How Much Does It Cost to Start a Montana? LLC (All Fees Revealed)
Are you wondering how much a Limited Liability Company costs in Montana? Well, look no further, starting a Limited Liability Company (LLC) in Montana is an appealing option for many business owners, yet many don’t know that it can be done affordably (it’s only $35 to submit Articles of Organization to the state). Once a person understands that they will need to pay fees associated with the formation of an LLC and obtain the necessary business licenses to conduct business, forming a Limited Liability Company in Montana becomes a much more viable option.
This article will discuss the Montana LLC cost needed to create this type of entity and explain what fees are applicable so that potential business owners can make their decision with confidence.
- Hire Professionals for Montana LLC (from $0 + state fees)
- Quick Costs for Montana LLC Breakdown & Best Options
- Main Pros & Cost-Efficiency of Incorporating a Montana LLC
- How Much Does a Limited Liability Company Cost in Montana? (2023 Details)
- Montana LLC Articles of Organization Filing Fee ($35)
- Montana LLC Annual Report Fee ($20/year)
- Montana Business License and Permit Fees (varies)
- Montana Registered Agent Fee ($0 or $125/year)
- Montana LLC Business Name Cost ($0)
- DBA Cost of LLC in Montana ($20)
- LLC Operating Agreement Fee ($0)
- LLC EIN Number Fee ($0)
- LLC Taxes (varies)
- Hiring an Accountant
- Key Steps for Maintaining a Montana LLC
- Get Professional Help in Forming an LLC in Montana
Quick Costs for Montana LLC Breakdown & Best Options
|Who forms the LLC?||Total fees|
|You form the LLC in Montana yourself||$75 = ($35 Articles of Organization+$20 Annual Fee+$20 DBA)|
|by using ZenBusiness||$0 + state fees|
|by using Northwest Registered Agent||$39 + state fees|
|see our other top-rated LLC service providers||varies|
Main Pros & Cost-Efficiency of Incorporating a Montana LLC
Business owners operating in the state of Montana can benefit greatly from incorporating a Montana LLC business structure. An LLC, or limited liability company, is a type of business entity that offers personal asset protection, just like any other type of corporation. However, it has generally simpler formation and management requirements with an organization fee ranging from $50 to $90 compared to the federal compliance costs mandated for larger business organizations. A multi-member LLC may also take advantage of federal income tax benefits, including separate taxation and pass-through treatment. When considering these factors as well as the protection offered against debts, liabilities, and legal proceedings by forming a Montana LLC, it is clear that this is a highly cost-efficient business structure to form when venturing into the realm of entrepreneurship.
If you’re not planning to do business in Montana — here you can find out how you can set up an LLC in any state yourself.
How Much Does a Limited Liability Company Cost in Montana? (2023 Details)
LLC startups in Montana can take many more steps to complete that paperwork. But it does not necessarily require as much cost. We explain all of Montana LLC’s cost details in the following paragraph. A Montana LLC is $35. It is based on the amount paid by the Articles governing organizations. This will be sent to Montana State Secretary. When approved, the LLC will be created. In addition to the LLC filing fees, it is possible that a Montana limited liability company will be formed.
Montana LLC Articles of Organization Filing Fee ($35)
LLCs are set up for $35. These fees represent the filing fees for documents named the Montana Articles of Organization. Montana Articles of Organization charges were once $60, but were reduced to $20 in 2022. This organization document must be submitted by Montana’s Secretary of State. When you approve it will become your own company. It is a one-time cost. There are no monthly costs to set up a Montana LLC. Notable: LLC’s have become the preferred business structures in Montana. They have become more common business entities as they provide liability protection for an LLC owner.
Most of the time, these documents are referred to as Articles of Organization; however, depending on where you’re located they may also be known as a Certificate of Formation or even a Certificate of Organization. Whatever it is called in your state – this form will help create and establish your LLC!
Montana LLC Annual Report Fee ($20/year)
Montana will require that you update the company’s records with a monthly report. So Montana LLC can continue to operate under the state’s laws. You confirm the information on your annual report by submitting this with Secretary Montana and paying an Annual Report fee. Montana LLCs annual reports cost $20 a year. Generally, this will be paid each year to your LLC for its entire lifecycle. The Annual Report must apply to Montana LLC’s. Limited liability firms.
Montana Business License and Permit Fees (varies)
After an LLC has formed, you must consider other State requirements and regulations. If your LLC has business operations in Montana or is involved in the same business sector in the state, it may require a new Business License or Permit. You can get business permits with your local government, for example. The fees associated with these licenses differ depending upon place and industry, but are usually not much higher. Several permit and license applications are issued at state levels and the others issued in municipalities (towns, municipalities and counties).
