How to Start an LLC in New Mexico (2025 Guide)

Wondering how to start an LLC in New Mexico?

To get started, you’ll need to pick a suitable business name, choose a registered agent, and file your Articles of Organization with the New Mexico Secretary of State. The cost to form an LLC in New Mexico is $50.

You can do this independently, consult with a business attorney for specialized legal guidance, or join the other 65% of our readers and hire a specialized New Mexico LLC formation service (recommended).

Northwest ($29 + State Fees)

LegalZoom ($249 + State Fees)

Start an LLC in New Mexico

How to Form an LLC in New Mexico in 6 Steps

In order to form your LLC in New Mexico, there are certain steps you’ll need to complete:

Name Your New Mexico LLC
Choose a Registered Agent
File the Articles of Organization
Create an LLC Operating Agreement
Get an EIN
Obtain a New Mexico Business Tax ID Number

Step 1: Name Your New Mexico LLC

Before you get started, you will need to pick a suitable name for your New Mexico LLC.

This will need to comply with all applicable naming requirements under New Mexico law and be both succinct and memorable, as this will make it easily searchable by your potential clients.

1. New Mexico LLC Naming Guidelines

Your name must contain the words “limited liability company” or a suitable abbreviation (e.g., LLC, L.L.C, etc.).
Your name must be sufficiently distinguishable from all other business names that have been registered with the New Mexico Secretary of State.
Your name cannot include words that are reserved for use by state or federal bodies (e.g., county, City, Police, etc.).
Your name cannot be offensive to any person or group (i.e., cannot contain any vulgar, profane, or discriminatory language).

For more information, have a look at New Mexico’s statutory LLC naming guidelines.

2. New Mexico Name Availability Search

To check whether your desired name has already been taken by another business entity in New Mexico, you can perform a name search on the state of New Mexico’s website.

If you’re not going to start your LLC right away, it might be a good idea to consider reserving your name for up to 120 days ($20 processing fee).

For more information, you can have a look at our New Mexico LLC Name Search guide.

3. Finding the Right Domain

You should check online to see if your business name is available as a web domain. Even if you don’t plan to make a business website right away, this is an extremely important step as it will prevent others from acquiring it, potentially saving you both time and money in the long term.

Once you have verified your name is available, you may now select a professional service to complete the LLC formation process for you.

FAQ: Naming a New Mexico LLC

LLC is short for “limited liability company”. It is a simple business structure that offers more flexibility than a traditional corporation while still providing legal protection for your personal assets. Read What is a Limited Liability Company for more information.

Or, watch our two-minute video: What is an LLC?

You must follow the New Mexico LLC naming guidelines when choosing a name for your LLC:

Include the phrase “limited liability company” or one of its abbreviations (LLC or L.L.C.).
Do not use words that could confuse your business with a government agency (FBI, State Department, CIA, etc.).
Receive the proper licensing when using the words such as lawyer or doctor.

If you are having trouble coming up with a name for your LLC, use our LLC Name Generator. That will not only find a unique name for your business but an available URL to match.

Yes. You or anyone else in your company can serve as the registered agent for your New Mexico LLC.

Read more about being your own registered agent.

Step 2: Choose a Registered Agent in New Mexico

After you find the right name for your LLC, you will need to nominate a New Mexico registered agent. This is a necessary step in your Articles of Organization (i.e., the LLC paperwork used to file and register your business with the Secretary of State).

What is a registered agent?

A registered agent is an individual or business entity responsible for receiving important legal documents on behalf of your business. You can think of your registered agent as your business’s primary point of contact with the state.

Who can be a registered agent?

A registered agent must be a resident of New Mexico or a business entity that is authorized to transact business in the state. You can choose to elect an individual within the company (e.g., yourself, etc.), use an attorney (not recommended due to the high cost), or go with a registered agent service.

