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With its limited liability company (LLC) filing fee being one of the highest in the nation, Massachusetts may seem like a difficult state in which to form your business. While ongoing financial obligations need to be part of the decision-making process, starting an LLC in The Bay State is a good way to provide liability protection and build a business foundation in the state WalletHub ranked as having the best economy.
Additionally, an LLC business structure in Massachusetts provides liability protection, doesn’t have strict recordkeeping requirements (like a corporation does), and can access many of the statewide business funds and grants.
So, despite the high cost of formation, Massachusetts is ripe for opportunity. But before you launch, keep reading to learn all about how to get an LLC in the state including filing paperwork, required deadlines, important service considerations, and more.
Should you DIY or hire professional help in Massachusetts?
Whether you should handle LLC business entity formation yourself or hire professional help depends on your specific situation.
Forming an LLC in Massachusetts yourself makes sense when:
- You understand state requirements thoroughly.
- Your LLC structure is straightforward (single-member, no complex ownership).
- You're comfortable navigating government websites and forms.
- You have time to search business name and trademark databases.
- You can serve as your own registered agent.
- You're confident in your attention to detail.
Professional help can be beneficial if:
- You're launching quickly and can't afford delays.
- Your LLC has multiple members, requiring a complex operating agreement.
- You want privacy protection with a professional registered agent.
- You're uncertain about all of the formation requirements.
- You value ongoing compliance support and reminders.
- You want attorney-drafted operating agreements.
LegalZoom offers comprehensive Massachusetts LLC formation services, from initial registration with the state to registered agent and ongoing compliance services. The extra cost is worth the peace of mind.
How to get an LLC in Massachusetts in 6 steps
From choosing a business name to filing all the necessary paperwork, here’s how to form an LLC in Massachusetts.
Step 1. Name your Massachusetts LLC
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 naming considerations:
- Your business name must include the words “limited liability company” or “limited company” or the abbreviations “LC,” “L.C.,” “LLC,” or “L.L.C.”
- If desired, you may include the name of a member or manager in the LLC’s name.
- You can’t use a name that’s identical or deceptively similar to an existing entity’s name registered in Massachusetts (unless you have written consent from said entity).
- The business name cannot contain words used to name a government agency (i.e., State Department, CIA, FBI, or Treasury).
- Certain restricted words (bank, lawyer, attorney, credit union, etc.) may require additional documentation and licensure paperwork.
You can use the Secretary of the Commonwealth’s business entity search tool to determine if a particular business name (or a similar variation) is registered and in use in the state. You should also check the state reserved business names database, which reveals names currently reserved and unavailable for use. A name might appear available in the main database but actually be reserved by another business for up to 60 days. Always check both databases before falling in love with a name.
Free Massachusetts Business Name Check
Use our free name check tool to search the Massachusetts Secretary of State database and see if your business name is available.
By clicking "Check Availability," I agree to LegalZoom's Terms of Use. This search is a preliminary check of state databases and does not include variations or trademarks. Results do not guarantee name availability or compliance with legal requirements.
Additionally, ensure that your desired name isn’t protected by a state or federal trademark. Search the Massachusetts trademark database and conduct a federal trademark search on the US Patent and Trademark Office website.
If your LLC name is up for grabs based on your business name and trademark searches but you aren't ready to register your LLC yet, you can reserve it for a $30 fee. This ensures that no one else can take your name while you prepare your registration details and paperwork. In Massachusetts, names may be reserved for up to 60 days by paying the fee and submitting the Application of Reservation of Name form to the Secretary of the Commonwealth by mail or in person to the following address:
One Ashburton Place
Corporations Division
Boston, MA 02108
Step 2. Choose your resident agent
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 your business’ behalf.
A registered agent can be a person or an entity that offers a registered agent service. According to Title XXII Chapter 156C, they must be:
- A domestic or foreign corporation authorized to conduct business in Massachusetts
- A resident with a physical address in Massachusetts
- On-site and available to accept documents during regular business hours
When choosing a registered agent, you can serve in the position yourself, assign an employee of your LLC, or hire a service. While it may be financially enticing to keep the role in-house or do it yourself, there are benefits to using a registered agent service:
- Privacy protection, especially for home-based businesses, as your LLC’s resident office address is public record.
