March 1st officially signals the end of "Dollar Days." After three months, the experiment is over. Colorado Secretary of State is increasing its fees for those that want to form a new Colorado Corporation or LLC, from the current low of only $1. The state was calling this a “three month fee-holiday”, which they were hoping would send "a message to local Coloradans and out-of-state businesses that we value their investment and aim to be responsible stewards of their filing fees,” Secretary of State Scott Gessler said on their website (see the press release).
Because the Secretary of State’s office is not subsidized by state taxpayer dollars, and it must manage its budget solely on the filing fees it generates from businesses and non-profits, it would seem inevitable that the $1 fee deal wouldn’t last forever.
We’ve been a big fan of Colorado, with their pro-business attitude, electronic filing system, & free certificates of good standing. They are far quicker (1 day vs. 2 months), easier and still far less expensive than their poorly run sibling in California (see California Filing Status).
Take heart though, not all fees are going up. The $1 fee “holiday” will continue for all non-profit corporation filings. For all for-profit corporations and limited liability companies, the filing fees will still be a nationwide low of only $50.
If you are considering filing a new INC or LLC soon, do not delay, you only have two more days left to take advantage of these great rates. So, until then, your decision is... buy that coffee or form a Corporation?
CEO & Founder of SmallBiZ.com, created over seventeen years ago to help small business owners simplify the process of starting & managing their small businesses. SmallBiZ.com now serves over 10,000 businesses per year with various filing and subscription services; in addition to the 1000's of daily visitors to www.smallbiz.com, accessing free services, help pages, & educational videos & webinars.