How to Start a Business in North Dakota

Everything it takes to legally start a business in North Dakota, in order — with the official North Dakota links for each step. Most people can complete the core setup in one to three weeks.

LLC filing fee
~$135
Processing
5–10 business days online
Ongoing report
annual · ~$50
State sales tax
yes
State income tax
yes
  1. Pick a structure (sole proprietor or LLC)

    Most North Dakota owners start as a sole proprietor (free, no filing) or form an LLC for liability protection. The LLC filing fee is about $135, and formation typically takes about 5–10 business days online. Confirm the current fee on the state site before you pay.

    North Dakota business filing office

  2. Name a registered agent

    If you form an LLC or corporation, North Dakota needs a registered agent with a physical in-state address. You can be your own agent if you're available during business hours, or hire a service for about $100–$150/year.

  3. Get your EIN from the IRS

    An Employer Identification Number is free from the IRS and takes a few minutes online. You need it to open a business bank account and to hire.

    IRS — Apply for an EIN

  4. Register for North Dakota taxes

    North Dakota has a state sales/use tax and has a state income tax. North Dakota's annual report is due November 15; the state uses the FirstStop portal for filings.

    North Dakota tax registration

  5. Confirm local licenses and permits

    North Dakota rarely issues a single statewide "business license" — most licensing is by city or county, plus profession-specific licenses. Check your city and your trade.

    North Dakota professional licensing

  6. Open a business bank account and get insurance

    Keep business and personal money separate from day one. General liability insurance is the baseline; some contracts also require a bond.

  7. Put the ongoing report on your calendar

    North Dakota requires a annual report (about $50). due Nov 15

    North Dakota reports

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Frequently asked

How much does it cost to start an LLC in North Dakota?

The state filing fee is about $135. Beyond that, budget for a registered agent if you hire one (~$100–$150/year), the annual report (~$50), and any local license fees. An EIN is free.

Do I need an LLC to start a business in North Dakota?

No. You can operate as a sole proprietor in North Dakota with no state filing. An LLC adds a layer of personal liability protection and can make you look more established to customers and lenders — it's a judgment call based on your risk and goals, not a legal requirement.

How long does it take to form an LLC in North Dakota?

Standard processing is about 5–10 business days online. Many states offer paid expedited options.

Does North Dakota have a sales tax?

Yes. If your product or service is taxable in North Dakota, you must register with the state tax agency before you collect tax. Many services are not taxable — confirm on the official site.

What ongoing filings does a North Dakota LLC have?

North Dakota requires a annual report (about $50). due Nov 15

Official sources

Fees and timelines are commonly-cited figures last reviewed 2025-06 and can change — always confirm on the official site. This is educational information, not legal or tax advice.

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AI-generated guidance is for educational purposes only and is not legal, tax, or investment advice. Disclosures · Trust center