Forming a Montana LLC opens the door to a business environment known for flexibility, wide-open opportunity, and a straightforward setup process. Montana’s business landscape appeals to first-time founders and seasoned builders alike. Entrepreneurs looking to launch or expand a company in the state of Montana often find that an LLC offers the structure, protection, and credibility they need to grow confidently.
This guide breaks down the essentials of how to start an LLC in Montana so you can move from idea to execution with less confusion and more momentum.
Related: LLC vs LLP
How to start an LLC in Montana in 5 steps
To open an LLC in Montana, you need to choose a name, appoint a registered agent, file the Articles of Organization, create an operating agreement, and get an EIN. The process is simple once you understand each step, and online filings make it possible to complete your Montana LLC registration in just a few business days.
If this is your first time forming an LLC, you may want to read this guide on starting a new business, explore different LLC types, and learn how an LLC organizer is different from an LLC member. When you're ready to move forward, you can access free LLC setup through GoDaddy.
Choose a name for your LLC
The first step is to choose a great name for your LLC that fits your brand and meets state rules. Your business name plays a key role in making a strong first impression, so it should reflect the tone and identity you want customers to recognize. The Montana Secretary of State requires that your LLC name:
- Includes “Limited Liability Company” or an abbreviation such as “LLC” or “L.L.C.”
- Is distinguishable from any existing names registered in the state
- Does not imply the business is a government agency
- Avoids restricted terms like “bank,” “trust,” or “insurance” unless proper approval is obtained
After selecting a name, run a search in the Montana Secretary of State’s Business Search database to confirm availability. If you want to reserve your name before filing, you can do so for 120 days for a $10 fee.
Get your business domain name
Once your LLC name is chosen, secure the matching domain name to strengthen your online presence. Your domain makes it easier for customers to find you and adds credibility to your Montana LLC. If you’re unsure where to start, you can register a domain name with GoDaddy.
Get a DBA
A DBA, or “Doing Business As,” allows your Montana LLC to operate under a different name from your registered legal name. In Montana, DBAs are typically called “Assumed Business Names.” For example, “Big Sky Trail Co. LLC” could file a DBA to operate as “BST Outfitters.” You can register an Assumed Business Name with the Montana Secretary of State through the Business Filing Portal for $20.
For more detailed information, read this article that explains DBAs and how they can benefit your business.
Appoint a registered agent
Every LLC in Montana must appoint a registered agent to receive state correspondence, legal notices, and official documents. We explain what a registered agent is in greater depth in this blog.
Montana requires that your registered agent:
- Have a physical street address in the state
- Be available during regular business hours
You can act as your own registered agent, designate another individual, or hire a professional service. Many LLC owners choose a professional service to ensure they never miss a required notice.
File Articles of Organization
Filing your Articles of Organization officially creates your LLC in Montana. You can file online through the Montana Secretary of State’s Business Filing Portal. You’ll need to provide:
- Your LLC name and business address
- The name and address of your registered agent
- Information about your LLC’s management structure
- Your organizer’s name and signature
The filing fee is $35, and most online submissions are processed within a few days. Once approved, your business will be legally recognized as a Montana limited liability company.
Create an operating agreement
Montana does not require an operating agreement, but creating one is highly recommended. This internal document outlines how your LLC will function, helps maintain your limited liability protections, and prevents misunderstandings among members.
Even single-member LLCs benefit from having this agreement in place to reinforce the business’s structure. Some banks and lenders also require an operating agreement to open accounts or evaluate funding applications.
A strong operating agreement should include:
- Member and manager roles
- Ownership percentages
- Profit and loss distribution rules
- Voting procedures
- Guidelines for adding or removing members
- Recordkeeping and meeting policies
- Terms for dissolving the LLC
Learn more about what is an LLC operating agreement and how to write one here.
Get an EIN
An Employer Identification Number (EIN) is a federal tax ID issued by the IRS. Your Montana LLC will likely need one to:
- File federal taxes
- Hire employees
- Open a business bank account
- Apply for necessary permits or licenses
You can request an EIN directly through the IRS website. If you’re unsure what business tax IDs you need, check out this article on TIN vs EIN.
How long does it take to get an EIN?
When you apply for an EIN online, you receive it immediately. Paper submissions typically take a few weeks.
How much does an EIN cost?
It’s free to apply for and maintain an EIN. There are no processing or renewal fees.
How much does it cost to start and run an LLC in Montana
It’s relatively inexpensive to start and maintain a Montana LLC. Here’s what you can expect to pay:
- Articles of Organization: $35 filed online with the Montana Secretary of State
- Name reservation (optional): $10 to reserve your LLC name for 120 days
- Assumed Business Name / DBA (optional): $20 to register an Assumed Business Name
- Registered agent service (if applicable): $50–$300 per year
- Annual report fee: $20 due each year by April 15
- Business licenses and permits: Costs vary depending on your city, county, and industry
- Taxes: Montana does not charge a statewide sales tax, but LLCs still pay applicable federal taxes, employer taxes, and any local taxes required based on business activity
Overall, most business owners spend about $150–$300 to form and maintain an LLC in Montana during the first year, depending on optional services and licensing needs.
