SPOKANE, Wash. — Thinking about starting a business in 2025? Where you launch could save, or cost, you thousands. Northwest Registered Agent, a leading provider of business formation services, has unveiled its ranking of the most affordable states for startups, spotlighting where founders get the best bang for their buck. The comprehensive guide highlights states which offer low startup costs and business-friendly tax regulations, empowering entrepreneurs to make informed decisions.

Launching a company comes with more hidden expenses than most expect. Formation fees, compliance filings, taxes, and other recurring costs can stack up fast. But not all states treat entrepreneurs equally. Some states make starting a business easier and more affordable than others, and savvy founders can take advantage of those differences.

To help, Northwest Registered Agent analyzed state-by-state filing costs, tax structures, and ongoing obligations. The result: a definitive list of the Top 10 Most Affordable States to Start a Business in 2025.

This year’s standouts include:

  • Wyoming – Ultra-low startup fees, no corporate income tax, and one of the nation’s most competitive tax structures earned Wyoming the No. 1 spot.
  • South Dakota – Entrepreneurs benefit from zero personal or corporate income tax and one of the lowest statewide sales taxes in the U.S.
  • Alaska – With no personal income tax, no statewide sales tax, and generous regional incentives, Alaska is a surprisingly founder-friendly frontier.
  • Florida – No personal income tax, moderate corporate tax rates, and world-class infrastructure—from airports to seaports—making Florida a launchpad for global business.

And that’s just the start. From Montana’s rock-bottom filing fees, to Nevada’s tax-free climate, to Texas’s $2.7 trillion economy, several other states round out the top 10.

“Choosing the right state to launch can significantly impact a new businesses’ budget,” said Aigner Wilson, Senior Content Specialist, Northwest Registered Agent. “Our 2025 ranking helps founders spot hidden savings while tapping into states that are actively supporting entrepreneurs.”

The full ranking considers startup costs, tax exposure, and regulatory requirements. The complete list and state-by-state analysis are available at: Top 10 States to Form Your Business (2025 Guide). Northwest Registered Agent business formation service is only $39 plus state fees, this is a much lower price point than many of their competitors and includes support and guidance at every step.

About Northwest Registered Agent

Northwest Registered Agent, LLC was founded in 1998 to provide registered agent and business filing services to companies across the U.S. The first registered agent to locally deliver all client’s documents in real-time, Northwest Registered Agent, LLC is always at the forefront of innovation in the industry. Visit the website at www.northwestregisteredagent.com/.