Last Updated: February 16, 2024, 1:14 pm by TRUiC Team

How to Register an RV using a Montana LLC

If you're an entrepreneur looking to start a business without any prior knowledge, registering your RV using a Montana limited liability company (LLC) can be a smart and practical choice. Setting up an LLC in Montana offers several advantages, including tax benefits and privacy. 

In this article, we will guide you through the process of registering your RV using a Montana LLC in simple and actionable steps.

What Is a Montana LLC?

An LLC is a legal entity that provides a level of personal liability protection for its owners, known as members. In Montana, forming an LLC allows you to conduct business while enjoying certain benefits, such as asset protection and pass-through taxation.

Below are the main steps for starting your Montana LLC and registering your RV under its name.

Step 1: Choose a Name for Your Montana LLC

The first step in registering your RV using a Montana LLC is selecting a unique name for your company. 

Make sure the name reflects your business and complies with Montana's naming requirements. Here are some standard guidelines to follow:

  • The name must include the words "Limited Liability Company," "LLC," or "L.L.C."
  • The name should not include words that may confuse your business with a government agency.
  • Conduct a search on the Montana Secretary of State's website to ensure your desired name is available.

For example, if your RV business is called "Adventure Wheels," you could choose a name like "Adventure Wheels LLC" or "Adventure Wheels Limited Liability Company."

Step 2: Establish a Registered Agent

As part of the Montana LLC registration process, you are required to appoint a registered agent. A registered agent is an individual or entity responsible for receiving legal documents, official correspondence, and important notices on behalf of your RV business. The registered agent must have a physical address in Montana and be available during normal business hours. 

You have two options for your registered agent:

  1. Individual registered agents: You can designate yourself, a member of your LLC, or any other person as the registered agent, provided they meet the requirements.
  2. Commercial registered agents: If you prefer to maintain your privacy or if you don't have a physical address in Montana, you can hire a commercial registered agent. Commercial registered agents are professional companies that specialize in acting as registered agents for businesses. They will handle the legal correspondence and ensure that you receive important documents promptly.

When choosing a registered agent, consider factors such as reliability, availability, and their ability to fulfill the responsibilities effectively.

Step 3: Register Your Montana LLC

Once you have chosen a name for your Montana LLC, it's time to register it with the Montana Secretary of State. Follow these steps to complete the registration:

  1. Access the Articles of Organization through Montana’s Business Services Online portal.
  2. Fill out the form with the required information, including your LLC's name, your registered agent's name and address, and the effective date of the LLC.
  3. Submit the filing fee of $35 along with the completed form online. You can pay by credit card.

After receiving your completed form and payment, the Montana Secretary of State will review your application. Once approved, your Montana LLC will be officially established.

Recommended: Northwest Registered Agent offers free Montana registered agent services with LLC formation ($29 plus state fees).

Step 4: Obtain an EIN From the IRS

An Employer Identification Number (EIN) is a unique identifier assigned by the Internal Revenue Service (IRS) to your business for tax purposes. Even if you don't have employees, obtaining an EIN is necessary for your Montana LLC. Here's how to get an EIN:

  1. Visit the IRS website and navigate to the EIN Assistant page.
  2. Start the application by selecting the "Apply Online Now" option.
  3. Follow the instructions and provide the required information, such as your LLC's name, address, and the number of members.

Once you submit the application, you will receive your EIN immediately.

Step 5: Open a Bank Account for Your Montana LLC

To facilitate transactions and financial management for your Montana LLC, it's important to open a dedicated bank account. 

Recommended: Read our Best Banks for Small Business review to find the best national bank, credit union, business-loan friendly banks, one with many brick-and-mortar locations, and more.

To open a bank account for your Montana LLC, gather the necessary documents, including your:

  • LLC's Articles of Organization
  • EIN
  • Personal identification
  • Proof of address
  • Operating agreement (if applicable). 

Schedule an appointment with the bank, bring all required documents, and fill out forms accurately. Then, make an initial deposit to activate the account. 

Once opened, you'll receive account details and can start using the account for LLC transactions. Keep account information secure and utilize it for payments, expenses, and financial management.