What happens after your LLC is up and running
Forming a Montana limited liability company is a major accomplishment, but there are a few important steps to take afterward to keep your business compliant and protect your LLC status.
Open a Business Bank Account
A dedicated bank account for your Montana LLC helps separate business and personal finances. This separation supports your liability protection, keeps your bookkeeping clean, and strengthens your business’s credibility with customers, lenders, and vendors. To open a business bank account, you’ll generally need:
- Your business address
- Your Articles of Organization
- Your EIN from the IRS
- Your operating agreement
- A valid photo ID for all account holders
- An initial deposit (amount varies by financial institution)
File for permits and required business licenses
Depending on your location and what your LLC does, you may need permits or professional licenses before operating. Montana does not issue a statewide general business license, but many cities and counties have their own requirements. To determine what your business needs:
- Visit the Montana Department of Commerce and the Montana Department of Labor and Industry Citizen Portal for industry-specific rules
- Contact your local city or county clerk’s office about municipal permits
- Review federal requirements if your business involves food, healthcare, transportation, or other regulated activities
File annual reports
Every LLC in Montana must file an annual report to remain in good standing. This filing updates your business information with the state and confirms your ongoing operation.
- Deadline: April 15 each year
- Filing fee: $20
- How to file: Online through the Business Filing System
Missing the deadline can lead to late fees or administrative dissolution, so set a reminder early to avoid any interruptions to your LLC’s good standing. Need more information? Check out this article for everything you need to know about the LLC annual report.
Things to know about Montana LLCs
Montana offers several unique advantages that make it an appealing place to form and run an LLC. Business owners often appreciate the state’s balance of privacy, affordability, and straightforward regulatory requirements. Understanding the details behind these benefits can help you decide how to structure and manage your Montana LLC as you grow.
Privacy options
Montana does not require member or manager names to appear in public filings, which helps keep personal details off searchable databases. Many entrepreneurs value this anonymity because it limits unwanted attention and reduces the amount of personal information tied to business activities. While you still must list an organizer and a registered agent, Montana’s policies make it easier to maintain separation between your business identity and your personal life.
No general sales tax
Montana is one of the few states without a general statewide sales tax. This can significantly lower operating costs for many LLCs, especially those selling goods. However, it’s important to confirm whether your industry or location requires specific taxes or fees because certain services, regulated products, and jurisdictions still have their own requirements.
Montana LLCs used for vehicle registration
Montana’s lack of sales tax and relatively low registration fees have made the state a popular choice for registering high-value vehicles, including RVs and specialty cars. Some people form a Montana LLC solely to register these vehicles and avoid paying sales tax in their home state. While the financial appeal is easy to understand, this approach carries legal risks.
Many states enforce strict residency and vehicle-use laws, and registering a vehicle through a Montana LLC may be considered tax evasion if the vehicle primarily operates elsewhere. Before considering this strategy, review your home state’s requirements to avoid fines or penalties.
Launch your Montana LLC today
Forming a Montana LLC gives you a flexible and cost-effective foundation for building your business. Montana’s straightforward filing process, privacy options, and tax advantages make it a strong choice for many entrepreneurs ready to put their ideas into action.
If you want tools that help streamline that process, GoDaddy Airo can support you from day one. Airo uses AI to help you create logos, write content, build your website, and strengthen your online presence so your Montana LLC can make an impact faster. Get started with GoDaddy Airo today.
FAQ
Do you need an EIN for an LLC in Montana?
Most Montana LLCs need an EIN. You’ll use it to file federal taxes, open a business bank account, hire employees, and apply for licenses or permits. Single-member LLCs with no employees may not be required to get an EIN for federal tax purposes, but many banks and vendors still request one, so it’s usually helpful to have one. You can get an EIN for free through the IRS website.
How much does it cost to set up an LLC in Montana?
It costs $35 to file the Articles of Organization and officially form your Montana LLC. Optional expenses include a $10 name reservation, a $20 Assumed Business Name (DBA) filing, and $50–$300 per year if you use a registered agent service. Many LLCs also have licensing or permit fees depending on their industry or location. Most entrepreneurs can expect to spend about $150–$300 in the first year.
How long does it take to set up a Montana LLC?
Montana processes LLC filings quickly, especially when you submit your Articles of Organization online. Many approvals are issued within one business day. If additional review is needed, processing may take a few extra days. Once approved, your LLC is active immediately, and you can move on to tasks like opening a bank account and securing business licenses.
