earns its fee
- You have no SSN. The EIN moves to a paper Form SS-4, where correct completion matters and errors cost weeks.
- You are outside the US and need a registered agent regardless.
- You will not track deadlines yourself. A missed annual report costs more than the service did.
- You want the federal filings handled — particularly Form 5472, where the penalty starts at $25,000.
Frequently asked questions
- Is the certificate different if I file it myself?
- No. The formation certificate is a standard state document and does not record who submitted it. A filing made by an expensive provider and one made by you personally produce identical results.
- What can a service do that I cannot?
- Nothing about the filing itself. What they add is the surrounding work: acting as registered agent, preparing and submitting Form SS-4 correctly for a foreign responsible party, and tracking recurring deadlines. Whether that is worth paying for depends entirely on your situation.
- What is the cheapest possible route?
- File directly with the state and buy a standalone registered agent for $50–$150 a year. Nobody beats that on price. It requires you to track your own annual report and franchise tax deadlines, which is the part people underestimate.
Sources
Last reviewed . Verify against the primary source before acting.
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