- Continual on-site service. If you frequently travel for work or have off-site meetings, you won’t be able to accept legal documents or service of process during regular business hours.
- Compliance. Professional resident agent services not only receive important documents and service of process, but they also may provide compliance reminders and paperwork to switch resident agents or office addresses.
LegalZoom can act as your Massachusetts resident agent and make it easier to keep up with official business mail and compliance deadlines.
Step 3. Prepare and file a certificate of organization
The certificate of organization, commonly known as articles of organization in other states, is the document that officially establishes your LLC in Massachusetts.
To prepare your certificate, you'll need the following information:
- Your LLC name
- A business address where the LLC’s records will be maintained
- A general statement of why you formed the LLC
- Latest date of dissolution (if your LLC exists for a purpose that will end at a specified date, you will specify that date here)
- The name, address, and signature of your resident agent
- The name and address of each manager (if any)
- The names and addresses of any people authorized to execute documents for the LLC (there must be at least one person if the LLC has no manager)
- Filer’s contact information and signature
Here are the filing options for your Massachusetts certificate of organization:
- Online. Email corpcid@sec.state.ma.us to be issued a customer ID number and a PIN. Once you have these numbers, sign in to the Corporations Division online filing system, and find the option for certificate of organization.
- Fax. Fill out the PDF form of the certificate of organization. All faxed filings must have a Fax Voucher Coversheet. To get yours, fill out the information on the File by Fax page, pay the required fee, and include the cover sheet with your faxed filing. The cover sheet will note the number to fax your paperwork.
- Mail or in person. Access the PDF form of the certificate of organization, fill it out, and mail or deliver in person to One Ashburton Place, Corporations Division, Boston, MA 02108.
After you prepare the certificate, you’ll file it with the Secretary of the Commonwealth Corporations Division and pay the $500 filing fee to register your Massachusetts LLC, but faxed and online filings incur an additional $20 “expedited service fee.” According to the Secretary of the Commonwealth’s website, this is a credit card or e-check service charge, not a fee to expedite your processing time. Mailed and in-person filings don’t have this extra charge if paying by check.
The state will issue you a certificate that confirms the LLC formally exists after the LLC's formation documents are filed and approved. Processing times may vary by filing method. The Secretary of the Commonwealth Corporations Division only notes a specific processing time for faxed filings: one to two days. LLC online filings are likely just as fast. However, mailed or in-person filings may take up to a few weeks to process.
If there’s an issue with your application, the secretary’s office will contact you directly and explain how to amend the error.
Step 4. Create an operating agreement
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. An operating agreement is a document that outlines the way your LLC will conduct business.
Having a readily accessible, written operating agreement is helpful for 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.
Operating agreements are especially beneficial for multiple-member LLCs that have a more complex management structure and membership terms because they provide clarity and serve as a source of truth for various issues and situations. These documents also enhance credibility with potential new business partners, lenders, or investors.
Your LLC operating agreement can include, but is not limited to, the following:
- LLC's name, principal address, and duration (if specified)
- LLC's members' percentage interests, rights, responsibilities, and voting powers
- Rules for holding meetings and taking votes
- Name and address of the resident agent
- Copy of the certificate of organization
- Purpose of the business
- Explanation of how profits and losses will be divided
- Procedure for admitting new members, as well as outgoing members
- Indemnification and liability clauses
You can draft an operating agreement by yourself, but relying on a legal professional can help ensure that your document is legally sound and addresses complex situations according to state law. LegalZoom can help you create an operating agreement in three simple steps. Simply tell us about your new LLC in Massachusetts, and we’ll draft your state-specific document for you and any members to sign.
Step 5. Get a federal tax ID and open a business bank account
The nine-digit employer identification number (EIN)—also called a federal tax identification number—is assigned by the IRS to identify your LLC for tax purposes. Multi-member LLCs must get an EIN, but single-member LLCs don’t need one unless they plan to hire employees or file certain taxes.