Montana Registered Agent Fee ($0 or $125/year)
Montana laws require naming a registered agent in your LLC. Montana LLCs do not pay filing fees for registered companies. A Registered Representative is someone that receives documents or governmental notices of your LLC from your business in Montana. A registered agent must have an official street address and it is normally available on the day of operation. You do not have to pay additional fees unless you are an LLC registered agent. However, you may choose to use registered agent service. Those costs could range from $100 to $300 a year.
Hiring a Registered Agent service is a good idea if:
(we recommend Northwest)
- Montana law has a strict requirement that states that Registered Agents must have a physical address located within the state. Unfortunately, you do not currently possess such an address in Montana.
- If you want to remain anonymous and protect your address from being listed publicly, it may be possible to hire a company that will allow you to use their address instead of yours.
Montana LLC Business Name Cost ($0)
Forming a Limited Liability Company doesn’t require extra money, as your Montana LLC Name will be given approval once the state’s Articles of Organization filing has been passed. You may have come across websites that tell you an LLC Name Reservation is essential, but this isn’t necessarily true. Generally speaking, most states don’t need an official reservation to form and maintain an LLC.
DBA Cost of LLC in Montana ($20)
Applying for a DBA can be an affordable investment – in Montana, its just $20! It is not mandatory to do so if you’re forming an LLC, but having one will help make your business more visible and successful. Filing with the state or county should take no more than a few minutes of your time.
Note: A DBA is often referred to interchangeably with Trade Name, Fictitious Name, Assumed Name or Fictitious Business Name; all of these phrases are synonymous.
LLC Operating Agreement Fee ($0)
A written agreement for Montana LLC is an agreement between Members. The operation agreement details ownership of the LLC, management of the LLC and distribution of profits for the LLC. The owners of LLCs that are single or multiple members of a business must create and maintain the operating agreements and provide copies for their members to sign. Most web portals charge $100 for an LLC Operating Agreement. Here at LLC University® our templates are free and available in any kind of LLC.
LLC EIN Number Fee ($0)
EIN numbers are also called EINs or Federal Employer Identification Number (FEIN). It is used for filing e-taxation, opening LLC accounts, or hiring workers as necessary. However some websites charge service fees to get the EIN from a corporation, this process is free of charge. An EIN is available from the IRS and can be obtained without any fee. The online submission is completed within few minutes.
LLC Taxes (varies)
The annual tax on Montana LLCs is different, so these annual costs can vary greatly. LLC tax varies from business type to industry. Depending on what business you own, your LLC can be tax-efficient. Please consult the state Revenue Department if you have questions regarding state taxes.
Some of the taxes that LLCs pay are:
- Federal tax
- State income tax
- Local income tax
- Business taxes
- Self-employment taxes
- Payroll tax (if you have employees)
- Property tax (if the LLC owns property)
Hiring an Accountant
To get an accurate assessment of how much your small business should pay in taxes, it’s best to consult with a professional accountant in Montana.
When it comes to accounting services, the fees you pay will vary. Generally speaking, simple tax returns are typically around $300 per year while more complex filings may cost up to $900 or higher.
Key Steps for Maintaining a Montana LLC
When you complete each item in the previous sections you should concentrate on keeping your LLC up to date. This process begins with opening business bank accounts. It helps keep business and personal expenses separate and it also helps greatly in the administration of your taxes. You should also maintain an accurate history of all transactions relating to the LLC. The resulting documents will contain all your invoice sales as well as information relating to your employees.
Keep In Mind: Plan Your Expenses
Your budget spreadsheet will probably seem quite crowded, but don’t worry! This usually represents just one fee and is not worth paying again. Plus, there are no surprises in the registration process for LLCs in Montana. Once this fee is gone, it gives you a chance to expand your business and make profits. You should pay recurring fee to your business to avoid financial failure in the future.
Costs Change Often. Where Can I Find Most Up-to-date Cost & Tax Info?
If you’re wondering about the Latest LLC costs, feel free to reach out to the Montana Department Business Services branch of the Montana Department of Revenue. They’ll be more than happy to answer any questions you may have!
Get Professional Help in Forming an LLC in Montana
It can be difficult and time-consuming to form a Montana LLC all by yourself.
That’s why we decided to give you a few of the best options for professional services that can help you start an LLC in no time & with 0 effort!
#1 – Create an LLC in Montana Using Northwest Registered Agent
Northwest has vast experience in creating LLCs and Corporations. They by far have the best support and client satisfaction rate. We’ve used and tested them ourselves and can guarantee that they’ll do an exceptional job for you.
You can read our full & extensive Northwest review here.
Review count: 4850+
Form an LLC today with Nortwest. They have 98% customer satisfaction rating and over 4150+ verified reviews. They will include 1 year of free registered agent service!
#2 – ZenBusiness can help you form an LLC in Montana
ZenBusiness is one of our top-rated LLC services as well. They have a super value-to-price ratio. And it’s perfect for those who are looking for the cheapest option to form their LLCs. When we tested their service — they’ve done a great job, so we can honestly recommend them.
To know more about them — read our full ZenBusiness review here.
