After forming an LLC, many think that the next step is obtaining a required business license. But this may not be the case. The answer depends on the state in which you are operating. For those operating in the state of New Mexico, there is no state-wide license. If you wish to begin business operations for your LLC, simply file any necessary LLC formation forms required by the New Mexico Secretary of State.
If you are operating out of state, then you have nothing to worry about. You only need to maintain a registered agent year to year. If you are operating your business in New Mexico, then you will need to consider a business license depending upon your industry – even if you are a sole-proprietorship.
Potential License Requirements
While there is not a state business license required for New Mexico, your LLC will still need to comply with city and county license requirements. Here are some examples of common permits that may apply to businesses:
- City tax permit
- Health permit
- Building permit
- Zoning permit
- Occupational permit
- Seller permit
Be aware of industry specific licenses and obligations that may pertain to your business. For example, if your business sells or manufactures food, it is important that you follow any additional Agriculture Department rules and guidelines. If your business contains protected terms like “college” or “bank”, the name will require approval.
Additionally, be mindful of factors like sales tax and unemployment insurance. You can contact the Taxation and Revenue Department about your specific sales tax requirements. If your LLC has employees, unemployment insurance is required.
Starting a New Mexico LLC
While you do not need to worry about obtaining a state business license for your New Mexico LLC. Here are steps to consider when forming your New Mexico LLC and completing the registration process.
Registering your LLC: In order to register your LLC, file the Articles of Organization with the New Mexico Secretary of State and appoint a registered agent for the LLC.
LLC Name: Choose an original business name for your LLC. A list of existing businesses can be found online in the state database. The name must include an LLC designator.
Registration Fees: A $50 filing fee must accompany your Articles of Organization, paid to the New Mexico Secretary of State. If you require an expedited option, the fee is an additional $100 for 2-day processing, or an additional $150 for same-day processing. There is also the option to file online.
Annual Report: While most states require that LLCs file annual reports and accompanying fees, New Mexico does not require an annual report.
Sole-Proprietorships: It is not necessary to register a sole-proprietorship in New Mexico or maintain a registered agent. However, some may choose to file a trademark or tradename with the Secretary of State.