Alabama Corporation

What is an Alabama Corporation?

Alabama Corporation or Alabama INC, is a business formation registered with the Alabama Secretary of State. The Alabama Corporation will be able to issue shares of stocks to employees and investors, unlike an LLC in Alabama.

Alabama Corporation Requirements

  1. Name Reservation Fee of $25 or $28 when filing online.
  2. State Filing Fee of $200 ($208 online).
  3. A Registered Agent located in Alabama. See our service here.
  4. Annual Report (Business Privilege Tax) compliance due every April 15. Initial filing due within 2.5 months of incorporation.
  5. Beneficial Ownership Information Report filing. Report due after company formation starting January 1, 2024.


Alabama Corporation Structure

AL Corporations are structured legally with the Alabama Business Corporation Certificate of Formation. Like many states, the document for a Corporation formation is short and simple.

The required information to be listed:

  • The Alabama Corporation Name
  • Copy of Name Reservation
  • Name of Registered Agent and Registered Office
  • Purpose of Corporation Formation
  • Number and Value of Shares
  • Name and Address of Incorporator(s)
  • Director(s) Name and Address
  • Date and Signature

Alabama Corporation Name

The name of the Alabama Corp is required to contain the words Corporation or Incorporated or the abbreviation of those words. You must also follow the Code of Alabama when choosing your Alabama Corporation name.

Copy of Name Reservation

As mentioned in the requirements above, you must file a name reservation to even file the Alabama Corp. A copy of that filed document must be included with your Alabama Business Corporation Certificate of Formation.

Alabama Registered Agent

An Alabama Registered Agent must be a person or company that has an office located in the state of Alabama. The Registered Agent can not be located at a PO Box. Information for the Registered Agent listed on the Business Corporation Certificate of Formation will be the name, street address and mailing address if it is different from the registered street address.

Alabama Corporation Purpose

The purpose must comply with the Code of Alabama. The business must be lawful under Title 10A, Chapter 2 of the COA.

Stock Shares

An Alabama Corporation has shares of stock that determine the AL Corporations value. The number of shares must be listed on the application for a new Alabama Corporation, but the value of each share does not have to be listed.

Incorporator and Director

You will have to list names of the people involved with incorporating the Alabama INC and who will direct it, once it is operational. A director has no liability to the corporation or its shareholders for money damages for any action taken, or any failure to take any action, as a director, except liability for (A) the amount of financial benefit received by a director to which he or she is not entitled; (B) an intentional infliction of harm on the corporation or the shareholders; (C) a violation of Section 10A-2-8.33; (D) an intentional violation of criminal law; or (E) a breach of the director’s duty of loyalty to the corporation or its shareholders.

Alabama Corporation Facts
Formation Document Certificate of Formation
Name Reservation Fee $25 ($28 online)
Filing Fee $200 (plus online processing fee of approximately $8)
Our Fee $145 (includes registered agent)
Government Agency Secretary of State
Expedite Options None, as of January 2021
Online Filing Yes, as of January 2020
Annual Report Due Date April 15
Yearly Taxes Business Privilege Tax ($100)
State Corporate Tax 6.5%

How to File an Alabama Corporation

Steps in forming an Alabama Corporation:

  1. Choose a name for your Corporation in Alabama that conforms to Alabama state law.
  2. File a Name Reservation Request to approve the name choice for your Alabama LLC. The fee is $25 or $28 when filing online.
  3. To form an Alabama Corporation, you will file a Certificate of Formation with the Alabama Secretary of State.
  4. Include the fee of $200 to file a new Alabama INC structure ($208 if filing online).
  5. Appoint an Alabama registered agent and registered office for your Alabama Corp.
  6. Write an Alabama Corporation set of Bylaws. This does not have to be filed with the Alabama Secretary of State.
  7. Open a business bank account with the AL INC at the bank of your choice. Banks will require you to file an EIN with the IRS first.
  8. File initial and annual reports and pay annual Business Privilege Tax.
  9. Submit Beneficial Ownership Information report to the Financial Crimes Enforcement Network ($0).

Additional Resources: 
How to Start an Alabama Corporation
How to Form an Alabama Corporation (paper option)


Alabama Corporation ByLaws

Corporations are governed by bylaws. Bylaws outline the ownership of your company, the rights and responsibilities of shareholders, the appointment of directors and corporate officers, and corporate policy that details how your company operates. Bylaws are not filed anywhere. They are internal.


Alabama Corporation Annual Report and Taxes

Corporations in Alabama must pay the annual Business Privilege Tax and file an annual report each year by April 15. An initial filing is also due within 2.5 months of incorporation. A Corporation is required to remain compliant with state law or it will face administrative dissolution by the Alabama Secretary of State.


Federal Beneficial Ownership Information Report Filing

Starting January 1, 2024, most newly-formed corporations are required to file a Beneficial Ownership Information (BOI) report with the Financial Crimes Enforcement Network (FinCEN) following company formation. On your report, you’ll need to disclose some basic details about your company and those with the most control over your corporation’s profits and operations. Save yourself from the additional paperwork with our $9 BOI report filing service.


Why Hire Corporate Filing Solutions to Form Your Alabama Corporation?

Starting your Corporation in Alabama shouldn’t be a hassle or a time consumer. That’s why we offer Filings Made Easy™ to make starting a Corporation in Alabama super easy.

Hire us and relax while our filing experts form your new Alabama Corporation. Our staff will process orders the same business day as they are received. To make things even easier, we bundle the first year of registered agent service and ensure your Alabama Corporation comes fully equipped and ready to do its job.