Forming a Limited Liability Company (LLC) in New Mexico involves several steps, including filing the necessary paperwork and complying with state regulations. Here's Here is a brief overview of what you will need to create an LLC in New Mexico:
1. Choose a Name for Your LLC
Select a unique name for your LLC that complies with New Mexico's naming requirements. The name must include the words "Limited Liability Company" or an abbreviation like "LLC" or "L.L.C." Additionally, ensure the name is distinguishable from existing businesses registered with the New Mexico Secretary of State.
2. Conduct a Name Search
Perform a name availability search on the New Mexico Secretary of State's website to ensure your desired LLC name is not already in use. You can also reserve a name for up to 120 days by filing a Name Reservation Application with the Secretary of State.
3. Appoint a Registered Agent
Designate a registered agent for your LLC who will be responsible for receiving legal documents and official correspondence on behalf of the company. The registered agent must have a physical street address in New Mexico and be available during regular business hours (like us!).
4. File Articles of Organization
Prepare and file Articles of Organization with the New Mexico Secretary of State. This document officially establishes your LLC and includes essential information such as the LLC name, registered agent's name and address, business purpose, duration (if not perpetual), and management structure (member-managed or manager-managed).
5. Pay Filing Fees
Submit the Articles of Organization along with the required filing fee to the New Mexico Secretary of State. The filing fee varies depending on whether you file online or by mail. You can pay the fee online using a credit card or by enclosing a check or money order with your mailed documents.
6. Create an Operating Agreement
While not mandatory under New Mexico law, it's highly recommended to create an Operating Agreement for your LLC. This internal document outlines the ownership structure, management roles, voting rights, profit distribution, and operating procedures of the LLC. The Operating Agreement helps clarify the rights and responsibilities of the LLC's members and can prevent potential disputes in the future.
7. Obtain an EIN
Apply for an Employer Identification Number (EIN) from the Internal Revenue Service (IRS). An EIN is necessary for tax purposes, hiring employees, opening bank accounts, and other business-related activities. You can obtain an EIN online through the IRS website at no cost. Any entity other than a sole proprietor/individual owner that does not have employees must obtain a Federal Employer Identification Number (FEIN).
8. Comply with Tax and Regulatory Requirements
Register with the New Mexico Taxation and Revenue Department to obtain a Business Tax Identification Number (BTIN) for tax purposes. Depending on your business activities, you may also need to obtain additional licenses, permits, or certifications at the state or local level. https://www.tax.newmexico.gov/Businesses/who-must-register-a-business/
By following these steps and complying with New Mexico's legal and regulatory requirements, you can successfully create an LLC and lay the foundation for your business venture.
With over 30 years of experience in the legal industry, it is our goal at Briones Business Law Consulting to provide legal guidance effectively and efficiently for all your business needs.
Contact us today for assistance in filing and preparing the documents you need for your LLC!
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