How to form an LLC in New Mexico
This Quick Start Guide is a brief overview of how to form an LLC in New Mexico.
Detailed Lessons:
5. EIN Number
6. No Annual Report
7. Business License
8. Taxes
New Mexico LLC costs:
LLC formation: $50 (one-time fee)
Annual report: None
Need help?
Hire a company to form your New Mexico LLC:
Northwest ($39 + state fee) or LegalZoom ($149 + state fee)
★ Check out Northwest vs LegalZoom
Here are the costs to forming a New Mexico LLC:
| New Mexico LLC Items | Cost |
|---|---|
| Articles of Organization | $50 |
| Registered Agent | $0 or $125 per year |
| Operating Agreement | Free on our site |
| EIN Number | Free from IRS |
| Annual Report | No Annual Report in NM |
| Taxes | Varies (paid every year) |
How much does an LLC cost in New Mexico?
Setting up a New Mexico LLC costs $50. This is the state filing fee for a document called the Articles of Organization.
The Articles of Organization is filed with the New Mexico Secretary of State and once approved, this is what creates your LLC.
The $50 fee is a one-time fee. You don’t have to pay any monthly (or annual) fees to maintain your New Mexico LLC.
You can only file the Articles of Organization online. Approval time takes 1-3 business days.
But that’s just the filing fee for the Articles of Organization. There are a few other costs you have to consider when forming an LLC in New Mexico.
Note: For instructions on how to form an LLC in New Mexico, please use the links at the top of this page.
New Mexico LLC Name ($0)
Naming your New Mexico LLC doesn’t cost anything. The New Mexico Secretary of State doesn’t require you to file a Name Reservation or anything like that.
Your LLC name is approved (at no extra cost) when your Articles of Organization is approved.
New Mexico Registered Agent ($0 or $125/year)
New Mexico law requires that you designate a Registered Agent when forming your LLC.
A Registered Agent is a person or company who receives legal documents (called “Service of Process”) if your LLC is involved in a legal proceeding.
There is no additional cost if you (or someone you know) will be your LLC’s Registered Agent.
However, if you hire a Commercial Registered Agent, that will cost you about $125 per year.
Hiring a Commercial Registered Agent is a good idea if:
- you don’t have an address in the state (New Mexico law requires a Registered Agent to have a physical address in the state)
- you want to keep your address off public record (depending on which company you hire, you may be able to use their address throughout your entire LLC filing for extra privacy)
New Mexico LLC Operating Agreement ($0)
Most websites charge $50 – $200 for an LLC Operating Agreement.
Here at LLC University®, we offer free Operating Agreement templates both for Member-Managed New Mexico LLCs and Manager-Managed LLCs that you can download.
EIN Number for a New Mexico LLC ($0)
An EIN Number is also known as an Employer Identification Number (EIN) or a Federal Tax ID Number (FEIN). They mean the same thing.
Although many websites charge a service fee to help you get an EIN for your LLC, it’s actually free. You can obtain an EIN for your LLC from the IRS at no cost.
We have step-by-step instructions on how to get an EIN for your New Mexico LLC on our website.
New Mexico LLC Annual Report
Good news: New Mexico LLCs do not have to file any Annual Reports!
While most states require you to regularly update your LLC’s information with them (via Annual or Biennial Reports), New Mexico does not.
After filing your Articles of Organization, you don’t have to file any other document with the New Mexico Secretary of State.
New Mexico Business Licenses and/or Permits
Depending on where your LLC does business in New Mexico and the industry you’re in, you may need to obtain certain business licenses and/or permits.
The costs will vary depending on location and industry, but usually these fees are not too high.
If you think your business may require a license or permit, you can call you county’s government office for assistance.
New Mexico LLC Taxes (varies)
There are many different types of taxes that LLC owners must pay. Federal income tax, state income tax, payroll tax (if your LLC has employees), sales tax, and more.
What kind of taxes and how much you’ll have to pay can be determined by working with a qualified accountant in New Mexico.
The amount you’ll pay your accountant will vary, but most small business owners pay their accountant between $300 to $900 per year.
Do I need to hire an attorney to form an LLC?
You are not required to hire an attorney to form your LLC in New Mexico (although you certainly can if you want to).
An attorney usually charges between $800 to $2,500 to form your New Mexico LLC. Their fee may be in addition to the $50 state filing fee.
You can save a lot of money if you form your LLC yourself. You can follow our free New Mexico LLC lessons to help you form your LLC (links are at the top of this page).
Should I hire an LLC filing company?
An LLC filing company usually charges $50 to $400, depending on the company.
If you need to save time, you can hire a professional to form your LLC in New Mexico. We recommend using Northwest Registered Agent ($39 + state fee) or LegalZoom ($149 + state fee).
In summary…
New Mexico LLC Filing Cost
The total New Mexico LLC formation costs (the cost to create the LLC) is $50.
This is the only amount you have to pay if you file the Articles of Organization yourself.
New Mexico LLC Annual/Recurring Costs
There are many different types of taxes that we as business owners must pay. Federal income tax, business taxes, sales tax, payroll tax (if you have employees), sales and use tax, property tax (if the LLC owns property), and more.
How much you’ll pay in taxes can only be determined by working with a qualified accountant in your area.
The amount you’ll pay your accountant will also vary, but most accountants for a new business starting out will cost between a few hundred dollars per year to about $900 or $1,200 on the more expensive end.
Additional Costs
Hiring a Registered Agent company will cost you about $125 per year.
And of course there’s taxes, which include the amount you pay in taxes and how much you pay your accountant for their services. This will vary quite a bit and we’re not able to provide an estimate. You’ll need to speak to a few accountants regarding your business.
References
New Mexico Business Portal
New Mexico Taxation and Revenue Department
New Mexico Secretary of State: Domestic NM LLC
New Mexico Secretary of State: Statutes Governing Businesses in NM
New Mexico Secretary of State; Domestic NM LLC Business Maintenance
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.
Hello,
I would like more information on forming an LLC to tie to my IRA. I would like to know where I could find such info or if you can advise me (legally without liability) in the formation of an LLC for retirement purposes. I do have some general knowledge on the subject, but would like some more light shed on it.
Thank you for your time.
Respectfully,
AM
Hi Alan, at this time, we don’t cover LLCs owned by IRAs.