Cost to Start a Puerto Rico LLC - Northwest Registered Agent (2024)

The fee to file your Puerto Rico Certificate of Formation is $250. This officially registers your Puerto Rico LLC with the government so you can do business legally as an LLC.

You can submit your formation paperwork to the Puerto Rico Department of State by mail, in person, or through the Registry of Corporation and Entities Online Services portal. Expedited state processing is available for an additional fee:

• 24-hour state processing—$100
• Same-day state processing—$200
• Two-hour state processing— $500

After your LLC is registered, you’ll need to pay an annual fee of $150 each year, due on or before April 15th. If you don’t pay your fee using the online portal, you’ll have to submit an Annual Fee form along with your payment to the Department of State. Be sure to pay your fee before the deadline, as there is a hefty late fee of $500 plus 1.5 % interest per month.

Find out more about the Puerto Rico Annual Fee.

As part of forming your LLC, you’ll need to list a Puerto Rico registered agent on your formation documents. A registered agent is responsible for accepting legal notices, such as service of process, on behalf of your business.

You or another member of your LLC can serve as your own registered agent for free. However, this means that you’ll have to be available every weekday during regular business hours, which doesn’t work well if you need to go out of town or if you don’t work from 9 to 5. Hiring a registered agent service is a convenient alternative and helps protect your privacy. Prices for registered agent service vary. Northwest charges $125 a year with no price hikes—we never up our fee.

To do business in Puerto Rico, you’ll need a Merchant’s Registration Certificate from the Department of the Treasury, which is free. Within 30 days of starting your business, you’ll also need to apply for a municipal tax license by giving written notice to the Director of Finance in each municipality where your LLC operates. All municipalities in Puerto Rico are entitled to levy up to a 0.5% tax on the gross receipts of businesses within their jurisdiction. The amount of tax you’ll pay depends on how much your municipality collects.

Based on where you’re located and what kind of work you do, it’s likely that you’ll need additional licenses or permits. The Department of Economic Development and Commerce offers a Sole Permit that allows you to apply for multiple permits at once, including construction, use, and even liquor permits. You can apply through the Department’s Single Business Portal.

Learn how to get a business license.

On top of required expenses, you may face additional costs in the course of establishing your LLC in Puerto Rico.

Name Reservation

Business name reservation costs $75 in Puerto Rico and lasts 120 days. You can file by mail or in person using a Request Form for Reservation of Name or the online filing portal. To check that your desired name is available, you can use the Registry of Corporations and Entities’ Name Availability tool.

DBA (Doing Business as) Name

In Puerto Rico, registering a DBA, or trade name, will cost you $150. A trade name allows you to operate your LLC under any name that isn’t your legal business name. Puerto Rico law prohibits businesses from using a trade name already in use by another business, so you’ll need to check that your desired name is available using the Registry of Marks and Commercial Names’ Commercial Name search. You can file by mail or in person using a Trade Name Application or online through the Registry of Marks and Commercial Names portal.

Certified Copies of Business Documents

You’ll need to contact the Department of State to order certified copies of your business documents, as this is not a regularly offered service. However, you can request a certificate validation number for any certificate—for example, your Certificate of Formation—for free through the Department of State’s online validation service. You can also order a Certificate of Existence (which verifies your registration and is not the same as a Certificate of Good Standing) for $30.

Find out how to order certified copies of business documents.

Puerto Rico Certificate of Good Standing

The fee for a Certificate of Good Standing in Puerto Rico is $25. A Certificate of Good Standing shows that your LLC is up-to-date on all its state filings and fees and is therefore fit to conduct business. You may need a Certificate of Good Standing in situations like applying for a loan or registering to do business in a foreign jurisdiction. You can order your Certificate of Good Standing through Department of State’s online certificate request service.

Here’s how to get a Puerto Rico Certificate of Good Standing.

Puerto Rico requires all businesses with employees to purchase workers’ compensation insurance, which covers medical and other costs in the case of workplace injury. Businesses in Puerto Rico are required to buy coverage from the State Insurance Fund. The amount you pay will depend on the level of hazard associated with the work your employees perform (as assigned by the state) and the number of employees you have.

To prevent financial loss from lawsuits, natural disasters, property or equipment damage, or lawsuits, you may also invest in liability insurance. Liability insurance rates vary based on the type and magnitude of risks your LLC faces and the amount of coverage you want.

Learn more about LLC Business Insurance.