$0 + State Fees
Review count: 4830+
Form an LLC today with ZenBusiness for only $0 + State fees. They Have 98% customer satisfaction rating and over 4830+ verified reviews.
How much does it cost to open an LLC in Montana?
Establishing a Montana LLC is just $35! The one-time cost of the Articles of Organization filing fee serves as your entry ticket. Your industry and its location in Montana, though, might require additional local business permits to operate with an associated price tag. Plus, it’s possible that depending on what your LLC does you’ll need coverage from certain insurance products – so double check if this applies to you too!
How much does an LLC in Montana cost per year?
The Montana Annual Report fee is a must-pay state fee of $20 per year, payable to the Secretary of State. This is the only mandatory annual payment required; additionally, you’ll also need to pay an annual subscription fee (usually around $125) if you’ve used any Registered Agent services. These fees are vital in order for your LLC to remain in good standing and up-to-date with government regulations.
Whether your LLC needs a business license to operate in Montana is contingent on the sector and location. To ensure you are compliant, be sure to contact your local municipality regarding any yearly renewal fees associated with having this permit.
How to Start an LLC?
While there is nothing stopping you from forming your Montana LLC yourself, hiring your own Registered Agent can be the best decision if you are looking to save time and guarantee that all filing documents have been filled out correctly. We highly recommend Northwest Registered Agent services when starting a business in Montana!
Northwest Registered Agent offers exemplary customer service and provides a complimentary year of registered agent services. Additionally, they also offer other helpful services such as an Operating Agreement and filing your Annual Report.
Should I hire an LLC formation service?
If you are looking to start your own LLC and don’t know where to begin! Don’t worry we are here to guide you step by step.
Do I need to hire an attorney to form an LLC?
You are not obligated to hire an attorney to form your LLC in Montana; if you prefer, you have the option of taking care of it yourself.
Although creating an LLC is a relatively straightforward process, some business owners might opt to enlist the help of a lawyer in more intricate cases such as those with multiple investors or that involve particular industry paperwork. Generally speaking, hiring an attorney for this purpose will cost between $800 and $2,500 depending on their experience and expertise.
How do I start an LLC in Montana?
You can start your own LLC in Montana by following these steps:
- Select a unique LLC business name and ensure it is not already taken.
- Select your Montana Registered Agent wisely to ensure all of your business needs are met.
- Make the necessary steps to submit and validate your Montana Articles of Organization.
- Finalize and ratify an LLC Operating Agreement to ensure that your business is protected.
- Obtain a Tax Identification Number (EIN) from the Internal Revenue Service and easily manage your business taxes.
- Create a business bank account in the name of your limited liability company to keep personal and professional finances separate.
- Make sure to double check and ensure that all of the necessary documents are in place.
What’s the cheapest way to start an LLC?
Limited Liability Companies (LLCs) are one of the most popular business structures available. They offer protection from personal liability and provide the flexibility needed to successfully launch and manage a company. One of the most cost-effective ways to start an LLC is by getting business insurance as this will help alleviate some of the costs associated.
Additionally, there are various online resources that can provide step-by-step instructions on how to form an LLC at a very affordable price – often much less than hiring an attorney or accountant. Finally, keep in mind that any fees associated with filing for an LLC in your state need to be paid, as well as taxes when the business begins operating. By being conscious of these costs upfront, it’s possible to start an LLC for an affordable price.
How long does it take to get an LLC in Montana?
When you file for an LLC in Montana online, your request can be approved within a mere 7-10 business days – what could be more convenient?
How much does a Montana business bank account cost?
Depending on your bank, monthly fees may range anywhere from $10 to $20. However, these charges can often be waived by meeting certain requirements like making a set number of direct deposits or keeping an agreed-upon minimum balance in the account. Additionally, there are some banks that don’t charge any kind of monthly fee at all!
How much is a Foreign LLC in Montana?
Establishing a Foreign LLC in Montana involves forming the LLC in another state, then registering (or “Foreign Qualifying”) it with the State of Montana. This is necessary when an LLC does business or operates in both states at once.
The Montana Foreign LLC cost is $70.
Montana requires an LLC established in another state to be officially registered as a Foreign LLC if its operators wish to do business within the state. Conversely, any domestic company founded directly in Montana will become known as a Montana Domestic LLC.
Is Montana a good state for an LLC?
If you’re looking for an ideal place to start a business, look no further than Montana. Here, there’s no state business license fee and the approval process is incredibly swift. Not only that but the representatives at the Secretary of State are always friendly and willing to answer any questions you may have. Ultimately though, your decision should be based on where both you live and do business – something even more important than just location alone!
If you are a Montana resident or work in the state, it is essential that your business be established there. Despite what some websites might say about tax rates and benefits from basing operations in other states, this does not factor into having to reside and operate within Montana. Moreover, lower LLC fees do not necessarily equate to forming an LLC elsewhere being the best decision for you.