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A New Mexico business license gives your Limited Liability Company (LLC) permission to operate in a certain location or within a specific industry.
While we can’t walk you through any applicable license applications step-by-step, we do provide helpful resources like:
- information about state licensing rules
- instructions for researching municipal licenses
And if you want to just hire a company to do the research for you, we have a recommendation below.
New Mexico Business License Requirements
After you form a New Mexico LLC, you may need to obtain a business license or permit.
Your requirements are determined by the industry you are in and where your New Mexico Limited Liability Company is located.
Because of the large number of industries and all of the municipalities in New Mexico, it’s not possible for us to explain them all. However, you can use the search tools below, call your local municipality, or hire a company for help.
Need to save time? We recommend hiring MyCompanyWorks (for $99) to handle the business license research for you.
How to get a Business License in New Mexico
You can obtain a business license in New Mexico by applying with the relevant licensing or regulatory agency. The agency you apply with will depend on where your business is located and what business activities it engages in.
The business license application typically requires basic information, such as your LLC name, EIN Number, business address, and contact information. Many also include a questionnaire that asks about your business activity.
There are three main licensing jurisdictions:
- State licensing
- Local licensing, such as county, city, township, etc.
- Federal licensing
Does New Mexico Require a Business License?
That depends on where your business is located, and what it does.
There are two types of state-level business licenses:
- a general business license
- and an occupational license
New Mexico General Business License
Some states have a general license requirement, which means all businesses operating in those states must have the license, regardless of what they do.
Although New Mexico doesn’t have a general business license requirement, you do have to register with the Taxation & Revenue Department and get a New Mexico Tax Identification Number.
This state tax ID is required to do business in the state, and is different from your LLC’s federal EIN number. You can read more about the New Mexico Tax ID Number requirement in the Taxation & Revenue Department’s Who must register a business?
New Mexico Tax ID Number
Every business operating in New Mexico must have a State Tax Identification Number.
The form to file is called Form ACD-31015 Business Tax Registration Application. There’s no filing fee ($0) for this application.
You can file online through Taxpayer Access Point, or you can file the paper form at a district tax office or by mail.
New Mexico Occupational License
Most states have occupational business license requirements. This means a license or permit may be required depending on what your business does or what your occupation is. For example, if you sell used cars, or run a hair salon, you may need an occupational business license. But a license may not be required for other types of businesses.
The New Mexico Regulation & Licensing Department (“RLD”) handles the majority of occupational licenses in the state. Check out these resources to help you determine if your New Mexico business needs an occupational license or permit, and which agency to contact about applying for the license.
- RLD Divisions
- RLD Boards and Commissions (scroll down for a full list of boards)
- Links to Online Applications
You can look through the other agencies that license businesses on the Business in New Mexico page to see if your industry or occupation needs a business license in New Mexico.
You can also contact the relevant division of the RLD with questions.
Note: New Mexico business licenses are not issued by the Secretary of State. The Secretary of State is responsible for business entity administration, for example Limited Liability Company formation.
How much is a New Mexico Business License?
New Mexico doesn’t have a general business license at the state level, so there are no fees there. And there’s no fee to file the Business Tax Registration Application with the Taxation & Revenue Department.
However, your business may need a state-level occupational license or municipal-level license or permit to operate. The filing fee for these licenses will vary depending on where you’re doing business and what industry you’re in. To be honest, we can’t predict your specific New Mexico business license cost.
For example, licenses issued by a county that contains a large city are usually more expensive than licenses in less populated, rural counties. And licenses for regulated industries, like child care facilities, are usually more expensive than generic business licenses.
But your LLC might not need a license or permit at all. So your New Mexico business license cost could be $0.
See LLC Cost in New Mexico to learn about all the possible LLC fees.
Municipal Business License
Municipal business licenses can be issued by the city, town, county, parish, township, borough, etc. We refer to all of these as a “municipality” to keep things simple.
There are two types of municipal business licenses:
- general business license
- industry-specific license
For example, if a municipality has a general business license requirement, all businesses operating in that municipality must have the license, regardless of what they do.
And if a municipality has industry-specific business licenses, a license or permit may be required depending on what your business does. For example, if you operate a food truck, or run a daycare, you may need an industry-specific municipal business license. Or if you’re purchasing or leasing real estate, you may need a zoning permit.
But a license may not be required for other types of businesses, like making wedding invitation templates or offering marketing consulting.
