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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.
On this page, you’ll learn about the following:
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.
When considering the costs of maintaining an LLC in Maine, it’s crucial to understand that there are various expenses involved in ensuring the legal compliance and operational viability of your business. From filing fees to annual reports, these costs can quickly add up and impact your company’s bottom line.
One of the primary expenses you’ll encounter as an LLC owner in Maine is the initial formation cost. When you initially register your business with the state and create an LLC, you’ll need to pay a filing fee. This fee covers the administrative costs associated with processing your formation documents and establishing your company as a separate legal entity.
In addition to the formation cost, LLC owners in Maine are required to file an annual report with the Secretary of State’s office. This report serves to update the state on your business’s current ownership, officers, and operating status. Failure to file this report on time can result in hefty penalties, so it’s essential to mark your calendar and budget for this recurring expense.
Furthermore, maintaining an LLC in Maine may also involve additional expenses such as registered agent fees. A registered agent is a designated individual or entity responsible for receiving service of process and legal notices on behalf of your LLC. While some business owners choose to act as their own registered agent, others opt to hire a professional service to handle this responsibility – a decision that incurs an ongoing cost.
Beyond these standard expenses, LLC owners in Maine should also be prepared for potential unforeseen costs related to compliance and regulatory changes. As laws and regulations evolve, businesses must adapt to remain in good standing with the state. This may involve additional fees for professional services, legal counsel, or compliance training programs to ensure that your LLC meets all requirements.
It’s essential for aspiring business owners to factor in these ongoing expenses when budgeting for their LLC in Maine. While starting a business is an investment in your future, it’s equally important to consider the financial commitment required to maintain your company’s operations and legal compliance.
In conclusion, understanding the costs associated with maintaining an LLC in Maine is a critical aspect of successful business ownership. By budgeting for formation fees, annual reports, registered agent costs, and compliance expenses, you can proactively manage your company’s financial obligations and position your business for long-term success.
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.