You can apply for your EIN online through the IRS website or with LegalZoom’s EIN service, which gathers your information and files the correct IRS paperwork for you.
An EIN is one of the things you’ll need to open business bank accounts for your Massachusetts LLC. Many financial institutions will also ask for the following:
- Business name and address
- Business formation date
- EIN or Social Security Number (SSN)
- Proof of LLC registration, such as certificate of organization
- Fictitious name certificate (if operating under a different name in Massachusetts)
- SSN of every person who will be on the account
When considering banking options, be sure to take note of monthly account fees, minimum balance requirements, mobile banking options, business credit card options and information, and local branch access.
Step 6. Register for taxes and Massachusetts business licenses
Next, register for business taxes through MassTaxConnect, which is the state’s online portal where you can register for specific state taxes, such as the following:
- Sales tax. Massachusetts requires businesses to collect a 6.25% sales and use tax on most goods and services.
- Employer taxes. If you hire employees, you should also consider employer taxes, unemployment insurance, and workers’ compensation, among other employer tax obligations in Massachusetts.
- Industry-specific taxes. These may include taxes for room occupancy, the sale of alcohol or marijuana, and more.
- Corporate Excise Tax. This may be required for LLCs that elect to be taxed as corporations.
Single-member LLCs taxed as partnerships will also need to pay federal self-employment taxes. Different types of taxes have different payment deadlines. Find out when your company’s taxes are due by referencing the DOR’s Tax Due Dates and Extensions web page.
New LLCs in Massachusetts might need to register for licenses and permits. The state doesn’t require a general business license, but you might need the following licenses or permits depending on your business activities, industry, and location:
- Local permits from your city or county government, such as a home occupation permit or a permit to sell alcohol
- An occupational board license, such as one for architecture, public accountancy, veterinary medicine, and others
- An Office of Public Safety and Inspections license, such as for a construction manager or refrigeration technician
For more information, 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 Massachusetts, providing details about each federal, state, or local license or permit; licensing requirements; timely renewal alerts; and regular check-ins (depending on which package you choose).
Building a business is enough work as it is. We'll help you start your LLC with confidence.
Your first 90 days: Post-formation checklist
Creating an LLC in Massachusetts gives you a legal foundation to conduct business, but you might want to take a few additional steps before you officially launch.
Register a domain name
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 Bluehost 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 Massachusetts 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.
Obtain a certificate of good standing
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. There are two types:
- Certificate from the Secretary of the Commonwealth. This type verifies your legal existence and compliance with state filing requirements ($25 fee).
- Tax certificate from the DOR. This type confirms your business is up to date with state tax obligations and has no outstanding tax issues (no fee).
You can request a certificate through the Secretary of the Commonwealth’s online portal. For a DOR certificate, log in to your MassTaxConnect account, navigate to “Request a Certificate of Good Standing,” then fill it out and submit online.
You should also check with the requesting party to determine which certificate you’ll need, if not both.
Consider a foreign LLC
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 or relevant agency that oversees business formation. However, be sure to research each state’s individual requirements or consult a business attorney for advice.
Set up an accounting system
Investing in a bookkeeping system helps to reduce accounting errors, store all related accounting documents, facilitate invoice payments and receipts, and more—all to streamline your LLC’s finances.
Obtain business insurance
There are several types of business situations that warrant getting business insurance:
- Customers and clients visit your store, warehouse, or property.
- There’s a reasonable chance that your business might get sued (e.g., for an accident, defective product, etc.).
- You use a car specifically for work.
- Your business stores sensitive customer data.
Find out what type of business insurance your LLC might need.
Create a compliance calendar
As an LLC business owner in Massachusetts, there are various due dates to keep track of, so a good practice is creating a compliance calendar to keep track of and notify you about upcoming deadlines. Include the following on your compliance calendar:
- Annual report (due yearly on the LLC's anniversary date)
- Quarterly tax payments (if applicable)
- Annual business-related state tax payments
- Federal, state, and local license and permit renewals
LegalZoom’s compliance management service can help you stay on top of applicable deadlines, including your annual report and licenses.