Keep in mind that your initial registered agent will need to sign a Statement of Acceptance of Appointment form in order to be accepted by the Secretary of State. This will need to be filed alongside your Articles of Organization.

Get Free Registered Agent Services

Form an LLC with Northwest Registered Agent to get one year of registered agent services free of charge.

FAQ: Nominating a Registered Agent

Yes.

Having said that, this is generally not recommended due to the fact that your registered agent’s information will become publicly available.

It will also restrict how flexible you can be, as you will need to be available during regular working hours in your registered office address in order to receive service of process in person (if applicable).

Read more about being your own registered agent.

Using a professional registered agent service is an affordable way to manage government filings for your LLC. For most businesses, the advantages of using a professional service significantly outweigh the annual costs.

For more information, read our article on New Mexico registered agents.

Step 3: File the New Mexico LLC Articles of Organization

To register your New Mexico LLC, you’ll need to file the Articles of Organization with the New Mexico Secretary of State. You can do this online. Additionally, you must file a Statement of Acceptance of Appointment by Designated Initial Registered Agent, which your registered agent must sign.

Before filing, make sure you have completed your Articles of Organization correctly. You will the following information:

Your LLC’s name and principal office address (cannot be a P.O. box)
Your registered agent’s name, street address, and signed consent form
Your LLC’s purpose and management structure (i.e., member or manager-managed)
Your LLC’s duration period (e.g., perpetual, etc.)

File the Articles of Organization

File Online With the New Mexico Secretary of State

Fee: $50

Note: Your registered agent’s Statement of Acceptance of Appointment form will need to be uploaded at the time of filing. The website provides a downloadable form during the formation process.

For help with completing the form, visit our New Mexico Articles of Organization guide.

Note: If you’re expanding your existing business to the state of New Mexico, you’ll need to register as a foreign limited liability company (LLC).

FAQ: Filing New Mexico LLC Documents

The processing time for an LLC’s Articles of Organization in New Mexico is between two and seven business days on average. Keep in mind that the SOS can take significantly longer during periods of high incorporation submissions.

An LLC is referred to as a “domestic LLC” when it conducts business in the state where it was formed. A foreign limited liability company must be formed when an existing LLC wishes to expand its business to another state.

Read our What Is a Foreign LLC article to learn more.

The minimum cost to start a New Mexico LLC is $50, which covers the cost of filing your Articles of Organization with the Secretary of State (if done independently).

To learn more, read our guide on the cost to form a New Mexico LLC.

Step 4: Create a New Mexico LLC Operating Agreement

In New Mexico, LLCs are not required to have an operating agreement, but it’s a good practice to have one.

What is an operating agreement? An operating agreement is a legal document outlining the ownership and operating procedures of an LLC.

Why are operating agreements important? A comprehensive operating agreement ensures that all LLC members are on the same page and reduces the risk of future conflict.

You can use the free tool in our Business Center to create a custom operating agreement in minutes — or download our free templates:

FAQ: Creating a New Mexico LLC Operating Agreement

No. The operating agreement is an internal document that you should keep on file for future reference. However, many other states legally require LLCs to have an operating agreement.

Step 5: Get an EIN for Your New Mexico LLC

You can get an Employer Identification Number (EIN) from the IRS for free. It is used to identify business entities and keep track of a business’s tax reporting. It is essentially a Social Security number (SSN) for the company.

Why do I need an EIN? An EIN is required for the following:

To open a business bank account for the company
For federal and state tax purposes
To hire employees for the company

Where do I get an EIN? An EIN is obtained from the IRS (free of charge) by the business owner after forming the company. This can be done online or by mail.

FOR INTERNATIONAL APPLICANTS: You do not need an SSN to get an EIN. Learn more here.

