Transportation · LLC guide · updated
How to start an LLC for a courier and delivery business
Couriers do final-mile deliveries, medical specimen runs, legal document filing and contract routes for large carriers. You are on the road all day and you sign contracts with the businesses you deliver for. An LLC is the name on those contracts and on the commercial auto policy, and keeps a crash or a lost package claim with the company.
Our registered agent is optional: $74.25 a year, the same at renewal. Questions first? Ray or Vinny picks up at (954) 470-8356.
- EIN
- Commercial auto
- Business license
- USDOT if 10,001+ lbs
Courier and Delivery Business businesses in the U.S.
Source: U.S. Census Bureau, County Business Patterns 2022 (NAICS 492110), the latest U.S. totals.
Why courier and delivery business owners form an LLC
Lost or damaged packages
Clients will ask who pays when a delivery goes missing. Your contract and cargo coverage answer that; the LLC keeps it a business debt.
Driving all day
More miles means more accident exposure. A personal auto policy usually excludes delivery for pay.
Route contracts
Contract routes for larger carriers require a business entity, insurance and often a DOT number.
An LLC keeps the company's debts and claims away from your personal assets when you run it as its own business: its own bank account, contracts signed in its name, and no mixing of money. It does not cover your own negligence, and lenders often ask for a personal guarantee. Insurance comes first.
Licenses and registrations for a courier and delivery business
Federal items link to the agency's own page. State and local rules vary, so pick your state at the top for your state's business portal. Tick items off as you go; the list remembers your progress on this device.
- We do thisForm the LLC and get its EINAlmost every registration above asks for the company's legal name and EIN, so this comes first. We file the LLC with your state for $123.75 plus the state fee, and can get the EIN for $41.25; the IRS also issues it free online.
Insurance and taxes to plan for
Insurance
- Commercial auto
Required by nearly every client and needed because personal policies exclude delivery for hire.
- Cargo / inland marine
Covers the goods you carry.
- General liability
Covers injuries and property damage at pickup and drop-off points.
Taxes
- Mileage records
Your largest deduction is usually vehicle cost. Keep a mileage log or app from the first day.
- Drivers as contractors
If you hire drivers, how much you control their schedule and routes decides whether they are employees. IRS / agency page
Medical labs, law firms and logistics companies want a W-9 with a business name and EIN, a certificate of insurance and a signed agreement. Having all three ready in the LLC's name wins you contracts that sole proprietors lose.
Forming the LLC itself: 7 steps in every state
- 1. Check the name
- 2. Name a registered agent
- 3. File with the state
- 4. Sign an operating agreement
- 5. Get an EIN
- 6. Open a bank account
- 7. Keep it in good standing
The filing office, fee and yearly report change by state. Open your state's step-by-step guide.
What it costs to form a courier and delivery business LLC
| Cost | File it yourself | With Vermilion Vitez |
|---|---|---|
| State filing fee (paid to the state) | $35 to $520 | $35 to $520 |
| Filing service, operating agreement included | $0 | $123.75 |
| EIN from the IRS | $0 | $0 yourself, or $41.25 if we get it |
| Registered agent, per year (optional) | $0 if you serve yourself | $74.25 |
State fees as charged at our checkout. Industry licenses, permits, bonds and insurance above are separate and set by each agency. Checkout shows the card processing fee before you pay.
Frequently asked questions
Do I need an LLC to deliver for apps?
No. App platforms pay individuals. An LLC helps when you move to direct contracts, hire drivers or run vans, where the liability is bigger.
Does a cargo van courier need a DOT number?
Usually not if the van is rated under 10,001 pounds and you do not carry placarded hazmat, but some states require one even within the state. Check the gross vehicle weight rating on the door sticker.
What insurance do courier companies need?
Commercial auto, cargo coverage, and general liability. Clients often ask to be named as an additional insured.
Can I deduct my car if it is owned personally?
Yes. The LLC can reimburse you for business miles under an accountable plan, or you can transfer the vehicle to the company. A CPA can tell you which is cleaner for you.
How much does it cost to form an LLC for a courier and delivery business?
Your state's filing fee ($35 to $520 depending on the state) plus $123.75 if we file it, with the operating agreement included. Industry licenses, bonds and insurance are extra and set by each agency.
Is this page legal or tax advice for my courier and delivery business?
No. It summarizes public rules in general terms, with links to the agencies that set them. For your situation, talk to a licensed attorney or CPA, or book a free call with us.
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Ready when you are
Have us file your Courier and Delivery Business LLC
$123.75 plus your state's filing fee, with the operating agreement included. Checkout shows the full total, card processing fee and all, before you pay.
Rather talk first? Call Ray or Vinny at (954) 470-8356.