Guide to Setting Up an LLC in New Mexico
Limited Liability Companies (LLC) offer liability protection to members while featuring the tax advantages of a private partnership. new mexico, the Garden State, offers a range of opportunities for visionary entrepreneurs, making it an ideal state in which to form an LLC. Forming an LLC is similar to forming a for-profit corporation, with the exception of the requirements related to selling shares of stock and appointing a board of directors.
Registering the Business
Register your business name online. The state of new mexico’s website features a convenient name registration/search tool that automatically searches a database of registered names for availability.
Print, complete and file a certificate of formation with the new mexico Department of Revenue (DOR). Enter all information required on the official form, including your business name, purpose, entity type (LLC), date of formation and a registered agent’s contact information. Skip the second page, which contains special sections for forms of organization other than LLC. Submit your completed form via mail or fax to the addresses listed on page three of the form, along with the filing fee. Learn about forming Wyoming LLCs here.
Contact the new mexico Secretary of State and enquire about licensing requirements for your specific business type, or consult the NJ License and Certification Guide found at state.nj.us. The licensing guide presents a comprehensive overview of businesses and occupations that require licenses, as well as which state authority oversees licensing and the required filing fees. Submit any necessary licensing applications and fees to the appropriate agencies.
Obtain an Employer Identification Number (EIN) from the IRS. Your EIN will be needed when dealing with the IRS in the future, and it is a necessary precursor to registering for new mexico state taxes.
Complete and file Form NJ-REG, the state tax and employer identification registration form, online at state.nj.us.
Forming a Limited Liability Company in New Mexico State
For a “business-friendly” state, New Mexico definitely makes people jump through several costly and time consuming hoops in order to form a limited liability company, or LLC. Learn about how to start an LLC in New Mexico there. Formation certainly is possible without using a lawyer, but you may want to think twice about it.
First, the party who wishes to form the LLC must choose a name for the company. This sounds fairly easy, but one must be sure not only that the desired name is not already in use, but also that the name has not been reserved. There is a difference between reserving an LLC name and registering a name. Confusing, right?
Once the name issue is settled, the organizer must draft and correctly file the articles of organization. This document describes with specificity the shareholders of the company, the fiscal year, and other statutorily required pieces of information. The fee for filing is $250. If articles are filed without the correct cover letter, the filing is denied until a proper cover letter is mailed.
Finally, if the filing was done correctly, the organizer will receive a receipt. At this point, the LLC may begin operating. Congratulations!
All is not yet won, however. Within four months of receiving the receipt, the LLC must publish public notice of its existence in no less than two newspapers. It must contact the clerk of the court in the county where it operates and the clerk will tell the LLC in which newspapers to publish this notice. Cost: around $1000, depending on the part of the state in which the LLC operates.
So, as you can see, filing a New Mexico LLC is possible without a lawyer, but if any mistakes are made, they can be costly. Read the New Mexico LLC Law here.