How To Fill Out The Montana Articles of Organization
Are you looking to start a business in Montana and need help understanding how to create an LLC?
You’ve come to the right place! Starting a business can be a complicated process, but with the right information and guidance, it doesn’t have to be overwhelming. I’ll go over how to form a Montana LLC and how you can fill out the Articles of Organization without an attorney.
Anyone can learn how to form their own LLC, but using an entity formation service like Zenbusiness, Northwest,
and IncFile guide you through the LLC formation process, so you will save time and know everything was done right.
Zenbusiness and IncFile are running a special where you only pay state fees for your LLC formation!
Steps To Fill Out The Montana LLC Articles Of Organization
To get started, log on to ePass Montana, which is the Montana Secretary of State’s website, and create an account.
Then select Articles of Organization for Domestic Limited Liability Company.
Step 1: Select Processing Options and the Effective Filing Date
In step 1, you will select the processing time for the LLC, in addition to the effective filing date.
Some will delay the LLC start date if they aren’t ready to go but want to get the filing out of the way, or if they are close to the end of a calendar year and want to delay until the following year so they won’t have to file business taxes.
Choosing “when filled with the Secretary of State” is the most common option, and upon the state’s approval, the LLC will start immediately. Otherwise, you can enter a date 90 days or less in the future to have it start.
Step 2: Choose the Business Structure Type and Name
If forming a regular LLC (that’s what most businesses will choose), select “Limited Liability Company.”
If the business activities require a professional license from the state, you will want to select “Professional Limited Liability Company.” Common licenses for professionals include accountants, attorneys, and veterinarians. See what licenses and permits are needed in Montana for more information on what businesses need professional licensing.
A “Series Limited Liability Company” provides liability protection across multiple asset groups or businesses, each of which would be protected from liabilities from the other series. The Series LLC is not a common choice and is typically most common with real estate investment companies.
A “Professional Series Limited Liability Company” is a Series LLC that provides services that require state licensing.
An out-of-state LLC wanting to do business in Montana will have to register as a foreign LLC by filing the Application for Certificate of Authority with the Montana Secretary of State.
Next, you want to make sure the name you want is available.
You are first asked whether the name had previously been filed. This isn’t common, so most will select “No,” however if you previously reserved the name, select “Yes.”
It’s critical to do a name search before registering an LLC name, as the name of each LLC must be distinguishable from other entity names registered in the state of Montana. The Montana Secretary of State makes it easy to search and verify if your LLC name is available. Here is more information on how to do a Montana LLC name search.
In addition to the name being unique, the entity designator (identifier used at the end of the business name) must be either:
– Limited Company
– Limited Liability Co
– Limited Liability Co.
– Limited Liability Company,
– L C
– L L C
– L. C.
– L. L. C.
– L.C.
– L.L.C.
– LC
– LLC
– Ltd Co
– Ltd Co.
– Ltd. Co
– Ltd. Co.
A comma may be used after the business name and before the designator. “Cowboy Cleaners LLC” and “Cowboy Cleaners, LLC” are both acceptable.
Step 3: Enter Entity Details
Next, information about the entity will be entered.
In the first box, the duration of the LLC is asked, which is how long it will remain in existence. Most LLCs will choose “Perpetual / Ongoing” as there is no predetermined close date. Some businesses (usually investment-related) will have a specific closure date and would choose “Future Date.”
Next, in the business purpose box, you will provide some basic information about what the business does.
Read more about answering the business purpose.
Last, enter the mailing address of the Principal Office. This can be the address of where the business will operate,
Additionally, if there is a physical address, such as an office or storefront, that is different from the mailing address, it can be added as well.
Step 4: Appoint a Registered Agent
Every LLC in Montana is required to have a Registered Agent. A Registered Agent is the central point of contact to receive legal documents, tax notices, summons, subpoenas, etc., on behalf of the LLC.
The registered agent can either be an individual or an organization, though the business entity being formed can’t be it’s own registered agent.
The basic requirements to be a Registered Agent in Montana include:
– The agent must be a Montana resident at least 18 years of age or a commercial Registered Agent service with a registered office in the state.
– The agent must have a physical address in the state (PO Boxes aren’t allowed).
– The agent must generally be available during normal business hours at the address provided to receive service of process.
Learn more about the requirements for a Registered Agent in Montana.
It is required that the registered agent has consented to be the registered agent of the LLC.
Step 5: Add the Members or Managers of the LLC
This section first asks if the LLC is managed by the managers or members.
– Member-Managed LLCs have an active involvement in the day-to-day operations of the business. Most LLCs are Member-Managed.
– Manager-Managed LLCs have managers hired by the members to run the LLC, similar to a CEO of a corporation.
The next question asks if the members are liable for the LLC’s debts. While you can select no, if the LLC needs a loan, the bank will require the member to personally guarantee a loan, which means they will still be liable for the debts of the LLC.
Last, enter the name and address of the members. At least one member must be entered.
Step 6: Add any Additional Provisions
If there are additional items you wish to include regarding the formation of the LLC (not common), attach them in this section.
Step 7: Review the Articles of Organization
In step 7, you will review the Articles of Organization to ensure the information is correct. If so, click “Next Step” to finish the filing.
Step 8: Sign & Submit the Articles of Organization
To finish the filing, read and agree to the declarations, and then an organizer or someone authorized to file the paperwork will sign the Articles of Organization.
This material is property of StartingYourBusiness.com
How much does a Montana LLC registration cost?
The state filing fee to create a Montanta LLC is $35.
Does a Montana LLC need any business licenses?
The requirements for business licenses and registrations in Montana vary depending on what the business does and where it’s located.
Here is a list of common business licenses in Montana.
What is the processing time to form a Montana LLC?
It normally takes 7-10 business days to process the LLC paperwork in Montana. Expedited processing is available for an additional fee.
Does Montana require an operating agreement for an LLC?
Under Montana law, statute § 35-8-109, a Montana LLC operating agreement is optional, regardless of the number of members.
Despite the operating agreement not being required, it is recommended to have one, especially for multi-member LLCs, as it can help to prevent disputes among members and protect the LLC’s legal status.
Should I use an LLC formation service or do it myself?
The right answer for everyone is different. If after reading our guide, you may feel overwhelmed or unsure of the process, and if so using an LLC formation service may be the best option. Formation services
break down the process and make sure that all of the legal paperwork is properly filled out and submitted.
Two of my top formation companies have a special offer where you can get your LLC formed without paying any additional fees (state fees still apply). Check out Zenbusiness
and IncFile to learn more.
Do Montana LLCs need an EIN?
Only Montana LLCs that either have more than one member, will hire employees, or elect to be taxed as a partnership or corporation are required to get an Employer Identification Number (EIN).
The EIN or Employer Identification Number (also called a Federal Employer Identification Number or FEIN) is a unique 9-digit tax identification number that is assigned by the Internal Revenue Service (IRS).
If the LLC isn’t required to get an EIN (though you can still get one), the LLC will use the social security number of the business owner.
Related: How to Apply for an EIN
How much does it cost to file an annual report in Montana
Each year, Montana LLCs will need to file an Annual Report and pay the $20 state filing fee with the Secretary of State to keep the LLC active.
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