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Perhaps you are hoping to form a Maine LLC. People assume that starting an LLC is difficult and costly. However, it’s generally not difficult, and the cost would vary across states. We have all the info you need to know about the cost of forming an LLC, particularly the LLC cost in Maine.
Maine LLC Cost of Filing
Here are the costs involved in forming an LLC in Maine.
Cost of Filing Formation Certificates
The Maine Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you’re forming a domestic LLC or a foreign LLC. Still, you can file both at the Maine Secretary of State.
Maine Domestic LLC
- Maine does not have an online application filing system yet.
- By mail: Fill out the Application form PDF and send it to Secretary of State Division of Corporations, UCC and Commissions 101 State House Station Augusta, ME 04333-0101, costs $175.00.
- Annual Report filing costs $85.00 every year.
- Name reservation Application costs $20.00
Maine Foreign LLC
- Maine does not have an online application filing system yet.
- By mail: Fill out the Application form PDF and send it to Secretary of State Division of Corporations, UCC and Commissions 101 State House Station Augusta, ME 04333-0101, costs $250.00.
- Annual Report filing costs $150.00 every year.
- Name reservation Application costs $20.00
Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won’t have to wait in a queue in doing so. Unfortunately, there is no online filing in Maine.
Maine LLC Formation Service or Registered Agent Fee
You need a registered agent to form an LLC in Maine, hence, added costs for service fees. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries.
LLC Service | Our Rating & Pricing | Top Features | Learn More |
#1 TOP PICK  | $0 + State Fees |
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Business Permits and Licenses
The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Maine Department of Revenue for licenses required for certain types of businesses.
Maine LLC Taxes to be Paid
In Maine, other than the filing fee, LLCs have to pay some taxes. Overall, the tax burden on LLCs is much lesser than the other corporates. Here are some of the taxes to be paid when you are in Maine.
Sales and Use Tax
The State of Maine imposes a sales tax at the standard rate of 5.50% with no additional local or county rates. If your business includes products selling, the sales tax is imposed on the total amount of your taxable sales.
State Income Tax
Any money that you pay to yourself in the form of salary as a business owner in Maine, you will be required to pay State Income Tax at the rate of 5.8% to 7.15%, depending on the amount of income earned.
Employer Tax
If you hire employees in the State of Maine, you are required to register for Employee Withholding Tax on behalf of your employees.
Federal Self-Employment Tax
The LLC business owners in Maine are required to pay self-employment tax on their business profits. The current tax rate for self-employment is 15.3%.
Other Costs
- Maine Name Reservation: $20 online or by mail filing (plus $50 for 24-hour processing or $100 for immediate processing)
- Doing Business As (DBA): $125 if filing by mail
- Certified Document Copies: $5
- Certificate of Good Standing: $30
- Business Domain Name and Website: depend on your preference, but domain name could be as low as $2.99/yr at NameCheap, and web hosting is at least $30/mo at Kinsta.
- Online workspace: at least $4.20/mo for GSuite.
- Business Insurance: would vary depending on insurance type–whether general liability insurance or professional liability insurance–and coverage.
- Dissolution of Maine LLC: $75 plus $50 to expedite or $100 for immediate processing
How Much Does It Cost To Maintain An Llc In Maine
To maintain an LLC in Maine you will need to pay an annual fee of $85 along with sales tax at 5.5%, income tax at 5.5% to 7.15% and federal taxes.
One of the initial costs associated with establishing an LLC in Maine is the filing fee. The fees for filing Articles of Organization and forming an LLC in Maine can vary depending on the specific type of business entity being formed and the desired processing speed for the filing. While this fee is a one-time cost, it is an important factor to consider when budgeting for your LLC’s formation.
In addition to the initial filing fee, there are ongoing costs associated with maintaining an LLC in Maine. One of the most significant ongoing costs is the annual report fee. LLCs in Maine are required to file an annual report with the Secretary of State and pay a filing fee in order to stay in good standing. Failure to file the annual report or pay the fee can result in the LLC being dissolved or losing its good standing, which can have serious consequences for the business.
In addition to the annual report fee, there may be other costs associated with maintaining an LLC in Maine, such as fees for obtaining necessary licenses and permits, paying for registered agent services, and any taxes or fees required by local or state governments. It is important for businesses to budget for these costs and maintain thorough records of all expenses related to the LLC in order to ensure compliance and avoid any potential legal issues.
Maintaining an LLC in Maine also involves certain responsibilities that business owners should be aware of. For example, LLCs are required to maintain certain records and documentation, such as meeting minutes, financial statements, and tax records. It is important for businesses to keep accurate and up-to-date records in order to comply with Maine state law and maintain the legal protection that comes with operating as an LLC.
Additionally, businesses operating as LLCs in Maine are required to follow certain rules and regulations regarding their business operations, such as the payment of taxes, compliance with labor laws, and adherence to any industry-specific regulations. Failure to comply with these rules and regulations can result in fines, penalties, or other legal consequences that can harm the business.
Overall, maintaining an LLC in Maine involves certain costs and responsibilities that business owners should be aware of in order to ensure compliance and protect their business. While the exact cost of maintaining an LLC in Maine can vary depending on the specific circumstances of the business, it is important for business owners to budget for these costs and stay informed about their legal obligations in order to operate their LLC successfully.
F.A.Qs
It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.
It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you’ll still have expenses like form fees to cover.
The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.
In Conclusion
The cost of Maine is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the price of professional LLC services and choose the most affordable one.