How to Form an LLC in New Mexico
Located in the Southwest U.S., New Mexico is one of the largest and least-densely populated states in the union. As a mountain state, it borders with Utah, Colorado, Texas and Oklahoma, and also shares a border with Mexico. It is renowned as a low-tax area, and its economic drivers include agriculture, mineral and oil extraction and retail.
If you want to start your own business in New Mexico, one of the best ways to do so is by forming an LLC. Limited liability companies (LLCs) are a business entity designed for startups and small- and medium-sized businesses. New Mexico LLCs give you many of the protections and advantages of larger corporations without all the rules, regulations and compliance issues common to larger business entities.
Briefly, the benefits of starting a New Mexico LLC include:
- Separating and limiting your personal liability from your business liability and debts
- Quick and simple filing, management, compliance, regulations and administration of your New Mexico LLC
- Easy tax filing and potential advantages for tax treatment
Learn more about the benefits of the LLC business structure here.
Six Quick Steps for Setting up Your New Mexico Company
This guide has plenty of information on how to form your New Mexico LLC, but you can break down the basics of forming a business in New Mexico into just a few simple steps.
First, you need to gather basic information about your LLC, including the names and addresses of the managers or members. The LLC members are typically the people who own and run the business. They are also the ones who can take profits out of the business to pay themselves.
You will need a distinctive and original name for your New Mexico LLC that's not used by any other business in NM. To find out if another company is using your chosen business name, carry out a New Mexico business entity name search on the NM Secretary of State website.
There are a few rules you'll need to follow when choosing an LLC name. You can find out more in our guide to searching for and naming your New Mexico LLC.
Learn about New Mexico LLC business naming rules.
Every New Mexico LLC must have a designated street address. That could be your home address (if you’re running the company from your residence), your company’s office building or any physical address of your preference. The address must be inside the state of New Mexico, but it cannot be a P.O. Box.
Every New Mexico LLC must have a “Registered Agent.” This is an official position; the Registered Agent is someone who receives official legal and tax correspondence and has responsibility for filing reports with the New Mexico Secretary of State.
This position can be filled by you, another manager in the business or a dedicated Registered Agent service. Your Registered Agent must have a physical street address in New Mexico and must be present to receive important documents for your company during business hours.
At Incfile, all of our packages include a New Mexico Registered Agent service that is free for the first year and just $119 per year afterward. We also have a dashboard where you can log in and easily view any document your Registered Agent has received on your behalf.
Learn more about New Mexico Registered Agents.
You will need an EIN to identify your business with the IRS. You use this number when filing and paying taxes or when submitting payroll information and payments for your employees. You can obtain one directly from the IRS, or we can get one for you as part of the New Mexico LLC business formation process.
Once you've gathered all the information for your LLC, you’ll need to file a formal document with the New Mexico Secretary of State. This document is known as your “Articles of Organization,” and filing the document creates your New Mexico LLC. Here’s what is typically included:
- Your business name and address
- Details of your Registered Agent
- Tax closing month
You can file your New Mexico Articles of Organization online, mail in a form or have Incfile do it on your behalf. There is a fee to file and start an LLC in New Mexico, but you only need to file your Articles of Organization once.
Form your LLC now.
Additional Information from the New Mexico Secretary of State
The Secretary of State has plenty of other information on forming and running a business in New Mexico. You’ll find other useful information below. These are all the basic steps for forming an LLC in New Mexico. You’ll find other useful information below:
Special Types of New Mexico LLCs
A regular New Mexico LLC is suitable for most business needs, but you also have a few other options to incorporate a special type of LLC.
If your business is already operating in another state and expanding to New Mexico, you’ll need to form a foreign LLC.
More information on New Mexico filing and licensing requirements here.
Some states have special requirements for “professional LLCs” (PLLCs). These are typically companies that provide professional services that require licensing, like accounting, law, and physical therapy.
However, New Mexico does not have specialized professional LLCs; instead, regular LLCs in New Mexico can provide professional services.
Other Information in This Guide
You’ll find plenty more insight and guidance on the other pages of this guide, including
Naming Your New Mexico LLC
How to search the New Mexico business registry of the Secretary of State and find the right name. Includes information on naming rules, fictitious names, reserving a New Mexico LLC name and more.
New Mexico Registered Agents for LLCs
How to appoint a Registered Agent to your new LLC or change to a different Registered Agent. Includes information on Registered Agent rules and searching for New Mexico Registered Agents.
Fees and Requirements for New Mexico LLCs
How to understand the various fees you’ll need to pay and the requirements you’ll need to meet for both federal and New Mexico rules. Includes details of Employer Identification Numbers (EINs), New Mexico and federal business licenses, annual reports and more.
Federal, State, Sales and Other Taxes for Your New Mexico LLC
How to understand the various taxes you will need to pay to the federal and New Mexico government. Includes details of federal taxes like income and self-employment, and New Mexico taxes like sales tax and income tax.
