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Invest in Alabama
A short guide for companies expanding into Alabama: the economy at a glance, the rules and steps to set up, and who can help, each with its source.
1. Alabama at a glance
Population
5.19 million
The population was 5,193,088 as of July 1, 2025.
Source: Census Bureau, state population estimates, July 1, 2025 (opens in a new tab) · as of 2025
GDP
US$339 billion
GDP was US$339,035.1 million in 2025, in current dollars.
Source: BEA, GDP by state, 2025 (annual update, September 2026) (opens in a new tab) · as of 2025
GDP per person
US$65,286
GDP per person was US$65,285.8 in 2025, in current dollars, computed from BEA's GDP and the Census Bureau's population estimate.
Source: BEA, GDP by state, 2025 (annual update, September 2026) (opens in a new tab) · as of 2025
Real GDP growth
2.0%
Real GDP growth was 2.0 percent in 2025, BEA's published percent change.
Source: BEA, GDP by state, 2025 (annual update, September 2026) (opens in a new tab) · as of 2025
Currency and inflation: see the United States at a glance
2. Before you set up
The body that handles foreign investment, any one-stop route, Alabama’s limits on foreign ownership, the zones and other rules for investors, as the guide found them.
SelectUSA names the Alabama Department of Commerce as the state economic development organization for Alabama.
Source: SelectUSA, state economic development organizations list (opens in a new tab) · as of November 3, 2026
Atlas Alabama is a state information portal for planning, launching, managing and growing a small business, and it links agency sites instead of filing registrations itself.
Source: Atlas Alabama, small business portal (opens in a new tab) · as of November 3, 2026
The Alabama Property Protection Act (2023 House Bill 379), in force from August 1, 2023, bars a foreign principal from acquiring title to, or a controlling interest in, covered property.
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
The Foreign-Trade Zones Board's 2024 annual report lists 5 foreign-trade zones in Alabama.
Source: Foreign-Trade Zones Board, annual report 2024, Appendix D (opens in a new tab) · as of 2024
Show 6 more
The act covers agricultural and forest property, and real property on or within 10 miles of a military installation or a critical infrastructure facility.
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
The act's critical infrastructure facilities include chemical plants, refineries, power plants, water treatment plants, liquid natural gas terminals, seaport facilities, spaceport infrastructure and airports.
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
The act names China, Iran, North Korea and Russia as countries of concern and excludes Taiwan; a foreign principal includes their governments, officials and political parties.
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
A foreign principal also includes any country or government on a sanctions list of the Treasury Department's Office of Foreign Assets Control; the text does not name individuals or companies.
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
The act applies only to acquisitions on or after its effective date, and title insurers and settlement providers are not liable for violations.
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
The Legislative Services Agency’s table of 2025 acts lists no act that amended sections 35-1-1 or 35-1-1.1 of the Code of Alabama.
Source: Alabama Legislative Services Agency, 2025 code sections amended (opens in a new tab) · as of September 10, 2025
Investment rules across the United States: see Invest in the United States
3. Steps to set up
The main steps, in order, each with the body responsible and its official page.
Setting up in Alabama
- A corporation formed outside Alabama applies to the Secretary of State for a certificate of authority before it transacts business.Alabama Secretary of StateUS$150 filing feeOfficial page (opens in a new tab)
Source: Alabama Secretary of State, foreign corporations (opens in a new tab) · as of November 3, 2026
- Reserve the business name first if you want it held before you file, using the name reservation form or the online request.Alabama Secretary of StateUS$25 on paper or US$28 onlineOfficial page (opens in a new tab)
Source: Alabama Secretary of State, foreign corporations (opens in a new tab) · as of November 3, 2026
- Register the entity for state taxes in My Alabama Taxes with the Department of Revenue.Alabama Department of RevenueOfficial page (opens in a new tab)
Source: Alabama Department of Revenue, register a business (opens in a new tab) · as of November 3, 2026
- File the business privilege tax initial return within two and a half months of qualifying or starting business in Alabama.Alabama Department of RevenueOfficial page (opens in a new tab)
Source: Alabama Department of Revenue, Business Privilege Tax (opens in a new tab) · as of November 3, 2026
Show 3 more set-up steps
- If the business will have employees, apply for an unemployment tax account number through the Department of Workforce’s eGov system.Alabama Department of WorkforceOfficial page (opens in a new tab)
Source: Alabama Department of Workforce, new employer registration (opens in a new tab) · as of November 3, 2026
- Before you buy or lease land, check the Alabama Property Protection Act’s limits on foreign principals near military installations and critical infrastructure.Alabama LegislatureOfficial page (opens in a new tab)
Source: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab) · as of 2023
- Ask the Department of Commerce about incentives before you commit to a site, because the state approves them project by project.Alabama Department of CommerceOfficial page (opens in a new tab)
Source: Alabama Commerce, tax incentives and grants page (opens in a new tab) · as of November 3, 2026
Steps that apply across the United States: see Invest in the United States
4. Organizations that help investors
Start with Alabama Commerce. Each card links to the organization’s own site.
