The cost to form an LLC for a Fargo business starts with the $135 North Dakota filing fee. Add annual fees, a registered agent, and local Fargo business taxes below.
Last updated: May 2026 · Data: MIT Living Wage Calculator, C2ER, U.S. Census, BLS, IRS, state and city sources
North Dakota charges a $135 filing fee to form an LLC and a $50 annual report each year. North Dakota has near-zero income tax for most residents, with the first $44,725 (single) exempt and only a 1.5% rate above that. It has one of the lowest effective income tax rates in the nation.
| Cost Item | Amount | When Due |
|---|---|---|
| North Dakota Filing Fee | $135 | One-time at formation |
| Annual report | $50 | Annually |
| Registered Agent Service | $49 to $300/year | Annually |
| Local Fargo Business License / Tax | Varies by industry | Annually |
| Operating Agreement | $0 to $500 | One-time (recommended) |
| EIN (Federal Tax ID) | Free | One-time (IRS.gov) |
North Dakota does not levy a local business income tax. Fargo requires a sales tax permit for businesses that sell goods, and the state charges an annual report fee for LLCs. Budget for those on top of the North Dakota LLC filing fee.
Fargo is the largest city in North Dakota and the economic engine of the Red River Valley, with an economy spanning healthcare (anchored by Sanford Health), North Dakota State University, agriculture and agribusiness technology, finance, and a growing software and startup scene.
| Local Metric | Fargo (2026 estimate) |
|---|---|
| Metro population | 130,000 |
| County / jurisdiction | Cass County |
| Cost of living index (US avg = 100) | 89 |
| MIT living wage, single adult | $19.50/hour |
| MIT living wage, one earner supporting a family of four | $39.50/hour |
| Applicable minimum wage | $7.25/hour |
| Average rent, 1-bedroom | $1,000/month |
| Average rent, 2-bedroom | $1,250/month |
| Median home price | $290,000 |
| Median household income | $65,000/year |
| Combined sales tax rate | 7.5% |
| Effective property tax rate | 1.1% of value/year |
Local figures are 2026 estimates compiled from the MIT Living Wage Calculator, the C2ER Cost of Living Index, U.S. Census and Zillow housing data, and city and county sources. Verify current figures before relying on them.
The LLC filing fee is set by North Dakota at $135, since LLCs are formed at the state level. Add the $50 annual report (each year), a registered agent (about $49 to $300/year), and any local Fargo business license or tax. North Dakota does not levy a local business income tax. Fargo requires a sales tax permit for businesses that sell goods, and the state charges an annual report fee for LLCs. Budget for those on top of the North Dakota LLC filing fee.
North Dakota does not levy a local business income tax. Fargo requires a sales tax permit for businesses that sell goods, and the state charges an annual report fee for LLCs. Budget for those on top of the North Dakota LLC filing fee.
Plan for the $50 annual report, registered agent renewal (about $49/year), and any local Fargo business license or tax. The calculator above totals these for you.
LLCs are registered with the North Dakota Office of State Tax Commissioner at the state level, not the city. You then comply with local Fargo requirements such as a business license, zoning, and any city business tax. There is no separate city-level LLC filing.
If your business actually operates in Fargo, forming in North Dakota is usually simplest. Forming in Delaware or Wyoming while operating in Fargo typically forces you to register as a foreign LLC in North Dakota anyway, paying fees in both states.