How to Start Your LLC in Maryland
Legal Bueno helps with everything you need to start your business. We take care of all the paperwork so you don't have to worry about it. Want to learn more about the process we handle? Keep reading!
Quick Summary:
- Filing Fee: $100
- Turnaround time: 2 weeks
How do I start an LLC in Maryland?
Thinking about starting an LLC? The process is pretty similar across the states. You'll start by picking a unique name for your business (you'll need to check to make sure it hasn't been taken!) and then filing some paperwork—usually called Articles of Organization or a Certificate of Formation—with your state's agency.
If you want to check the name availability for Maryland, visit https://egov.maryland.gov/BusinessExpress/EntitySearch.
After that's taken care of, you'll want to draft a governing doc for your business called an operating agreement & find any licenses you might need. Just keep in mind that each state has its own little quirks, so it's always a good idea to double-check specific requirements for your area.
What are the costs & processing times of starting a business in Maryland?
Here's the rundown for Maryland:
- The filing fee is: $100
- There are ongoing fees of $300 (every year)
- It usually takes 2 weeks if you're filing online or 5-8 weeks (plus mail time) if by mail.
Why Maryland is a great state for your LLC
Starting a company in Maryland comes with a variety of compelling benefits that make it an attractive option for entrepreneurs:
- Business Incentives: Maryland provides targeted support for women- and minority-owned businesses through various programs, fostering a diverse entrepreneurial ecosystem.
- Tax Credits: Numerous tax credits are available for businesses in specific industries, allowing entrepreneurs to reduce their tax burden and invest more in their companies.
- LLC Formation: Establishing a limited liability company (LLC) in Maryland is straightforward and beneficial for startups and small to medium-sized businesses. An LLC offers:
- No Franchise Tax: Maryland LLCs are not subject to a franchise tax, which can provide significant savings over time.
- Cost-Effective Formation: With a low filing fee of just $100, starting an LLC in Maryland is accessible and economically feasible for new entrepreneurs.
These factors combine to create a supportive environment for entrepreneurs looking to launch or grow their businesses in Maryland.
Legal Requirements
Remember! Legal Bueno will handle all of these requirements for you, but if you're interested, here are the legal requirements for Maryland:
Articles of Organization
The articles of organization must include: 1. The name of the LLC;
- The address of its principal office in Maryland and the name and address of its resident agent; and
- Any other provision, not inconsistent with law, that the members elect to include.
Md. Code, Corps. & Ass'ns § 4A-204
Filing fee: $100
Filing Process
After you've prepared the initial formation documents, you need to file it! Here is what Maryland laws require for filing:
The Department of Assessments and Taxation may not accept for record or filing any document of a limited liability company that does not conform with law.
The Department may not accept for record or filing any articles, certificate, qualification, registration, change of resident agent or principal office, report, service of process or notice, or other document until all required recording, filing, and other fees have been paid.
When the Department accepts for record any articles, certificate, or other document, the Department will:1. Endorse on the document its acceptance for record and the date and time of acceptance;
- Record promptly the document; and
- Send an acknowledgment to the LLC, its attorney, or its agent stating the date and time that the document was accepted for record.
Md. Code, Corps. & Ass'ns § 4A-207
Additional Legal Considerations
Here are some additional relevant laws that might be useful when operating your business in Maryland:
Operating agreement
Md. Code, Corps. & Ass'ns § 4A-402