Cost to Start a Business in Virginia: SCC Fees, Annual Costs, Licenses and Taxes

Filing a Virginia LLC costs $100 with the State Corporation Commission (SCC), and the LLC then pays a $50 annual registration fee. Virginia has no state franchise tax and no general state business license, so the rest of your virginia business startup costs depend on your locality, your trade and the providers you choose. This guide covers the state fees first, then the costs that vary, then the taxes to plan for.

This guide is informational content, not legal or tax advice. Confirm figures with the named agency before you file or pay, and consult a qualified Virginia attorney or CPA for complex situations.

State Filing Fees

Unless noted, these fees go to the SCC Clerk's Office. Online filings go through the SCC Clerk's Information System (CIS) at cis.scc.virginia.gov. Confirm current amounts at scc.virginia.gov/businesses before you file.

Filing	State fee
LLC articles of organization (Form LLC1011)	$100
Stock corporation articles of incorporation (Form SCC619)	$50 charter fee per 25,000 authorized shares or fraction, plus $25 filing fee
Nonstock corporation	$75 ($50 charter fee plus $25 filing fee)
Assumed name (DBA) certificate	$10
Name reservation (120 days)	$10
Foreign LLC registration	$100
LLC amendment	$25
Articles of cancellation	$25
Reinstatement	$100 plus unpaid fees
Protected series designation	$100 per series

A name can be reserved for $10 for 120 days, and the reservation can be renewed during the 45 days before it expires.

Stock corporations pay by authorized shares. A corporation authorized for 25,000 or fewer shares pays $75 in total. For 25,001 to 50,000 shares the total is $125, and for 50,001 to 75,000 shares it is $175. Above 1,000,000 authorized shares, the charter fee is $2,500, plus the $25 filing fee.

Expedited Service

Expedited processing is available online only and is nonrefundable. Virginia has no other expedite tier.

• Next business day: $50 or $100. Submit by 2:00 PM Eastern, with a response by 4:00 PM the next business day.
• Same day: $200. Submit by 10:00 AM Eastern, with a response by 4:00 PM.

Yearly State Costs

Virginia LLC: $50 Annual Registration Fee

A Virginia LLC files no annual report. It pays a $50 annual registration fee to the SCC. The fee is due the last day of the twelfth month after the month the LLC was organized, and every year after that. An LLC formed in March 2026 first pays by March 31, 2027. The SCC usually assesses the fee about two months ahead of the due date.

If the fee is paid late, a $25 penalty applies. If it is still unpaid at the end of the third month after the due date, the SCC cancels the LLC. For the full renewal schedule, see the Virginia LLC annual fees and registration renewal guide.

Nonstock and Stock Corporations

• Nonstock corporation: $25 a year.
• Stock corporation: the annual registration fee depends on authorized shares (verify against the SCC fee schedule). The annual report carries no fee. The annual registration fee is due the last day of the formation month, and the annual report is due the last day of the 12th month after formation. It may be filed no earlier than three months before that date.

Costs With No Set State Price

These costs vary by provider or locality. Get quotes or check the locality's code before you budget.

• Registered agent: check with the provider. A Virginia entity must keep a registered agent who is a Virginia resident with a Virginia street address, available during business hours, and either a Virginia State Bar member or a member, manager, officer, trustee or general partner of the entity. An owner can serve if they qualify, but an entity cannot be its own agent. See our Virginia registered agent guide.
• Local business license (BPOL): set by the locality. Check the locality's code. See the section below.
• Occupational or professional licenses: check with DPOR or the licensing board for your trade.
• Insurance, payroll, accounting, bank fees and a website: check with the provider.
• EIN: the IRS charges nothing for an employer identification number.

Local BPOL License Tax

Virginia has no general statewide business license, and the SCC issues none. The business license is a local tax: the Business, Professional and Occupational License (BPOL) tax under Va. Code 58.1-3700 et seq. Each city, county or town administers it, usually through the Commissioner of the Revenue. Not every locality levies a general license. Va. Code 58.1-3704 allows a locality to levy none. Stafford, Rockingham, Bedford County, Washington County, Montgomery County, Louisa and Fluvanna are examples of localities without a general county license, and in some areas a town's tax can displace the county tax. Localities set their own rates and filing deadlines, so check your locality's code or Commissioner of the Revenue.

