Start a Maine LLC

Step 1: Name your Maine LLC

The first step is selecting an LLC name. That may sound simple, but it’s important to consider a few factors. You need a name that is clear and identifiable for your Maine business.

LLC Naming Requirements

Maine state law also requires that your business name include one of the following suffixes:

• Limited Liability Company
• Limited Company
• L.L.C.
• LLC
• L.C.
• LC

Be careful about names that can sound questionable in nature. Maine forbids using obscene language, as well as anything that promotes illegal activity. You also can’t use a name that makes a false connection to a public entity.

Name Search and Reservation

Before finalizing anything, though, you need to research whether the name you want is available. We have a Maine business name search page that can guide you through this process.

If you find a name you like but aren’t yet ready to file your Articles of Organization, Maine allows you to reserve a business name for 120 days for a fee.

Secure a Matching Web Domain

When you’re coming up with a business name, it’s wise to consider whether you can secure a matching domain name so that your future website can be easily found online. We have a tool to help you do a preliminary domain name search, and our domain name registration service can help you secure the online name that will best serve your company.

Register an Assumed Name

If you plan on naming your LLC one thing but want to do business with another name, you will need a DBA (“Doing Business As”) name, known in Maine as an “assumed name.” For this you’ll need to file a Statement of Intention to Do Business Under an Assumed or Fictitious Name. There is a filing fee involved for an assumed name filing. Note that the Pine Tree State (unlike most other states) differentiates between an assumed name and a “fictitious name.” Here a fictitious name is a name adopted by a foreign (out-of-state) corporation authorized to transact business in Maine because its real name is unavailable. There is a fee involved for a fictitious name filing.

If you want to simplify and speed up the process of securing an assumed name, we have a Maine DBA service you can use.

Get a Trademark

To make sure you’re entirely in the clear with your business name, visit the United States Patent and Trademark Office website. There you can find out whether your business name or logo is federally trademarked. Trademarks can also happen at the state level. To find out if your desired business name is already trademarked and/or apply for a trademark of your own, go to the Maine Secretary of State website page for trademarks.

Step 2: Appoint a registered agent in Maine

A registered agent is a person or entity designated to receive legal notices on behalf of your business. Maine requires a registered agent to be listed and kept current.

Be Your Own Registered Agent or Hire a Professional

You can serve as your Maine registered agent if you are 18 years of age or older and have a physical address — you are not allowed to use a P.O. box. However, this might not be a smart choice, as the registered agent is required to be available during business hours for legal notices to be served. It can be difficult to be available all day while running your business, so you may want to consider using a registered agent service. We can provide you with a  Maine registered agent service through our third-party partner.

Freeing your time to grow your business is only one benefit of hiring an outside registered agent service. A few other advantages include:

• Being served legal documents in front of potential clients can be distracting and awkward. This can be avoided with a registered agent service, who will receive documents and send them along to you.

• A registered agent service can often organize those documents, which can help you meet deadlines and keep your business in good standing.

Maine does not offer an online filing option from the state for the registered agent form. You’ll need to deliver it in person or mail your completed form to:

Department of the Secretary of State
Division of Corporations, UCC and Commissions
101 State House Station
Augusta, ME 04333-0101

There is a fee involved to file.

Step 3: File Maine Certificate of Formation

Now that you have your name and registered agent, it’s time to file your Certificate of Formation. To complete the application, you will need the following information:

• The name of the company
• The filing date (You can choose between the date you file the paperwork or a later date.)
• Your designation as a low-profit LLC (You only complete this section if you meet specific qualifications.)
• Your designation as a professional LLC (Here, too, you only complete if you meet certain qualifications.)
• A registered agent (You can select from a commercial or noncommercial registered agent.)
• Any attachments the LLC owners or members decide to include
• Signature (At least one authorized person needs to sign the application.)

The application also requires a cover letter that includes:

• The name of your organization
• A list of the filings you are enclosing (Certificate of Formation)
• Any special handling requests (This is where you can check a box if, for example, you want expedited filing. You can pick 24-hour or immediate service.)
• Contact information (List the person the Secretary of State’s office should contact if they have any questions.)
• The address where the Secretary of State’s office will return documents

To file your application, there is a fee involved. Expedited filing is an additional cost for 24-hour processing and immediate processing. All applications must be delivered by mail or in person. There is no online filing option.

To mail in your Certificate of Formation, send it to:

Department of the Secretary of State
Division of Corporations, UCC and Commissions
101 State House Station
Augusta, ME 04333-0101

That all being said, filing official government documents like this can be intimidating and/or complicated for many people, which is why we’re here. With our business formation plans, our professionals handle the filing for you to make sure it’s done quickly and correctly the first time.

If you have us handle filing your Articles of Organization, once the state approves your LLC, your paperwork will be available from your ZenBusiness dashboard, where you can keep it and other important paperwork digitally organized.

Keep Your Maine Limited Liability Company Paperwork Digitally Organized

Once you get your physical paperwork back from the state approving your new LLC, you’ll want to keep it in a safe location along with your other important documents, such as your operating agreement, member certificates, contracts, compliance checklists, transfer ledger, etc. We offer a customized business kit to help you keep these important documents organized and looking professional.

Step 4: Create an operating agreement

Maine requires LLCs to have an operating agreement, which it calls an LLC Agreement. This document sets out business operations and governs the relationships between LLC members (owners) and between members and the company.

Besides being required by the state, an operating agreement in Maine is a good idea. It’s an additional step that formalizes your business and protects its LLC status. If you have multiple members in your LLC, it’s important to put agreements in writing. That way, when disagreements come up between members, there is a written document to refer to rather than potentially faulty memories.

Operating agreements typically include a number of things, like:

• Member responsibilities and returns. You will want to specifically lay out the percentage of each member’s ownership, the distribution of income, and member voting rights and responsibilities.

• Roles within the company. Who will be responsible for which parts of the business, and what power does each member or manager hold?

• Buyout/buy-sell details. This is where you discuss how it will work if a member wants to leave the LLC or if a new member needs to be added. It’s also important to discuss what will happen if a member dies.

Your operating agreement, once complete, should be kept with your business filings.

Let us help take the guesswork out of creating your operating agreement. We have plans that include a customizable  operating agreement template.

Step 5: Apply for an EIN

The fifth step is to apply for an Employer Identification Number (EIN), also called a Tax ID Number. You can apply for an EIN by applying through the IRS website or mailing Form SS-4. But if you’re unfond of dealing with that particular government agency, we can get it for you. Our EIN service is quick and eliminates the hassle.

Among other things, you need an EIN if you have multiple LLC members or if you plan to hire employees. Still, even if neither of those applies to your business, you should consider obtaining an EIN, anyway. Your business EIN works like a Social Security number for your business and is also referred to as a Federal Tax Identification Number.

Once you’ve secured an EIN, you’ll be able to open a business bank account. Having separate accounts for your business and your personal banking is critical for sorting out your finances at tax time and helps you avoid commingling funds. Commingling funds can not only make your taxes more difficult, but it could also be used against you if someone takes you to court to challenge whether you and your LLC are truly separate entities.

We offer a discounted bank account for your new business. This allows for unlimited transactions, online banking, a debit card, and more. When you want to authorize others in your business to use the account, we offer a banking resolution template to simplify the process.

For further help managing your new business’s finances, try ZenBusiness Money. It can help you create invoices, receive payments, transfer money, and manage clients all in one place.

Disclaimer: The content on this page is for informational purposes only, and does not constitute legal, tax, or accounting advice. If you have specific questions about any of these topics, seek the counsel of a licensed professional.