Each card says what it can help with:Get adviceFind financeMeet requirementsResearch markets
Investment and business setup
- Get advice
State economic development agency
Alabama Commerce
Alabama Department of Commerce
Leads business attraction and runs incentives such as the Alabama Jobs Act credits, the Growing Alabama credit and the Port Credit.
Visit Alabama Commerce (opens in a new tab)Source: Alabama Commerce, tax incentives and grants page (opens in a new tab) · as of November 3, 2026
State business filings office
Secretary of State
Alabama Secretary of State
Qualifies foreign corporations, files other business entities and authenticates Alabama documents for use abroad.
Visit Secretary of State (opens in a new tab)Source: Alabama Secretary of State, foreign corporations (opens in a new tab) · as of November 3, 2026
Show 2 more organizations
Statewide economic development partnership
EDPA
Economic Development Partnership of Alabama
Works on business attraction and expansion, innovation, talent and business research for Alabama.
Visit EDPA (opens in a new tab)Source: Export Alabama, alliance partners page (opens in a new tab) · as of November 3, 2026
State workforce and unemployment agency
Alabama Workforce
Alabama Department of Workforce
Registers employers for unemployment tax accounts through its eGov system.
Visit Alabama Workforce (opens in a new tab)Source: Alabama Department of Workforce, new employer registration (opens in a new tab) · as of November 3, 2026
Customs and tax
- Meet requirements
State tax authority
Alabama Revenue
Alabama Department of Revenue
Registers entities for state taxes in My Alabama Taxes and administers the business privilege tax and Chapter 9B abatements.
Visit Alabama Revenue (opens in a new tab)Source: Alabama Department of Revenue, register a business (opens in a new tab) · as of November 3, 2026
Inland port and intermodal center
Port of Huntsville
Runs an international intermodal center with air and rail cargo at the center of Foreign-Trade Zone 83.
Visit Port of Huntsville (opens in a new tab)Source: Port of Huntsville, home page, 2026 news (opens in a new tab) · as of November 3, 2026
Show 1 more organization
- Meet requirements
State seaport authority
State Port Authority
Alabama State Port Authority
Manages and develops the state’s public seaport facilities, chiefly the Port of Mobile, and directs the state docks.
Visit State Port Authority (opens in a new tab)Source: Mobile County, State Port Authority board sheet, December 2025 (opens in a new tab) · as of December 22, 2025
Chambers and industry associations
- Get advice
Statewide business association
BCA
Business Council of Alabama
Advocates for Alabama businesses on workforce training, infrastructure, manufacturing regulation, tax policy and labor law.
Visit BCA (opens in a new tab)Source: Business Council of Alabama, home page, 2026 news (opens in a new tab) · as of November 3, 2026
5. Worth knowing
Research expense deduction
Act 2025-400 lets Alabama taxpayers deduct research and experimental expenses currently, or defer them as before 2022, for tax years beginning on or after January 1, 2024.
What to do: Ask your tax preparer which treatment suits your Alabama return before you file.
Source: Alabama Legislature, House Bill 163 enrolled, 2025 (opens in a new tab) · as of November 3, 2026
Reserved sectors
Since August 1, 2023, governments, officials and parties of China, Iran, North Korea and Russia, or sanctioned governments, may not acquire farm, forest, base-area or critical-site land.
What to do: Check whether your parcel is within 10 miles of a base or a listed facility before you sign.
Sources: Alabama Legislature, House Bill 379 enrolled, 2023 (opens in a new tab); Governor of Alabama, House Bill 379 signing, May 31, 2023 (opens in a new tab) · as of November 3, 2026
Unabated state taxes
For abatements granted on or after June 1, 2026, Alabama keeps 1.0 mill of state property tax and 0.75 percent of construction transaction tax, paid into the Alabama Development Fund.
What to do: Include the unabated amounts when you model a Chapter 9B abatement.
Sources: Alabama Legislature, House Bill 243 enrolled, 2025 (opens in a new tab); Alabama Department of Revenue, Chapter 9B abatements (opens in a new tab) · as of November 3, 2026
Data center abatements
Act 2026-573, effective June 1, 2026, limits data center abatements granted on or after January 1, 2027 to 20 years, down from up to 30 years.
What to do: Use a 20-year abatement term when you model a data center abatement granted in 2027 or later.
Sources: Act 2026-573, data center abatements, Department of Revenue copy (opens in a new tab); Alabama Department of Revenue, Chapter 9B abatements (opens in a new tab) · as of November 3, 2026
Across the United States: see Worth knowing in Invest in the United States
6. How Promote:Global helps
- Compare the United States with other countriesSet the United States beside other countries on investment momentum, fundamentals and trade access, before site, tax and legal work.
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- Organize your next stepsKeep each product and market in a project, with a roadmap of steps you work through.
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Promote:Alabama is an independent guide by Promote:Global, not an official government portal. The organizations named here are independent public and membership bodies, not Promote:Global partners, and every link goes to their own site.
Facts read from public sources, with an editorial cut-off of November 3, 2026. Nothing here is investment, legal, tax or sanctions advice. Check current status with the organization before you rely on it.