Massachusetts is one of the easiest states to set up a new LLC. We’ll show you how to make your LLC official and what to expect after filing.
Learn more about starting an LLC in Massachusetts
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by Miles Almadrones
Miles is a legal writer and content marketing specialist with a background in operations management and logistics. He...
Legally reviewed by Allison DeSantis, J.D.
Allison is the Director of Product Counsel at LegalZoom, advising and providing leadership to internal teams on the d...
Updated on: December 7, 2024 · 12 min read
A limited liability company (LLC) offers liability protection and tax advantages, among other benefits for small businesses. LLC formation in Massachusetts is easy. Just follow these steps, and you'll be on your way.
From choosing a business name to filing all the necessary paperwork, here’s how to start an LLC in Massachusetts.
You'll need to choose a business name to include in your certificate of organization before you can register your LLC.
Names must comply with Massachusetts’ naming requirements. The following are the most important considerations to keep in mind:
You can use the Secretary of the Commonwealth’s business entity search tool to determine if a particular business name is in use (and be sure to check for any similar variations).
If you aren't ready to register your LLC but are concerned your name might be taken by someone else, you can reserve it for a $30 fee. In Massachusetts, names may be reserved for up to 60 days by paying the fee and submitting the proper form to the Secretary of the Commonwealth by mail or in person.
Massachusetts requires you to appoint a resident agent (also known as a registered agent in other states) for your LLC.
Regardless of the title, a registered agent is the person or entity authorized to receive service of process and other official legal documents and notices on behalf of your LLC.
A registered agent can be a person (including yourself or an employee of your LLC) or an entity that offers a registered agent service. According to Title XXII Chapter 156C, they must be::
Further, LegalZoom can act as your resident agent in Massachusetts and make it easier to keep up with official business mail and compliance deadlines.
The certificate of organization, commonly known as articles of organization in other states, is the document that officially establishes your LLC in Massachusetts. Though it might seem complicated, you’ll just fill out a relatively simple online form and submit it. You can also send it by mail, fax, or in person.
To prepare your certificate, you'll need the following information:
After you prepare the certificate, you’ll file it with the Secretary of the Commonwealth Corporations and pay the $500 filing fee to register your Massachusetts LLC properly. The state will issue you a certificate that confirms the LLC formally exists after the LLC's formation documents are filed and approved.
If there’s an issue with your application, the secretary’s office will contact you directly and explain how to amend the error.
An operating agreement is a document that outlines the way your LLC will conduct business.
Massachusetts doesn't require an operating agreement to register your LLC, but the state recommends you create one to establish the rules and structure for your new business.
Having a readily accessible, written operating agreement is helpful for various reasons, including settling disputes that may arise over financial agreements and other potential litigation. Without an agreement in place, Massachusetts courts make determinations based on state law, not necessarily what is in the best interest of the LLC and its members.
Your LLC operating agreement can include, but is not limited to, the following:
Still, nothing says you need to create the operating agreement by yourself. Simply tell us about your new LLC in Massachusetts, and we’ll create an operating agreement for you and any members to sign.
The nine-digit employer identification number (EIN)—also called a federal tax identification number—is assigned by the Internal Revenue Service to identify your LLC for taxes. You can obtain your EIN by mail or online through the IRS for free, as well as through LegalZoom if you’d like some help.
The purpose of an EIN is to assist with the following:
Once you receive your EIN, you can start to research and apply for business bank accounts for your MA LLC.
Next, you can register for business taxes through MassTaxConnect. LLCs (whether a single-member LLC or a partnership) are considered pass-through entities by default, which means each business owner will report business income on their personal tax returns. However, you can elect to have your LLC taxed as a corporation, both for federal and state taxes.
An additional requirement for LLCs might include making quarterly tax payments. Check with the state Department of Revenue and the IRS.
Additionally, Massachusetts requires businesses to collect a 6.25% sales and use tax on most goods and services. If you hire employees, you should also consider employer taxes, unemployment insurance, and workers’ compensation, among other employer tax obligations in MA.
New LLCs in Massachusetts might need to register for licenses and permits, but the state doesn’t require a general business license. Still, you might need the following certifications depending on your business activities and industry:
For more information, you can contact your local government offices or review the Massachusetts professional licenses and permit requirements. Or, you can leave the license and permit search to LegalZoom, and we’ll find out what your LLC needs in MA.
