Start an LLC in Massachusetts
Start a Massachusetts LLC by filing a Certificate of Organization with the Massachusetts Secretary of the Commonwealth for $500. You can use our free tool to fill out the paperwork right here yourself. Or hire Northwest to do it for you and we’ll provide one year of registered agent service and a business identity—all for $39.
How to start an LLC in Massachusetts
A Limited Liability Company (LLC) is a permanent public record. Starting one requires sharing personal information with the government, banks, landlords, vendors, and of course, customers. We provide a Free Business Identity to anyone who needs it—that’s a domain name, website, phone line, email address, and brand protection on day one. This helps protect your privacy and keep you in control of your intellectual property.
1. Name Your LLC
Naming your LLC is both a marketing and a legal decision. The most important thing is to make sure your desired name isn’t already taken in your state, online, or as a federal trademark within your industry. This means checking:
- The Massachusetts business entity search.
- Online to see if your name (or something close to it) is available as a domain name
- The USPTO database for live trademarks identical or similar to your business name
If you’ve already decided on the perfect name, see if it’s available with a Massachusetts business entity search. And if you know your name is available, but you’re not ready to start your LLC, you can reserve a business name for 60 days. It costs $30 to do so.
2. Register Your Domain Name
Your domain name opens up a world of options. From launching a website, building social media profiles, setting up email communications, and printing business cards, there’s a whole lot of new-business stuff you can’t do until you choose a domain name. When you choose your business domain, consider:
- Does your domain work well with your business name?
- Is your domain easy to remember and spell?
- Is your domain available wherever else you want it, like social platforms, trademarks, or business name registries?
Once you have a domain you’re happy with, it’s time to claim it. When you order your domain through Northwest, you’ll also get a website, hosted and secured through us.
3. Appoint a Massachusetts Registered Agent
Massachusetts law requires all LLCs to name a registered agent. A Massachusetts registered agent (sometimes called a resident agent in MA) is a person or business designated to receive legal mail on behalf of your LLC. Under M.G.L. ch: 156D § 5.01, this agent can be you, another individual, or a registered agent service like us. The registered agent you use is a key part of your business identity. What’s a business identity? It’s the way you present yourself to the world, including potential customers and clients. You start building a business identity as soon as you form a business, and at Northwest, our Registered Agent Service can help strengthen that identity.
4. File Massachusetts Certificate of Organization
In order to officially form your MA LLC according to state statutes, you’ll need to file a Certificate of Organization with the Massachusetts Secretary of the Commonwealth, along with a $500 filing fee. To complete the Certificate, provide the following information:
- Federal Identification Number. If you’ve already got an EIN number, list it here, but you can also obtain one after registering your LLC.
- Limited liability company name. Must include an indicator like LLC.
- Street address. The physical street address of the office where your LLC’s records are kept.
- General character of business. A brief statement of what your business does.
- Latest date of dissolution. Optional. The date your business will end, if applicable. Otherwise, you’ll need to formally dissolve your LLC later.
- Resident agent and address. Name and address of the person or company appointed to accept service of process for your LLC.
- LLC management. Names and business addresses (if different from your office street address) of all LLC managers, if your LLC has them.
- Authorized executors. Names and business addresses (if different from your office address) of any non-managers authorized to sign filings with the Corporations Division. You must provide information for at least one executor if your LLC has no managers.
- Person authorized for property. Optional. If you plan on buying property with the LLC, list the name of the person in your LLC who authorizes property purchases.
- Additional matters. Optional. Any additional articles you wish to include. For example, some LLCs include an article detailing the LLC’s management structure.
- Authorized signatory. The person who signs and submits the Certificate of Organization. If you hire us, we sign here.
All information on the Certificate of Organization form becomes part of the public record. If you already own an LLC and are looking to register it within a new state and foreign qualify it, you’ll want to register a foreign LLC in Massachusetts.
5. Create an LLC Operating Agreement
An operating agreement helps specify the details of how your LLC will be run. This internal written document should plan in advance for how to handle any matters that might be contested in the future—such as how much each member invested, how to distribute profits and losses, how member voting works, how to transfer membership, and how your LLC will handle any disputes. Contact a lawyer or use our free MA LLC operating agreement template.
6. Get an EIN
Your LLC needs funding. But mixing personal and business accounts risks the limited liability that keeps the LLC separate from it’s members. To prevent that, you’ll need to open a bank account for your LLC. That means you’ll need to get an EIN for your business, unless you’re a single-member LLC owner and would rather give out your own Social Security number. EINs (Employer Identification Numbers) are like Social Security numbers for businesses. The IRS uses your EIN to identify your LLC on tax filings.
7. File Taxes & Annual Reports
LLCs in Massachusetts need to stay on top of their tax and reporting requirements. Those requirements include:
- Massachusetts LLC taxes: LLCs have pass-through tax status by default, so profits pass through the LLC to owners (members) and the LLC does not directly file income taxes. Owners instead report their share of LLC profits on their personal income tax returns, and those profits are subject to the federal self-employment tax rate (15.3%).
- Massachusetts annual reports: Annual reports filed with the Secretary of the Commonwealth ensure Massachusetts has up-to-date information on your LLC’s contact information and ownership. The Massachusetts Annual Report costs $500, plus an additional $20 when filed online. Sick of doing paperwork? We can file your annual report for you.
Massachusetts LLC FAQs
DBA (doing business as) names let you do business with a name that is not the legal name of your LLC. Massachusetts handles DBAs differently than most other states, letting businesses register DBAs as business certificates at the local level. You need a separate business certificate for every town or city where your LLC operates using a DBA name. Note: Despite the similar-sounding name, Massachusetts business certificates are not the same as business licenses, which you may still need to operate in your city or town. If you’re relocating an existing business to Massachusetts, read our post on how to move your LLC to Massachusetts.