Montana Registered Agents: How, Why, and When to Get One

What is a registered agent and what do they do?

A registered agent (RA) is a critical component of any U.S. business. The main function of a registered agent is to provide businesses with a physical address where they can reliably receive official documents like tax notices, compliance notices, legal filing actions, subpoenas, or any other communication that is time-sensitive or requires signature confirmation.

Like other states, Montana requires every business entity to list a registered agent when they file their articles of organization. You have three main options for selecting an RA: Do it yourself, assign another individual, or hire a Montana registered agent service. Since having an RA is a state requirement, there are significant consequences if you don't choose an appropriate registered agent, which we'll discuss later on.

Extra services offered by professional registered agents

In addition to the legal requirement of providing a physical address and point of contact, a commercial agent offers many services that can help your business run more efficiently:

• Document scanning digitizes your important documents for easy access and reduced paper clutter.
• Mail forwarding makes sure you get all of your important mail.
• Time-sensitive mail alerts ensure you never miss a Montana sales tax or annual report deadline.
• Virtual mailboxes manage all your incoming mail and provide a professional, non-P.O. box address, meeting Montana's registered agent requirements.
• Junk mail filtering keeps junk mail right where it belongs—out of sight and out of mind.

All of these services free up time and energy you can spend on building your business or exploring Big Sky Country.

What are the legal requirements for a Montana registered agent?

A Montana registered agent must meet three basic requirements:

• They must be an individual (18 years or older) or a business permitted to transact business in Montana.
• They must reside in Montana if the agent is an individua.l
• They must be consistently available during normal business hours (typically 9 a.m.-5 p.m.)

This last requirement is a big reason many businesses choose to hire a registered agent service.

Why should you hire a Montana registered agent?

There are numerous benefits to hiring a Montana registered agent, from simple convenience to avoiding major legal ramifications.

Legal compliance

Every Montana LLC is required to have a registered agent. Hiring a registered agent service makes it easy to fill that requirement without having the stress of extra responsibilities. Given that most Montana registered agent services cost under $300 per year, it's a small price to pay for peace of mind.

While you may fancy yourself frugal by appointing yourself or a family member as your registered agent, there are risks involved that could cost you more in the long run:

• Incurring fees for missed deadlines. If you lose or forget a tax notice in the stack of mail on your desk and miss the deadline, Montana assesses a late penalty of either $50 or 5% of the tax due. A registered agent service will notify and remind you of upcoming tax deadlines and save you that fee.
• Being served publicly. In the event of a lawsuit against your business, the process server will serve you at your registered office. If that registered office is your place of business, they will serve you there during business hours. Getting served is never fun, but getting served in front of your customers can be embarrassing and bad for business. When you have a professional registered agent, the service of process will be delivered there instead.
• Legal ramifications. Should your business change addresses and you forget to file the change of address form with the Montana Secretary of State, you could face several consequences of non-compliance, some more severe than others:
• Financial penalties. If the Secretary of State, IRS, or lenders cannot contact you because you failed to file a change of address form, they can fine you.
• Default judgment. If you fail to accept service of process and all subsequent delivery attempts, you could automatically lose whatever legal case was brought against you.
• Contempt of court. If you are subpoenaed to appear in court for a case involving your business, but you don't respond in time because the notice was sent to your previous address, they can hold you in contempt of court.
• Loss of business license. If the state of Montana discovers that you have failed to update your address and it is not swiftly rectified, they can revoke your business license and shut down your business.

You can avoid all of these risks by hiring a registered agent service that will notify you of important deadlines, receive legal and business documents, and file important paperwork for your business.

Privacy

Whatever address you list as your registered office on your Montana articles of organization will be a public record attached to your company. If, for example, you use your home address, anyone can access that information with a simple search. That means that any disgruntled customer or employee could pay an unwanted visit to your home. Using a registered agent service would help maintain your privacy and security.

Separation between your business and personal life

In addition to privacy, a registered agent service creates a healthy boundary between your business and personal life. It keeps business mail out of your private residence. It saves you late nights filing paperwork. Plus, it saves you a lot of stress.

Added services and benefits

The extra services mentioned above—mail forwarding, junk mail filtering, and virtual mailboxes—are also great reasons to outsource your registered agent duties.

Who should hire a professional registered agent?

If you're still wondering if hiring a registered agent service is right for your business, ask yourself:

• Do I value my privacy?
• Could I use extra time to focus on my business or personal affairs?
• Could my business benefit from the added professionalism of a physical address?
• Do I want to keep my business life separate from my personal life?
• Do I have a history of missing important deadlines?
• Is legal jargon confusing to me?
• Do I get overwhelmed by piles of mail?
• Do I hate filling out forms?
• Do I want to keep my business in good standing?

If the answer to any of these questions is a resounding "yes," then hiring a registered agent will be a worthwhile investment for your company. Plus, it's a tax write-off.

How to hire a Montana registered agent

If you're ready to secure your business and hire your Montana registered agent, LegalZoom is ready to help. Simply tell us your business name and answer a few questions, and we'll file any necessary forms and set up your online account. If you are switching from another registered agent service, we'll submit the appropriate form and cover the fee required to file the change with the state. It doesn't get any easier than that!

Montana registered agent FAQs

Can I change registered agents in Montana?

Yes, you can change your registered agent by completing a Statement of Change of Registered Agent with the Secretary of State. If you choose to hire LegalZoom, we will file that for you.

Can I be my own registered agent in Montana?

Montana laws allow you to be your own registered agent as long as you have a physical address in Montana and are available for all regular business hours. It is important to be aware of the requirements and risks involved to keep your business in good standing.

Can I use a friend as a registered agent?

According to Montana laws, you can use a friend as a registered agent as long as they are an adult, they have a physical address in Montana, and they are consistently available during regular business hours to accept service of process and other official communications.

Should you hire a registered agent before forming your LLC?

The Montana articles of organization require you to list your registered agent, so if you're going to hire one, it's helpful to do so before you start the form.