Get an EIN

Option 1: Request an EIN from the IRS

– OR –

Option 2: Apply for an EIN by Mail or Fax

Mail to:
Internal Revenue Service
Attn: EIN Operation
Cincinnati, OH 45999

Fax: (855) 641-6935

Fee: Free

FAQ: Getting an EIN

An SSN is not required to get an EIN. You can simply fill out IRS Form SS-4 and leave section 7b blank. Then call the IRS at (267) 941-1099 to complete your application. Learn more about applying as an international applicant.

All LLCs with employees, or any LLC that is not a single-member LLC, must have an EIN. This is required by the IRS.

Learn why we recommend always getting an EIN and how to get one for free in our Do I Need an EIN for an LLC guide.

When you get an EIN, you will be informed of the different tax classification options that are available. Most LLCs elect the default tax status.

However, some LLCs can reduce their federal tax obligation by choosing the S corporation (S corp) status. To learn more, read our LLC vs. S Corp guide.

Step 6: Register for a New Mexico Business Tax ID Number

All New Mexico LLCs are required to register with the New Mexico Taxation and Revenue Department and obtain a Business Tax Identification Number.

This is the number your LLC will use to report and pay state-level taxes — such as Gross Receipts Tax and withholding tax — and is required for any business actively operating in New Mexico.

You can obtain your Business Tax Identification Number through the New Mexico Taxpayer Access Point portal; there is no cost to obtain it, and approval typically takes a few business days.

You can also download Form ACD-31015 and submit it by mail or in person at a district tax office.

Best LLC Services in New Mexico Compared

* Total costs include New Mexico state filing fee on top of each service’s initial filing fee
Service	Total Cost*	Filing	Registered Agent	EIN	Operating Agreement
Northwest TOP PICK 25% TRUiC Discount	$129	$29	Free 1st Year $125/yr after	$50	Free
Tailor Brands 35% TRUiC Discount	$377	$0	$199/yr	$99	$29
ZenBusiness	$347	$0	$99 1st Year $199/yr after	$99	$99
LegalZoom	$477	$0	$249/yr	$79	$99

For a comprehensive comparison, read our Best LLC Service guide. We reviewed and ranked the top LLC formation services to help you determine the best fit for your new business.

Important Next Steps to Protect Your New Mexico LLC

After you’ve formed your LLC, you’ll need to complete several key steps in order to:

Separate your personal and business assets
Stay compliant with state and federal laws

1. Get a Business Bank Account and Credit Card

Getting a dedicated business bank account is an essential part of operating legitimately as it keeps your personal and business assets separate, and therefore helps shield your personal limited liability.

Skipping this step can often lead to:

Courts determining that you haven’t been treating your LLC as a separate entity
Your “corporate veil” being pierced, meaning that you will no longer benefit from limited liability in law.

Recommended: Have a look at our Best Business Bank Accounts for LLCs in 2025 review.

You can also choose to acquire a corporate credit card if you’re interested in building your credit and potentially raising capital down the line.

2. Check If You Need a New Mexico Business License

New Mexico does not require LLCs to hold a “general” business license in order to operate.

Even so, you should know that business licensing is regulated at a local, state, and federal level, so your licensing needs will ultimately depend on your exact location and industry:

Local Licenses: You’ll need to check with your city or county clerk’s office to identify any local licensing requirements you’ll need to satisfy, such as acquiring zoning permits or health department approvals.
State-Level Licenses: You can use the New Mexico Regulation and Licensing Department website to identify which state-level licenses your business may need (e.g., construction, healthcare, cannabis, or other regulated professions).
Federal Licenses: While most New Mexico LLCs will not be subject to federal regulation, those involved in heavily regulated industries (such as agriculture, alcohol, and firearms) will. You can have a look at this Small Business Administration article for the relevant federal agency you’ll need to contact.

A few questions to ask yourself when deciding whether you need a license include:

Will you sell taxable goods or services? If so, you’ll need to register for Gross Receipts Tax with the New Mexico Taxation and Revenue Department; this functions like a seller’s permit and is required before conducting most types of business in the state.
Will you work as a licensed professional? If your LLC will focus on regulated fields — such as medicine, law, insurance, or real estate — you’ll need to ensure that you or a member of your LLC is appropriately licensed.
Will your LLC’s activities negatively impact the environment? If so, you might need to obtain a business license or permit from the New Mexico Environment Department.