LegalZoom can help you file your state's formation paperwork for as little as $0 + state filing fees.
Annual filing requirements for Massachusetts LLCs
All LLCs doing business in Massachusetts must file annual reports with the Secretary of the Commonwealth Corporations Division by the anniversary date of the LLC’s certificate of organization filing. The LLC annual report fee is $500.
The report is similar to your initial certificate of organization and confirms your LLC’s key information, including the following:
- Business name and principal office address
- Resident agent details
- Names and addresses of managers
- Any significant changes to your business structure or operations
You can file your Massachusetts annual report the same way as for the certificate of organization—either online or by mail, fax, or in person using this fillable annual report form. You can also work with LegalZoom, and we’ll take care of your annual report when it comes time to file it with the Massachusetts Secretary of the Commonwealth.
Keep in mind that failure to submit the report on time may result in the state dissolving your LLC or no longer considering it in good standing, so you should set a reminder to ensure you don’t miss it.
The cost of forming an LLC in Massachusetts
Starting an LLC in Massachusetts costs at least $500. However, additional services and optional filings can push costs well over $1,000.
- Certificate of organization: $500
- Resident agent: $0 to $300 annually (depending on if you use a professional service)
- Name reservation: $30
- Certified copies: Varies depending on request
- Amendment filing: $100
- Changes to resident agent information: $0 to $25 (no fee if filed electronically)
- Fax or online service fees: $3 to $20 (or 4.5% for orders over $500)
- Annual report: $500
- Business licenses or permits: Varies depending on type of business operations, industry, and location
Some of these fees are one-time costs, while others, like registered agent services, are recurring annual expenses.
How to get an LLC in Massachusetts with LegalZoom
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:
- Share your business details. Complete a questionnaire with basic information about your Massachusetts LLC.
- We’ll handle the paperwork. Based on your responses, we’ll prepare and submit all necessary paperwork to the Massachusetts Secretary of the Commonwealth.
- Make it official. Once the state approves your filing, we’ll send the completed LLC documents and guide you on the next steps.
If you’d like to move forward, you can start your LLC with us for as little as $0 plus the $500 state 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.
Find the right state to form an LLC
Find the right state to form an LLC
Every state has different rules, costs, and considerations for LLC formation.
Starting a business takes courage. LegalZoom makes sure the legal details don’t stand in your way, from the day you register until the day you retire.
FAQs about Massachusetts LLCs
What are the benefits of registering an LLC?
Registering an LLC can help protect the personal assets of LLC owners in the event of business debts, a lawsuit, or another dispute. Plus, they’re generally easier to establish and maintain than other entities that offer liability protection, such as corporations.
Do I need a business license for my Massachusetts LLC?
Massachusetts doesn’t require a general state business license, but your specific location or industry may have its own legal requirements. You can check with your city, county, and federal agencies to determine which licenses you’ll need. You can also use LegalZoom’s business license and report service to get a rollup of all relevant licenses and permits for your LLC.
How long does it take to get an LLC approved in Massachusetts?
Standard processing for new Massachusetts LLC applications can take anywhere from one day to a couple of weeks, depending on how you apply.
What resources should I check before naming my LLC?
Use these search tools before reserving a business name or registering your LLC:
- Massachusetts business entity search tool
- Massachusetts reserved business names database
- Massachusetts trademark database
- Federal trademark search
How do I correct filing errors in Massachusetts?
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.
How do I dissolve an LLC in Massachusetts?
To formally dissolve your LLC in Massachusetts, file a certificate of cancellation with the Secretary of the Commonwealth and pay the $100 fee. Ensure you’re compliant with all legal and tax obligations before submitting the certificate.
LegalZoom can help with the dissolution of your LLC, facilitating the submission of the correct paperwork to the Secretary of the Commonwealth.
Rudri Bhatt Patel and Miles Almadrones contributed to this article.
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