You can contact your municipality to check on their local licensing requirements:
- New Mexico Municipal League: Municipal Websites
- New Mexico Legislature: Cities and Counties
- New Mexico Counties: Counties Map
New Mexico Gross Receipts Tax
New Mexico doesn’t have a sales tax like other states. Instead, it has a Gross Receipts Tax.
If you sell products to consumers in New Mexico, you may need to collect and pay Gross Receipts Tax.
If your business activities are subject to this tax, your LLC must register with the Taxation & Revenue Department when you file your Business Tax Registration Application (described above).
Note: This requirement will apply whether you sell products online or in a physical location in New Mexico. Learn more about Who must file gross receipts tax?
Tip: Save time by hiring an expert. We recommend using TaxJar. They'll help you register for, collect, and pay sales tax.
Do I need any federal business licenses?
Most businesses in New Mexico don’t need a federal business license. However, certain industries do need federal licenses:
| If your business… | Contact this agency about business licenses |
|---|---|
| Transports animals, plants or biotechnology over state lines | Department of Agriculture |
| Imports or exports animal products, wildlife, or products derived from wildlife (including fish) | Fish and Wildlife Service |
| Fishes commercially | Fish and Wildlife Service |
| Broadcasts on radio or TV | Federal Communications Commission |
| Makes alcohol and sells it at a retail store | Tobacco Tax and Trade Bureau |
| Makes or sells firearms, ammunition or explosives | Bureau of Alcohol Tobacco Firearms and Explosives |
| Transports cargo by sea | Federal Maritime Commission |
| Transports goods or people by air | Federal Aviation Administration |
Check out the Small Business Administration’s Licenses and Permits page for a full list of industries with federal license requirements.
If your business isn’t one of these special cases, then the only federal requirements are that your LLC get a New Mexico EIN Number (aka Federal Employer Identification Number) and that you file taxes.
New Mexico Business License FAQs
How much does a business license cost in New Mexico?
New Mexico doesn’t have a general business license for LLCs, so there are no fees there. And although New Mexico requires every business to register for a state tax ID number with the Taxation & Revenue Department, there’s no fee to file the application.
If your business has to get an occupational license or municipal (city or county) permit, the fees are hard to predict. Depending on your LLC’s location, and what type of business or industry you’re in, the fee varies.
And you might not need a business license at all!
Unfortunately, we can’t say what your LLC’s business license costs would be, because it depends on several factors and the cost of New Mexico licenses varies.
Is an LLC considered a business license?
No, an LLC is not a business license. They are two completely different things.
An LLC is a type of business structure created by filing a document with the state government.
And a business license is a document that gives a person, or a company, the right to transact business. It doesn’t create an LLC.
Does a Sole Proprietor need a business license in New Mexico?
Sometimes a new business owner chooses to operate as a Sole Proprietorship in New Mexico instead of an LLC.
Even if you’re just trying out a business idea as a Sole Proprietorship, you may still be subject to license requirements at the state and municipal levels. It just depends on what you will be doing, and where you will be operating your business.
Does the New Mexico Secretary of State provide a business license?
No, the New Mexico Secretary of State doesn’t handle licensing requirements. Instead, they manage business entity formation and registration. For example, depending on business entity type, business owners file different paperwork with the Secretary of State to create their business entity.
For more information, or to determine if there is a New Mexico business license cost for your business, we recommend contacting the New Mexico Regulation & Licensing Department and/or your local government agency. For example, your local county or city government will have information about any local licenses.
How to start an LLC in New Mexico
Here are the steps to starting an LLC in New Mexico:
- Select a business name for your New Mexico LLC
- Choose your Registered Agent
- File the LLC Articles of Organization with the state
- Complete and sign an LLC Operating Agreement
- Get a Tax ID Number (EIN) from the Internal Revenue Service (IRS)
- Open an LLC bank account
- Check whether you need a business license or tax permits in New Mexico
References
Business in New Mexico
Taxation & Revenue Department: Business Taxes
New Mexico Regulation & Licensing Department: Divisions
Taxation & Revenue Department: Who must register a business?
Matt holds a Bachelor's Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC - all for free! Read more about Matt Horwitz and LLC University.
NEW MEXICO LLC GUIDE
Follow the lessons below to form your New Mexico LLC.
A short comment:
You recommend IncFile, they don’t do business with non-residents
Hi Nick, I know we discussed an issue you had with using IncFile to form your LLC, however, did they tell you they can’t assist with business license research? That doesn’t seem to make sense since your LLC now exists.
You’re right! They won’t help a non-resident form an LLC but may be able to help doing licence rearch.
I opted for another solution: I simply emailed my county.
Nice. Good old fashion research :)