For more information, you can have a look at our New Mexico Business License guide; If you’d rather have a service handle this step for you, we recommend checking out LegalZoom’s Business License service.

3. Understand Your New Mexico LLC Tax Obligations

New Mexico LLCs are not all taxed in the same way; this is because LLCs are taxed as pass-through entities by default, meaning that they are largely taxed similarly to sole proprietors — the business gets paid, the profits pass to you as the owner, and you get taxed. There is no “corporate” tax involved.

This means that:

On a Federal Level

You’ll need to submit personal income tax returns using either Form 1040 (for single member LLCs) or Form 1065 (for multi-member LLCs). If you have employees, you will also be subject to federal income tax withholding.

On a State Level

Your LLC may be required to register for and pay Gross Receipts Tax (base rate of 5.125%), which applies to most sales of goods and services in New Mexico. If you have employees, you must also register for wage withholding tax and remit the appropriate amount of state income tax on employee wages. LLCs that elect to be taxed as corporations will also need to pay a franchise tax, which starts at $50 annually.

On a Local Level

Your LLC may be required to pay property tax if it owns real estate, local gross receipts tax if it sells goods or services, lodgers’ tax if it provides short-term rentals, liquor excise tax if it sells alcohol, or a combination of these depending on your location and business activity.

For more information on the New Mexico-specific LLC tax obligations that may apply to you, we recommend having a look at our in-depth New Mexico LLC Taxes guide. Alternatively, you can schedule a free online consultation with 1800-Accountant for all your tax-related questions.

4. Get Business Insurance for Your LLC in New Mexico

Even though an LLC offers limited liability, you’ll still likely need to purchase some form of business insurance to protect your LLC’s assets.

This is because an LLC’s default limited liability protects your personal assets, not the business’s. Some of the most common types of business insurance include:

General Liability Insurance: This is a broad insurance policy that protects your business from lawsuits. Most small businesses end up getting general liability insurance.
Professional Liability Insurance: This is a business insurance policy for professional service providers (consultants, accountants, etc.) that covers against claims of malpractice and other business errors.
Workers’ Compensation Insurance: A type of insurance that covers employees for work-related injuries, illnesses, or deaths. In New Mexico, this coverage is mandatory for any business that has three or more employees in total, as long as at least one of those employees performs work in the state — regardless of whether that work is ongoing, seasonal, or short term.

What This Means:

Without insurance: If a customer slips on a wet floor at your coffee shop and sues for $80,000 in medical expenses and lost wages, they could go after your inventory and the $38,000 in your business bank account, but your personal vehicle and savings would still be protected.

With insurance: Your general liability policy could cover the full $80,000 claim, meaning that your equipment, business funds, and personal assets would remain untouched.

That’s why many small business owners turn to providers like Next Insurance for affordable, tailored coverage. Get a free quote today.

Want to learn exactly what coverage your business may need? Read our full New Mexico Business Insurance Guide.

5. Learn How to Properly Sign Your LLC’s Legal Documents

Improperly signing a document as yourself and not as a representative of the business can leave you open to personal liability.

When signing legal documents on behalf of your company, you we recommend following this formula to avoid any problems:

Formal name of your business
Your signature
Your name
Your position in the business as its authorized representative

It’s important to be consistent and sign all official documents using this format; this will help protect your personal assets by clearly showing that the agreement is with the LLC, not you as an individual.

New Mexico Business Resources

Business Center

Check out our business center for regular updates, vetted reviews, free downloadables, and video guides that aim to help you start and grow your business.

Local Resources

Have a look at New Mexico’s local business resources:

Related Articles

More on New Mexico LLCs: