Registration and Licenses
Montana businesses must adhere to various federal, state, and local rules. Some common registrations include:
- Business Licenses – Many cities require a business license.
- Limited liability companies (LLCs) must pay an $800 annual tax in California.
- A DBA ("doing business as") name must be registered at the state, county, and/or city level in Montana, providing a layer of protection and proving company legitimacy.
To register, you need to choose an appropriate name, set up the legal structure, and submit paperwork to the Secretary of State. Keep in mind your liability protection, taxation, management flexibility, requirements, and setup costs, and consult professionals if necessary.
Tax Advantages and Considerations
Montana offers certain tax advantages for businesses, such as no sales tax or corporate income tax. However, businesses may still be subject to other taxes, such as property and business equipment tax.
Starting a Business in Montana
Starting a business includes the following steps:
- Choose Your Structure – We recommend an LLC for asset protection.
- To file an LLC online costs $70.
- You have until the 15th day of the 4th month after starting your business to pay first-year taxes.
Montana’s commitment to industries like agriculture and tourism, along with friendly tax climate, provides significant opportunities for businesses. Make sure to check for any additional licenses and ensure your business name is unique.
Cost of Registration
The expense of registering a business in Montana will vary. For example:
- Filing Articles of Organization for a Montana LLC is $70.
- Registering a Montana-based LLC or corporation costs $35 online.
- Filing as a foreign LLC or corporation has a $70 fee.
To summarize, while Montana offers a pro-business climate with tax benefits, it’s essential to carefully choose your business name and structure, comply with city licensing requirements, and ensure all paperwork is correctly filed with the Montana Secretary of State.