Getting Started

Naming the LLC

Naming Guidelines in New Mexico

In New Mexico, an LLC must publicly showcase its status by including one of the following phrases as part of the official company name: “LLC,” “L.L.C.,” or “Limited Liability Corporation.” If there are any restricted words in the name of the company, additional paperwork will be required. If a word is already being used by a federal or a state agency, that word is fully prohibited, not just restricted, in New Mexico.

Is the Name for the LLC Available in New Mexico? (How Does a Company Search for Name Availability?)

Companies can find the availability of a certain name using the name search feature .

Is the Domain Name Available?

Companies should check with a domain name registrar to see if a domain name is available. It is not a formal requirement to format a domain name in a certain way; no iteration of “LLC” in the URL is necessary in order to remain in compliance.

Select a Registered/Statutory Agent?

What is a Registered Agent?

New Mexico wants to be able to get in touch with businesses in its jurisdiction. Having a P. O. Box as a business address is not good enough for the state. The state also wants to keep up with incorporated business entities for tax purposes and separate them from independent contractors and self employed individuals. The registered agent helps the state accomplish these goals.

The registered agent is a person or a company that will receive any service of process correspondence [read: official mail] if a business is involved in any legal action. Registered agents also serve as a permanent address for the state of New Mexico to send paperwork to a company.

A registered agent may also be known as a ‘resident agent’ or a ‘statutory agent.’

Who Can be a Registered Agent in New Mexico?

In New Mexico, companies may have a company employee or an outside individual or company serve as the registered agent. However, if the agent is a corporation, it must be duly authorized to operate in the state. If the registered agent is an individual, that person must be a resident of New Mexico.

Filing Articles of Organization

Link to Download

Companies may download the required Articles of Organization.

Is There a Fee?

New Mexico requires a nonrefundable fee of $50 to file Articles of Organization in New Mexico.

Creating Operating Agreement

Does New Mexico Require an Operating Agreement to Form an LLC?

New Mexico does not require an Operating Agreement to form an LLC.

Running Your Business

Getting Your EIN

What’s an EIN?

An EIN is an employee identification number, issued by the Internal Revenue service. Sometimes it is also called a Federal Tax Identification Number. It’s a unique number issued to each business.

You’ll need an EIN to

  1. Open a business bank account.
  2. File Federal and State Taxes
  3. Hire employees.

Before you get your EIN:

  1. Make sure your new business has been properly formed before applying.
  2. Be wary of paid sites. EINs are free direct from the IRS.

How do I get an EIN?

  1. Apply online: The easiest way is to apply online for an EIN. Note, the IRS website has office hours, and is only available Monday through Friday, 7am to 10pm. Yes, we also agree this is one of the most ridiculous things we’ve ever seen.
  2. Call: You can call 1-800-829-4933, between 7am to 7pm of your time zone, Monday to Friday.
  3. Snail Mail – You can download the form and mail it in.

Keep Business and Personal Accounts Separate

  1. Get a business bank account for your business. This will help you protect your personal assets from potential creditors and lawsuits, and will also make life A LOT easier come tax time.
  2. Get a business credit or debit card. This will help you keep your expenses separate and easier to track.

Accounting

No matter what business you run, accounting software and processes is a must for any small business. If you have an accountant, ask them which software they work with and recommend.

A good accounting system is necessary to:

  1. Track income and expenses, so you can easily see if you’re making money
  2. Makes filing income taxes so much easier.

Always try and find something that will:

  1. Sync with all of your bank and credit card accounts automatically – not just downloads, but auto sync.
  2. Automatch vendors, customers and other accounts.
  3. Let you accept credit cards and ach drafts with ease.

If a business has employees, New Mexico requires registration for Unemployment Insurance Tax and Employee Withholding Tax.

How to Register for Sales and Use Tax in New Mexico

If a business is selling taxable goods or services, it must register for the Gross Receipt Tax.

Licenses and Permits

Depending on the industry, a business may need to register for other federal, state and local permits.

Insurance and Workmen’s Comp in New Mexico

All companies must register for Workers Compensation.

Keeping the LLC Compliant

 

Annual Report

Companies in New Mexico are not required to file an Annual Report.

Certificate of Good Standing

A Certificate of Good Standing can be requested in New Mexico online, by email, by fax or in person. There is a $20 fee associated with the request. The website link is here.

Because there is no Annual Report filing, the Certificate of Good Standing is usually only requested in response to a specific query from the state. A company may need to acquire a Certificate of Good Standing from the state after the state notes that some aspect of the business is out of compliance.

How to File a Foreign LLC in New Mexico

New Mexico accepts LLCs from outside of the state boundaries. There is a $100 fee associated with filing a foreign LLC with the state. The link to file is here.