Registering your LLC gives you a legal foundation to conduct business, but you might take a few additional steps before you officially launch.
Even if you don't think you'll need a webpage, you probably will. At the very least, you should reserve the option of having one in the future by buying your domain name now. Before finalizing your LLC name, it's a good idea to check if the URL is available.
To do so, use domain registrars like GoDaddy, Namecheap, or Google Domains to search for your desired web address. Most businesses opt for a .com domain, though alternatives like .net or .biz can be used if your name isn’t available. Ideally, your domain should match your MA LLC name or be as close as possible to help customers find you.
With your URL secured, you can start to set up domain privacy, hosting, a professional email address, and a website. You might also register for a Google Business Profile if you want to be discovered through Google Search or Maps.
If you open a business bank account, apply for loans, or move your business to a different state, you might need to request a certificate of good standing. You can obtain a certificate of good standing in two ways:
You can request the Secretary of the Commonwealth’s certificate through their online portal, while the DOR certificate requires you to log in through MassTaxConnect. You should also check with the requesting party to determine which certificate you’ll need, if not both.
If you move or expand your LLC outside Massachusetts, you’ll register as a foreign LLC in each state where you operate. In most cases, you’ll need to request a certificate of registration from the Massachusetts Secretary of the Commonwealth, which costs $12 and can be done through the same online portal for certificates of good standing.
You’ll provide this certificate to the new state’s Secretary of State (SOS) or similar agency that oversees business formation. However, be sure to research each state’s individual requirements or consult a business attorney for advice.
All LLCs doing business in Massachusetts must file an annual report with the Secretary of the Commonwealth Corporations Division by the anniversary date of the LLC and pay the $500 filing fee. Keep in mind that failure to submit the report on time may result in a loss of good standing or dissolution, so you should set a reminder to ensure you don’t miss it.
The report is similar to your initial certificate of organization and confirms your LLC’s key information, including the following:
You can file your annual report the same way as for the certificate of organization—either online or by mail, fax, or in person. You can also work with LegalZoom, and we’ll take care of your annual report when it comes time to file it with the MA Secretary of the Commonwealth.
Starting an LLC in Massachusetts costs at least $500, with the LLC filing fee being one of the highest in the nation. However, additional services and optional filings can push costs well over $1,000.
Some of these fees are one-time costs, while others, like registered agent services, are recurring annual expenses. You’ll also need to factor in the $500 annual report filing fee when budgeting for ongoing LLC maintenance costs.
Lastly, remember to budget for any required licenses or permits (plus their renewal fees), which vary widely in Massachusetts and depend on the services you offer.
While you can handle the LLC formation process yourself, sometimes it’s just easier to leave it to the professionals—and LegalZoom is here to do it for you in three steps:
If you’d like to move forward, you can start your LLC with us for $0 plus the $500 filing fees. We can also help with other compliance needs, whether that’s acting as your registered agent or reminding you when it’s time to file your annual report—all for upfront, predictable rates.
Registering an LLC allows you to obtain permits or licenses, including health department permits, zoning permits, home occupation permits, professional licenses, and more. Registering also allows you to open business bank accounts and apply for business credit.
This business structure can also help protect the personal assets of LLC owners in the event of a lawsuit or dispute. Plus, they’re generally easier to establish than other entities that offer liability protection, such as corporations.
Massachusetts doesn’t require a general state business license, but your specific location or industry may have its own requirements. You can check with your city, county, and relevant state agencies to determine which licenses you’ll need, or you can use a service like LegalZoom.
Standard processing for new Massachusetts LLC applications may take between a few days and a couple of weeks, depending on how you apply. For faster processing, you can request expedited service for an additional fee based on your filing total.
If the Secretary of the Commonwealth finds an error in your certificate of organization, they’ll send a notice with instructions on how to correct it. However, unlike some other filings, Massachusetts doesn’t list a fee for correcting LLC filing errors.
To formally dissolve your LLC in Massachusetts, file a certificate of cancellation with the Secretary of the Commonwealth and pay a $100 fee. You should also ensure you’re compliant with all legal and tax obligations before submitting the certificate.
Rudri Bhatt Patel contributed to this article.
Every state has different rules, costs, and considerations for LLC formation.
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