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Start a Business in Michigan

Costs, permits, taxes, and requirements for MI.

Cost Index

91%

9% below avg

Income Tax

4.25%

Sales Tax

6%

LLC Fee

$50

Business Guides for Michigan

Cleaning Business

$1,800 - $9,100

Lawn Care

$2,700 - $18,200

Pressure Washing

$2,700 - $18,200

Food Truck

$45,500 - $182,000

Photography

$4,600 - $27,300

Bakery

$9,100 - $364,000

Restaurant

$159,300 - $682,500

Coffee Shop

$72,800 - $318,500

Catering

$9,100 - $91,000

Landscaping

$4,600 - $91,000

Handyman

$1,800 - $9,100

Pool Cleaning

$1,800 - $13,700

Pest Control

$9,100 - $45,500

Carpet Cleaning

$4,600 - $45,500

Window Cleaning

$1,800 - $13,700

Junk Removal

$4,600 - $45,500

Moving Company

$9,100 - $91,000

HVAC

$13,700 - $91,000

Plumbing

$9,100 - $45,500

Electrician

$9,100 - $45,500

Auto Detailing

$4,600 - $136,500

Car Wash

$9,100 - $455,000

Pet Grooming

$4,600 - $91,000

Dog Walking

$500 - $4,600

Barber Shop

$45,500 - $182,000

Hair Salon

$31,900 - $209,300

Nail Salon

$13,700 - $182,000

Mobile Spa

$4,600 - $45,500

Bookkeeping

$1,800 - $9,100

Tax Preparation

$1,800 - $13,700

Notary Services

$500 - $4,600

Consulting

$900 - $9,100

Event Planning

$1,800 - $18,200

DJ Service

$2,700 - $18,200

Wedding Photography

$9,100 - $36,400

Web Design

$500 - $4,600

Graphic Design

$900 - $9,100

Social Media Management

$500 - $2,700

Personal Training

$1,800 - $45,500

Gym

$45,500 - $227,500

Tutoring

$500 - $9,100

Daycare

$9,100 - $455,000

Vending Machine

$1,800 - $45,500

Massage Therapy

$4,600 - $45,500

Yoga Studio

$13,700 - $91,000

Laundromat

$91,000 - $455,000

Florist

$9,100 - $45,500

Ice Cream Shop

$18,200 - $91,000

House Painting

$1,800 - $13,700

Tree Service

$9,100 - $45,500

Interior Design

$1,800 - $13,700

E-Commerce

$500 - $9,100

Pet Sitting

$500 - $2,700

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Business Requirements in Michigan

1

Register Your Business

File with Michigan Secretary of State. LLC fee: $50

2

Get Business License

Most cities require a general business license ($50-$300).

3

Get EIN

Free from IRS. Required for bank accounts and taxes.

4

Register for Sales Tax

State rate: 6%. Local taxes may apply.

5

Get Business Insurance

General liability protects from lawsuits. Often required by landlords.

Frequently Asked Questions

Q.01 How much does it cost to start a business in Michigan?
Startup costs in Michigan are 9% lower than the national average. LLC filing costs $50, plus business license ($50-$300). Total varies by business type.
Q.02 Does Michigan have income tax?
Michigan has a state income tax rate of 4.25%.
Q.03 What is the sales tax in Michigan?
The state sales tax in Michigan is 6%. Local taxes may apply.
Q.04 How do I form an LLC in Michigan?
File Articles of Organization with the Secretary of State (fee: $50). You'll also need an Operating Agreement and EIN from the IRS.

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