How to Start an LLC in Montana (Step-by-Step)
Montana LLCs are among the fastest and cheapest to form in the country. Here's the checklist from name to operational.
Step 1 — Pick and verify the name
Must include 'LLC,' 'L.L.C.,' or 'Limited Liability Company.'
Must be distinguishable from any name already registered with the Montana SOS.
Search availability at biz.sosmt.gov before you commit.
Optional: reserve the name for 120 days for a small fee if you're not ready to file.
Step 2 — Appoint a registered agent
Every Montana LLC needs a registered agent with a Montana street address (not P.O. box) available during business hours.
Can be yourself (if you have a Montana address), an employee, or a paid service (Northwest, Harbor Compliance, etc.).
Step 3 — File Articles of Organization
File online at biz.sosmt.gov. Filing fee is $35.
Includes name, purpose, registered agent, management structure (member-managed vs manager-managed), and organizer's info.
Processed in 7–10 business days (or expedite for extra fee).
Step 4 — Get an EIN from the IRS
Apply free at irs.gov/ein — takes 10 minutes if you have an SSN or ITIN.
Needed for opening a bank account, hiring employees, and filing taxes.
Step 5 — Draft an operating agreement
Not required by Montana law but strongly recommended, especially with multiple members.
Covers ownership percentages, capital contributions, profit/loss allocations, management, buy-sell provisions.
Never skip this with multiple owners — it's the document that resolves every future disagreement.
Step 6 — Open a business bank account
Requires: Articles of Organization, EIN letter, operating agreement, and personal ID.
Do NOT mix personal and business funds. Comingling is the fastest way to lose limited liability protection.
Step 7 — First-year compliance
Annual report due April 15 each year via biz.sosmt.gov — $20 fee. Miss it and the LLC is administratively dissolved.
Federal tax election: default LLC (Schedule C or 1065). Elect S-corp on Form 2553 if it makes sense.
Register for Montana withholding, UI, and workers' comp if hiring employees.
Depending on business, city business license and industry-specific permits.
A quick disclaimer
This article is general information for Montana small business owners, not tax, legal, or accounting advice for your specific situation. Rules change, and how they apply depends on facts we don't know about you. Before acting on anything you read here, talk to a qualified professional. If you're a Montana business owner and want a real conversation about your books, payroll, or tax, that's what Marlow Accounting is here for — call 406-290-1214 or schedule a discovery call.