How to Start an LLC in Tennessee (2026)
Last updated: July 21, 2026
Quick note: we're operators, not attorneys or accountants. This is general educational info, not legal or tax advice. Tennessee's franchise and excise tax is worth reviewing with a licensed pro before filing.
Tennessee is a bit pricier than average and has a business tax most states don't, so it pays to know the real numbers up front. Here's the whole process in plain English, written for people starting something real like a courier route.
How to start a Tennessee LLC in 6 steps
Name it, appoint a registered agent, file the Articles (flat $300), write an operating agreement, get a free EIN, then file the $300 annual report and handle F&E tax.
Name your Tennessee LLC
Your name must be distinguishable from other Tennessee businesses and include "LLC" or "Limited Liability Company." Search it on the Secretary of State's site first so your filing isn't rejected, and grab the matching domain.
Appoint a Tennessee registered agent
Tennessee requires a registered agent with a physical Tennessee street address (no PO boxes), available during business hours. You can be your own agent for free, or use a service to keep your home address off the public record. Northwest includes registered-agent service free the first year with their $39 filing.
File the Articles of Organization
This is the document that creates your LLC. File it with the Tennessee Secretary of State and pay the flat $300 filing fee. Filing online through the TNCaB system is fastest.
Write an operating agreement
Tennessee doesn't require one, but create it anyway. It sets out ownership and management, backs up your liability protection, and banks usually want to see it. A filled-in template covers most single-owner courier businesses.
Get a free EIN from the IRS
Get your EIN free at irs.gov in a few minutes. You need it for a business bank account, taxes, and your Tennessee tax accounts. Never pay a third party for one.
File the annual report and handle F&E tax
Every Tennessee LLC files a flat $300 annual report by April 1 (through TNCaB). Tennessee also charges franchise and excise (F&E) tax on most LLCs, so register with the Department of Revenue and check with a Tennessee tax pro on what you'll owe.
Tennessee LLC cost breakdown
A flat $300 to form and $300 a year, plus franchise and excise tax. Higher than most states, so plan for it.
| Item | Cost | Required? |
|---|---|---|
| Articles of Organization | $300 flat (as of Jul 2025) | Yes |
| EIN | Free from the IRS | Yes (free) |
| Registered agent service | $0 (yourself) to $300/yr | No |
| Annual report | $300 flat (by April 1) | Yes |
| Franchise & excise tax | Varies (combined minimum applies) | Yes |
Tennessee figures as of 2026 (flat $300 fees effective July 1, 2025). Verify current amounts at sos.tn.gov before filing.
Setting up to run courier routes in Tennessee?
The LLC is step one. Our course covers the rest: insurance and certifications, the business bank account, and how to find routes and win contracts with Tennessee clinics, labs, and hospitals.
Start Your 7-Day Free TrialTennessee LLC FAQs
How much does it cost to start an LLC in Tennessee?
As of July 1, 2025, a flat $300 filing fee no matter how many members you have. Your EIN is free. The annual report is also a flat $300 a year, plus franchise and excise tax.
Did Tennessee change its LLC fees?
Yes. Before July 1, 2025, it was $50 per member (minimum $300, maximum $3,000). Now both formation and the annual report are a flat $300. Guides quoting per-member fees are out of date.
When is the Tennessee annual report due?
By the first day of the fourth month after your fiscal year ends, which is April 1 for most calendar-year LLCs. It's a flat $300, filed through TNCaB.
Does a Tennessee LLC pay franchise and excise tax?
Yes. There's no personal income tax on wages, but Tennessee charges franchise tax ($0.25 per $100 of net worth) and excise tax (6.5% of net earnings) on most LLCs. Check with a Tennessee tax pro.
← Back to How to Start an LLC (main guide)