Alabama Corporation Requirements

Each state has different requirements for forming a corporation. Whether you are starting a business or incorporating a business already in existence, you’ll want to understand state requirements for Alabama incorporation.

What is the cost to incorporate in Alabama?

At BizFilings, we clearly outline our fees and the state fees to form an Alabama corporation. View our pricing to incorporate as a C corporation or S corporation to plainly see:

• BizFilings’ package prices. BizFilings offers three incorporation service packages from which you can choose.
• State fee for standard turn-around. Our pricing shows the state fee to incorporate in Alabama with standard turn-around. Please note, Alabama requires the corporation's name to be reserved with the state at the time the incorporation documents are filed. This state name reservation fee is included with the state fee we display in our pricing.
• Expedited turn-around. You will see the BizFilings and state fee, if any, for expedited turn-around.
• Certified copy. Our pricing also clearly displays the BizFilings and state fee, if any, for issuing a Certified Copy of the Articles of Incorporation.

What are the requirements for a corporate name in Alabama?

The corporation's name must contain the word “Incorporated,” "Corporation" or an abbreviation thereof. It must not contain words implying a different business purpose from those in the Articles of Incorporation. The name must not be the same as or deceptively similar to a name already in use, or a registered or reserved name.

What information is required for Corporate Directors in Alabama?

The following are Alabama’s requirements for directors of corporations:

• Minimum number. Corporations must have one or more directors.
• Residence requirements. Alabama does not have a provision specifying where directors must reside.
• Age requirements. Directors must be at least 19 years old.
• Inclusion in the Articles of Incorporation. Director names and addresses are required to be listed in the Articles of Incorporation.

What are the requirements for the Articles of Incorporation in Alabama?

The document required to form a corporation in Alabama is called the Articles of Incorporation. The information required in the formation document varies by state. Alabama's requirements include:

• Officers. Officer names and addresses are not required to be listed in the Articles of Incorporation.
• Stock. Authorized shares and par value must be listed in the Articles of Incorporation. An increase in the number of shares or par value does not affect initial filing fees.
• Registered agent. Corporations must list the name and address of a registered agent with a physical address (no post office boxes) in Alabama. The registered agent must be available during normal business hours to accept important legal and tax documents for the business.

Other filings required at time of incorporation

Some states require additional filings or steps at the time of incorporation, such as a county level filing, publishing notice of the incorporation in a local newspaper or an initial report filing. Alabama requires the following:

• Initial report. Alabama requires corporations to file the Initial Business Privilege Tax Return and Annual Report with the Department of Revenue within two and one-half months of incorporation.
• County Filing. Businesses may be required to undertake a filing at the county level prior to incorporation.

Professional services businesses

Alabama allows professionals, such as accountants, attorneys and physicians, to form a professional corporation (PC).

After forming a corporation, you must undertake certain steps on an ongoing basis to keep your business in compliance. These steps are also important in preserving the limited liability a corporation provides its owners. This guide outlines the ongoing requirements for Alabama corporations.