California · Corporation
How to Start a Corporation in California
California makes you wait a year for its biggest bill, then sends it every year after.
See the stepsShort answer
File Articles of Incorporation (Form ARTS-GS) with the California Secretary of State for $100. At checkout that is $125 for California plus $123.75 for our formation, $248.75 before card processing. Within 90 days, file a $25 Statement of Information. The $800 minimum franchise tax is the big ongoing cost, but a newly incorporated corporation does not pay it in its first taxable year.
Last checked .How do I incorporate in California, step by step?
California's $800 minimum franchise tax does not apply in a new corporation's first taxable year. It starts in year two, earned dollar or not.
Choose and check the name
Pick a name distinguishable on the records and not likely to mislead the public. Search bizfile first. A reservation is optional. See the California name search guide.
Name a registered agent
Every corporation needs one in the state (the rule). Ours is $74.25 a year.
File articles of incorporation - general stock
File the Articles of Incorporation - General Stock (Form ARTS-GS) with California. The fee at our checkout is $125. Details are below.
Adopt bylaws
Bylaws are the board's rules: how directors are elected, how meetings run and how officers are chosen. Every corporation we form includes them.
Name directors, officers and issue shares
Hold an organizational meeting, record it in minutes, and issue stock to the owners.
Get an EIN
The EIN is the corporation's federal tax ID. The IRS issues it free at irs.gov.
Register for state taxes
Register with California Department of Tax and Fee Administration (CDTFA): seller's permit if you sell taxable goods. 9
File the annual report
Put the first deadline on your calendar before you file anything else. See the California annual report page and the filings below.
How much does it cost to incorporate in California?
| Item | Cost | When |
|---|---|---|
| State fees (what our checkout charges) | $125 | At filing |
| Our formation, bylaws included | $123.75 | At filing |
| Total for the filing | $248.75 | Before card processing |
| With our registered agent for a year (Formation + Registered Agent) | $303.20 | At filing |
| With the Day-One Bundle | $347 | At filing |
| Statement of Information (Form SI-550) (each year) | $25 6 | every year after the initial statement |
| California minimum franchise tax, minimum (each year) | $800 7 | annually, starting with the second taxable year |
| Registered agent after the first year | $74.25 a year | Optional |
Card processing is added at checkout and shown before you pay. State fees: the state's published fee for the Articles of Incorporation - General Stock (Form ARTS-GS) is $100; our checkout charges $125 on the state side, and the state's fee schedule does not itemize the other $25. You see it before you pay.
California at a glance
| Question | California |
|---|---|
| Formation filing and state fee | Articles of Incorporation - General Stock (Form ARTS-GS), $100 1 |
| Expedited filing | 24-hour $350, same-day $750 2 |
| Name rule | No required designator listed; name must be distinguishable in the records from other corporations and not likely to mislead the public 3 |
| Registered agent | Agent for service of process with a California street address; no P.O. box (an individual, or a registered corporate agent) 4 |
| First report after filing | Statement of Information (Form SI-550), $25, due within 90 days of filing the articles 5 |
| Annual report | Statement of Information (Form SI-550), $25, due every year after the initial statement 6 |
| Franchise or minimum tax | California minimum franchise tax: $800 minimum franchise tax; not due in the first taxable year for a newly incorporated corporation, due annually, starting with the second taxable year 7 |
| Corporate income tax | 8.84% flat, minimum $800 8 |
Do I need a registered agent in California?
The articles must name a California agent for service of process with a street address, and a P.O. box is not accepted. 4 You can be your own agent if you have a street address in the state and are there in business hours, but the address goes on the public record. Ours, through our partner Registered Agents Inc, is $74.25 a year, or $178.20 with the formation. California registered agent rules.
What goes in the California articles of incorporation - general stock?
File Form ARTS-GS with the Secretary of State, online through bizfile for speed. It needs a street address (no P.O. box) and an agent for service of process.
California offers 24-hour expedited filing for $350 and same-day filing for $750 when you file online. 2
Which annual reports and franchise taxes will a California corporation owe?
