How to Start Your LLC in Massachusetts
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: $500
- Turnaround time: 1-2 business days
How do I start an LLC in Massachusetts?
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 Massachusetts, visit https://corp.sec.state.ma.us/corpweb/CorpSearch/CorpSearch.aspx.
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 Massachusetts?
Here's the rundown for Massachusetts:
- The filing fee is: $500
- There are ongoing fees of $500 (every year)
- It usually takes 1-2 business days if you're filing online or 1-2 business days (plus mail time) if by mail.
Why Massachusetts is a great state for your LLC
Starting a company in Massachusetts comes with several significant benefits that can enhance your entrepreneurial journey. Here’s why Massachusetts is an attractive state for new businesses:
- Economic Development Incentives: Massachusetts offers business incentives such as the Economic Development Incentive Program Credit (EDIPC), which aims to attract businesses to underserved areas. If your company qualifies as a job creation project, you could earn tax credits of up to $5,000 for each job created. This can effectively reduce your operational costs as you expand your workforce.
- LLC Formation Advantages: Establishing a limited liability company (LLC) in Massachusetts is a streamlined process, making it a preferred choice for startups and small-to-medium enterprises. An LLC provides:
- Support for Local Businesses: The state exhibits strong support for small businesses through various initiatives, resources, and networks that facilitate growth and community engagement. This support can be critical for new entrepreneurs seeking guidance and collaboration.
- Access to a Robust Ecosystem: Massachusetts is home to a thriving entrepreneurial ecosystem, enriched by access to top-tier universities, skilled labor, and investors. This environment fosters innovation and collaboration, essential for a company's long-term success.
Overall, starting a company in Massachusetts not only offers financial benefits but also creates a supportive community that's conducive to business growth and sustainability.
Legal Requirements
Remember! Legal Bueno will handle all of these requirements for you, but if you're interested, here are the legal requirements for Massachusetts:
Articles of Organization
The certificate of organization must include: 1. The name of the LLC;
- The address of the office in Massachusetts;
- The name and address of the resident agent for service of process provided, however, that the agent's written consent to the appointment is either in the certificate or attached to it;
- If the LLC is to have a specific date of dissolution, the latest date on which the LLC is to dissolve;
- If the LLC has managers at the time of its formation, the name and address of each manager;
- The name of any other person in addition to any manager who is authorized to execute any documents to be filed with the office of the state secretary and at least one such person must be named if there are no managers;
- The general character of the LLC's business;
- If desired, the names of one or more persons authorized to execute, acknowledge, deliver and record any recordable instrument purporting to affect an interest in real property, whether to be recorded with a registry of deeds or a district office of the land court; and
- Any other matters the authorized persons decide to include.
Mass. Gen. Laws ch. 156C, § 12
Certificate of organization: $500
Filing Process
After you've prepared the initial formation documents, you need to file it! Here is what Massachusetts laws require for filing:
The original signed copy of the certificate of organization, and of any certificates of amendment or cancellation or of any judicial decree of amendment or cancellation, and of any certificate of consolidation or merger or conversion and of any restated certificate, must be delivered to the state secretary, together with a duplicate copy, which may be a photocopy or a duplicate original.
Any certificate authorized to be filed with the state secretary must be signed. Unless the state secretary finds that any certificate does not conform to law, he must:1. Confirm that the certificate has been filed by endorsing upon the original certificate and the duplicate certificate the word “filed,” and the date and time of the filing;
- File the endorsed certificate; and
- Return to the person who filed it or his representative the duplicate copy of the original signed instrument, similarly endorsed.
Mass. Gen. Laws ch. 156C, § 17
Additional Legal Considerations
Here are some additional relevant laws that might be useful when operating your business in Massachusetts:
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