Population also sets a floor on what a locality may require:

• Over 50,000 people: no license may be required for gross receipts under $100,000.
• 25,000 to 50,000 people: no license may be required for gross receipts under $50,000.
• Under 25,000 people: no population floor applies.

Localities over 50,000 people may waive the license for businesses with gross receipts up to $200,000. Verify this ceiling with your locality before you rely on it. For how the license applies to your business, see the Virginia business license guide.

Licenses That Depend on Your Trade

Regulated trades and professions are licensed by state boards, not the SCC. Check fees with the agency for your field. Examples include:

• Contractors: license classes in effect since July 1, 2025 are Class C for over $1,000 to under $30,000, Class B for $30,000 to under $150,000, and Class A for $150,000 or more. Check fees with DPOR.
• Child day centers and family day homes: licensed by the Department of Education. Check fees with the agency.
• Assisted living and adult day care: licensed by the Department of Social Services. Check fees with the agency.
• Food businesses: Virginia has no statewide food-handler card rule, but food establishments must have a Certified Food Protection Manager. Confirm requirements with the agency that licenses your business.
• Towing: Virginia has no state towing board.
• Alcohol, agriculture and other regulated fields: check with ABC, VDACS or the relevant board.

Cannabis retail sales are authorized from July 1, 2027 under budget language, but the regulations are not final. Verify this timeline before you plan a cannabis business.

Taxes to Plan For

• Franchise tax: Virginia has no state franchise tax and no state gross-receipts tax. An LLC pays the $50 annual registration fee instead.
• Sales tax: the base rate is 5.3% (state plus local). It is 6% in the regional-tax localities, 6.3% in eight localities, and 7% in the Historic Triangle (James City County, Williamsburg and York County). The grocery rate is 1%. Confirm your rate and filing duties with Virginia Tax at the sales and use tax page.
• Corporate income tax: 6% flat.
• Personal income tax: 2% on income up to $3,000, 3% from $3,000 to $5,000, 5% from $5,000 to $17,000, and 5.75% above $17,000. Sole proprietors and owners of pass-through entities report business income on their personal returns, so confirm the treatment with a CPA.
• Payroll minimum wage: $12.77 an hour in 2026, $13.75 in 2027 and $15.00 in 2028.

Virginia Tax's main site is at tax.virginia.gov.

Three Starter Paths

• Sole proprietor: $0 in state filing if you operate under your own name. If you use a trade name, file an assumed name certificate with the SCC for $10. See the DBA filing guide.
• LLC: $100 to file, then a $50 annual registration fee. Walk through the steps in how to start an LLC in Virginia.
• Stock corporation: the charter fee plus the $25 filing fee depends on authorized shares, starting at $75 for 25,000 or fewer shares. The annual registration fee also depends on authorized shares (verify against the SCC fee schedule).

If you are weighing Virginia against forming in another state, see the Virginia LLC vs. Delaware LLC comparison.

Frequently Asked Questions

What is the cheapest way to start a business in Virginia?

Operating as a sole proprietor under your own name has no SCC filing fee. An LLC costs $100 to file, then $50 a year. Local license costs and provider costs may still apply to either.

Does a Virginia LLC pay a franchise tax?

No. Virginia has no state franchise tax. The LLC pays a $50 annual registration fee to the SCC.

What does a Virginia LLC cost each year?

The state cost is the $50 annual registration fee, due the last day of the twelfth month after the month of formation and every year after that. Any local BPOL license depends on your locality, and insurance, accounting and other provider costs are set by the provider.

What happens if the $50 fee is late?

A $25 late penalty applies. If the fee is still unpaid at the end of the third month after the due date, the SCC cancels the LLC. Reinstatement costs $100 plus any unpaid fees.

Next Steps

Pull current figures from the SCC before you file, then budget the fixed state costs first. Collect quotes for the variable costs, check your locality's BPOL rules, and confirm any trade license with the licensing board. This guide is informational content, not legal or tax advice. For complex situations, such as multiple owners, a corporation or a regulated trade, consult a qualified Virginia attorney or CPA.