File the Statement of Information (Form SI-550) within 90 days, then yearly. If you sell goods, get a seller's permit from the Department of Tax and Fee Administration.
- A new California stock corporation must file a Statement of Information (Form SI-550) within 90 days of registration; the fee is $25. 5
- California stock corporations file the $25 Statement of Information every year after the initial one. 6
- Every California corporation owes the $800 minimum franchise tax, but a newly incorporated corporation does not pay it in its first taxable year. 7
- A California C corporation pays a flat 8.84% of net income and never less than the $800 minimum franchise tax. 8
How do I start an S corp in California?
A corporation is a C corporation unless it elects otherwise. An S corp is a tax election, not another kind of entity. The order is plain: form the corporation, get the EIN, then file IRS Form 2553 within 2 months and 15 days after start of the tax year the election takes effect (or any time in the prior tax year) 11. California follows your federal S election, then taxes the S corporation itself on its California net income. 10
We file Form 2553 for $165. Run your own numbers in the calculator or read California: S corp or C corp.
Should I form a corporation or an LLC in California?
Shares, a board and officers. The usual choice when you plan to raise money from investors or issue stock options.
Fewer formalities and flexible ownership. Often the simpler choice for one owner or a small team.
Compare the two: How to start an LLC in California.
Raising venture money? Investors usually ask for a Delaware C corporation, which you then register in California as a foreign corporation. See how to start a corporation in Delaware.
What do I do after filing in California?
- Adopt the bylaws and hold the first board meeting; write minutes.
- Issue stock to the owners and keep a stock ledger.
- Get the EIN, open a business bank account and keep money separate.
Form your California corporation
We file it for $123.75 plus the state fee ($125), with bylaws included. Add the registered agent for $178.20 in all, or take the Day-One Bundle at $222.
Common questions
How much does it cost to incorporate in California?
$100 for the articles and $25 for the Statement of Information. No franchise tax is due in the first taxable year.
Do new California corporations pay the $800 franchise tax?
Not in the first taxable year. After that it is annual.
Can I use a P.O. box as my California agent address?
No. The articles need a street address.
How fast can I get my California corporation filed?
Online is fastest. Expedite is optional.
Sources 11 links, checked Nov 7, 2026
- California charges $100 to file Articles of Incorporation for a general stock corporation (Form ARTS-GS), and you can file online through bizfile. sos.ca.gov, checked Nov 7, 2026
- California offers 24-hour expedited filing for $350 and same-day filing for $750 when you file online. sos.ca.gov, checked Nov 7, 2026
- California lets a corporation adopt a name if it is distinguishable in the records from other corporations of record and is not likely to mislead the public. sos.ca.gov, checked Nov 7, 2026
- The articles must name a California agent for service of process with a street address, and a P.O. box is not accepted. bpd.cdn.sos.ca.gov, checked Nov 7, 2026
- A new California stock corporation must file a Statement of Information (Form SI-550) within 90 days of registration; the fee is $25. sos.ca.gov, checked Nov 7, 2026
- California stock corporations file the $25 Statement of Information every year after the initial one. sos.ca.gov, checked Nov 7, 2026
- Every California corporation owes the $800 minimum franchise tax, but a newly incorporated corporation does not pay it in its first taxable year. ftb.ca.gov, checked Nov 7, 2026
- A California C corporation pays a flat 8.84% of net income and never less than the $800 minimum franchise tax. ftb.ca.gov, checked Nov 6, 2026
- If you sell tangible personal property in California, you generally need a seller's permit from the California Department of Tax and Fee Administration. cdtfa.ca.gov, checked Nov 7, 2026
- California follows your federal S election, then taxes the S corporation itself on its California net income. ftb.ca.gov, checked Nov 6, 2026
- IRS: Form 2553 instructions irs.gov, checked Nov 6, 2026
Last verified Nov 7, 2026.
This page explains the rules; it is not legal or tax advice.