How much does an LLC cost in Massachusetts? Filing for a Massachusetts LLC costs $500 to file the Certificate of Organization. Additional costs may include business licenses, insurance, etc.
LLCs in Massachusetts must name a resident agent with an in-state address. A foreign LLC can do business in Massachusetts by filing for a Certificate of Authority. LLCs here are not required to have managers. They can be member or manager-managed. LLCs protect members’ personal assets.
Forming an LLC: The Steps
Here are the steps to forming an LLC in Massachusetts:
- Search your LLC name
- Choose a registered agent
- File your Certificate of Organization
- Create an operating agreement
- Get an EIN
- Register with the MA Department of Revenue
Benefits of an LLC
This business structure will provide limited liability protection similar to a corporation. However, maintaining an LLC is simpler. You can also get pass-through taxation treatment for income like a partnership.
LLCs in Massachusetts provide liability protection for owners from company debts or legal issues. Their personal assets are generally protected from seizure.
The main benefits of an LLC are personal liability protection and tax advantages. LLC status protects members’ assets from business liability.
Is there an annual LLC fee in Massachusetts?
Forming an LLC in Massachusetts includes a filing fee of $500. Annual reports must also be filed each year for $500. Do LLCs pay taxes in Massachusetts? Yes, LLCs are a “pass-through” tax entity.
The $500 fee is a one-time Massachusetts LLC filing fee. There are no monthly (or annual) fees to start your Massachusetts LLC.
Depending on the state, the Certificate of Organization form is sometimes called a Certificate of Formation or the Articles of Organization. Certificate of Organization is the most common name used in Massachusetts.
Massachusetts business name cost ($0). Naming your Limited Liability Company doesn’t cost anything.
You’ll need an EIN to open accounts, file taxes, and conduct business. It takes 1-2 weeks to form an LLC in Massachusetts.
Consider structure and goals when starting an LLC. An LLC offers liability protection but may not suit businesses wanting shareholders. Corporations allow shareholders but have complex filings.
The main costs are the Certificate of Organization and annual report fees. Going through a service can minimize costs. You’ll need resident agent fees, licenses, insurance, etc.