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One way to transfer LLC ownership in Alabama is to have the existing members of the LLC buy out the partner who wants to leave. The leaving partners ownership interest is then split among the remaining LLC members. To handle the transfer of ownership this way, you need to create a buy/sell agreement.
A Certificate of Formation in Alabama is what you file with the state government to make your LLC an official business entity. This document provides the state with specific information about your LLC so the state and public can identify you and assure your business remains legally compliant.
How much does an LLC in Alabama cost per year? All Alabama LLCs need to pay $50 per year for the Annual Report and Alabama Business Privilege Tax. These state fees are paid to the Department of Revenue. And this is the only state-required annual fee.
Register Your Business Name with the Alabama SOS The state of Alabama requires that you complete a Name Reservation Request form and file it with the Alabama SOS prior to filing for your Certificate of Formation. Once you do so, your name will be reserved for one year.
Location to file: Businesses must file their corporate documents in the same county where their registered agent is located. Turnaround Time: In general, turnaround time for incorporating a business in Alabama is 6-8 weeks. Expedited filings, which require an additional fee, typically take 4-5 weeks.
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With your EIN, you can formally establish your new business in Alabama. Register your business through the Alabama Secretary of States office. Only LLCs and corporations must be officially incorporated. For LLCs, you must file a Certificate of Formation online or by mail, along with a $200 filing fee.
Obtaining a Trade Name or DBA If you want to establish an Alabama DBA (trade name), you must file a form with the Secretary of State. Youll need to pay a filing fee of $30.
The state of Alabama requires that you complete a Name Reservation Request form and file it with the Alabama SOS prior to filing for your Certificate of Formation. Once you do so, your name will be reserved for one year. You dont need to reserve a name if youre forming your business right away.

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