How to Start Your LLC in Montana
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: $35
- Turnaround time: 5-6 business days
How do I start an LLC in Montana?
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 Montana, visit https://biz.sosmt.gov/search/business.
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 Montana?
Here's the rundown for Montana:
- The filing fee is: $35
- There are ongoing fees of $20 (every year)
- It usually takes 5-6 business days if you're filing online or NO MAIL FILINGS if by mail.
Why Montana is a great state for your LLC
Starting a company in Montana offers numerous advantages that can significantly benefit entrepreneurs. Here are some key reasons to consider:
- Tax Incentives: Montana provides various tax credits and incentives through the Department of Revenue. For instance, the Empowerment Zone Credit allows businesses in designated areas to claim up to $3,000 for each qualified employee, which can substantially reduce operational costs.
- Simplified Business Structure: Establishing a limited liability company (LLC) in Montana is a straightforward process. This structure is particularly favorable for startups and small to medium-sized enterprises, as it simplifies compliance and regulatory requirements.
- Flexible Taxation Options: An LLC allows for easier tax filing and can potentially provide beneficial tax treatment, which is crucial for managing finances effectively.
- Asset Protection: By forming an LLC, business owners can protect their personal assets from liability associated with the business. This separation provides peace of mind and reduces risks.
- Affordable Setup Costs: The cost to file for an LLC in Montana is relatively low at just $35, making it accessible for entrepreneurs looking to start their ventures without significant upfront investment.
Overall, the combination of tax benefits, operational simplicity, asset protection, and low formation costs makes Montana an attractive option for starting a business.
Legal Requirements
Remember! Legal Bueno will handle all of these requirements for you, but if you're interested, here are the legal requirements for Montana:
Articles of Organization
The articles of organization must include:1. The name of the LLC;
- Whether the company is a term company and, if so, the term specified;
- The complete business mailing address of its principal office, wherever located;
- The registered agent information required by Mont. Code § 35-7-105(1);
- If the LLC is to be managed by a manager or managers, a statement that the company is to be managed in that fashion and the names and business mailing addresses of managers who are to serve as managers until the first meeting of members or until their successors are elected; or if the management of the LLC is reserved to the members, a statement that the company is to be managed in that fashion and the names and business mailing addresses of the initial members;
- Whether one or more members of the company are to be liable for the LLC's debts and obligations; and
- Any other provision, not inconsistent with law, that the members elect to include.
Mont. Code § 35-8-202
See Mont. Code § 35-8-202 for further requirements for the articles of organization.
Filing fee: $70
Filing Process
After you've prepared the initial formation documents, you need to file it! Here is what Montana laws require for filing:
If the secretary of state determines that any document required to be filed conforms to the filing provisions and that all required filing fees have been paid, the secretary of state must:1. Endorse on the signed document the word “filed” and the date and time of accepting the document for filing;
- Retain the signed document in the secretary of state's files; and
- Send a certification letter to the person who filed the document or to the person's representative.
All documents filed with the secretary of state must reflect the name of the LLC and all series of members within the LLC if the LLC has one or more series of members.
Mont. Code § 35-8-205
Additional Legal Considerations
Here are some additional relevant laws that might be useful when operating your business in Montana:
Effect of operating agreement–nonwaivable provisions
Mont. Code § 35-8-109
Certificate of existence or authority
Mont. Code § 35-8-216
Annual report for secretary of state
Mont. Code § 35-8-208
Series LLC Provisions
Mont. Code § 35-8-202