Step 6: Purchase an RV Through Your LLC's Bank Account

Using your Montana LLC's bank account for purchasing an RV offers several advantages in terms of accounting, liability protection, and organization. 

To begin, conduct thorough research and select the RV that best fits your needs and preferences. Consider factors such as type, size, features, and the reputation of dealerships or private sellers. 

Once you have chosen the RV, establish a budget based on your LLC's financial capabilities, factoring in the purchase price, taxes, registration fees, insurance costs, and any additional expenses.

Negotiate the purchase with the seller or dealership, discussing price, financing options (if applicable), and any other terms or conditions. Work together to draft a purchase agreement that specifies the LLC's name as the buyer and outlines that the purchase will be conducted through the LLC's bank account. 

Provide the necessary payment details, including the LLC's bank account information, and coordinate with the bank to securely transfer the funds. Once the payment has been successfully transferred, follow the seller's instructions to complete the purchase, which may involve signing additional documents, obtaining the RV title, and arranging insurance coverage. 

Remember to update your RV's registration to reflect the LLC's ownership and provide the updated registration information to your insurance provider. 

Step 7: Obtain RV Insurance

Before you can register your RV using a Montana LLC, you will need to obtain insurance for your vehicle. RV insurance provides coverage for accidents, damages, and liabilities associated with your recreational vehicle. It is a crucial step to protect your investment and comply with legal requirements.

Recommended: Get the protection you need in Indiana with a dedicated small business insurance provider like Next Insurance.

Step 8: Register the RV

Determine the Classification of Your RV 

The classification of your RV is based on its size, weight, and purpose. RVs are generally categorized into three classes: Class A, Class B, and Class C. 

  • Class A refers to the largest motorhomes resembling luxury buses
  • Class B includes smaller camper vans
  • Class C consists of medium-sized RVs with a truck or van cab and a camper body attached.

Gather the Necessary Documents 

Some of the documents you may need include the RV title in your name or your Montana LLC's name. If the RV is financed, provide a copy of the lienholder's information. 

As mentioned, you require valid RV insurance coverage that meets Montana's minimum requirements, so keep proof of insurance handy. Additionally, record the current mileage of your RV, as it may be required for registration.

Complete the Registration Application 

Use the appropriate form to register your RV, such as the Montana Motor Vehicle Registration Application (Form MV1). Provide accurate information on the form, including the make, model, year, and vehicle identification number (VIN) of your RV. Indicate that the vehicle is owned by your Montana LLC by including the LLC's name and address in the appropriate sections.

Calculate the Registration Fees 

Your registration fees are based on your RV's classification, weight, and model year. Refer to the fee schedule provided by the Montana Motor Vehicle Division (MVD) for the exact amount. Submit the completed application along with the payment for registration fees to the MVD. Double-check that all information is accurate and legible.

Once your application is processed, the MVD will issue your RV registration documents, including license plates and a registration certificate. Follow the instructions provided to affix the license plates to your RV and keep the registration certificate in a safe place within your vehicle.

Display Your LLC Name on Your RV

By putting your Montana LLC’s name on the exterior of your RV using vinyl decals or magnetic signs, you can help establish the legal connection between your RV and your business entity.

Step 9: Maintain Compliance and Renewals

After successfully registering your RV under a Montana LLC, it's important to maintain compliance with state regulations and fulfill any necessary renewals. Here are some key points to remember:

Annual Reports

Montana requires LLCs to file an annual report. The report includes basic information about your LLC and must be filed by the anniversary date of your LLC's formation. Failure to submit the annual report may result in penalties or dissolution of your LLC.

Registered Agent Updates

 If there are any changes to your registered agent, such as a change in address or appointment of a new registered agent, notify the Montana Secretary of State's office promptly to keep your records up to date.

Insurance Renewal

Remember to renew your RV insurance regularly to ensure continuous coverage and compliance with legal requirements. Review your policy annually to make any necessary adjustments or changes based on your evolving business needs.

Bottom Line

Registering your RV using a Montana LLC can provide numerous benefits, including tax advantages and asset protection. Remember to consult with legal and tax professionals to ensure you understand the specific requirements and implications for your business.