To set up an LLC in Montana, you file Articles of Organization online with the Secretary of State for $35, after choosing a compliant business name and appointing a registered agent with a Montana street address. Once the state approves your filing, you get a federal EIN from the IRS, open a dedicated business bank account, and then stay on top of the annual report due each year by April 15. Standard processing runs about one to two weeks, and expedited options are available for an additional fee.1Montana Secretary of State. Business Services Filing Fees
Pick a Name That Meets Montana’s Rules
Your LLC’s name has to include the words “limited liability company,” “limited company,” or an abbreviation such as “LLC” or “LC.”2FindLaw. Montana Title 35 Corporations, Partnerships, and Associations 35-8-103 It also has to be distinguishable from every other business entity already registered with the Montana Secretary of State. That includes corporations, limited partnerships, assumed business names, and trademarks on file in the state.
Check availability before anything else. The Secretary of State runs an online business entity search at biz.sosmt.gov. A small variation on an existing name may not pass the distinguishability test, so have two or three backups in mind before you sit down to file.
Line Up a Registered Agent
Every Montana LLC needs a registered agent to receive legal papers, tax notices, and official correspondence on the company’s behalf.3Montana State Legislature. Montana Code 35-8-105 – Registered Office and Registered Agent The agent must have a physical street address in Montana (not a P.O. box) and be available during normal business hours.
You can act as your own registered agent if you have a Montana address and are reliably present during the workday. Many owners use a professional service instead, especially if they work from home, travel, or live out of state. These services generally run $50 to $300 per year and keep your home address off the public record, since the agent’s address appears on the filing instead.
File the Articles of Organization
Filing the Articles of Organization is the step that legally creates your LLC.4Montana State Legislature. Montana Code 35-8-202 – Articles of Organization Montana uses an online-only system, so you submit through the portal at biz.sosmt.gov. Paper submissions are not accepted for initial formation.5Official Montana Secretary of State Website. Business and UCC
The filing fee is $35. For a series LLC with named series members, add $50 per series member. Standard processing is about one to two weeks. If you need it faster, expedited handling costs $20 for 24-hour processing or $100 for one-hour processing.1Montana Secretary of State. Business Services Filing Fees After approval, the Secretary of State sends your stamped documents electronically.
The application asks for the LLC’s name, the registered agent’s name and street address, whether the LLC will be member-managed or manager-managed, and the names and addresses of initial members or managers. Have all of that ready before you start.
Write an Operating Agreement
An operating agreement is the internal rulebook for your LLC. It sets out ownership percentages, how profits and losses are divided, how decisions get made, and what happens if a member leaves or the business dissolves. Montana does not require you to file this document with the state, and it does not even have to be in writing. But certain provisions must be in writing if you want to change default rules about recordkeeping, distributions, or admitting new members.6Montana State Legislature. Montana Code 35-8-109 – Effect of Operating Agreement, Nonwaivable Provisions
Even single-member LLCs benefit from a written agreement. It reinforces that the business is a separate entity from its owner, which matters if your liability protection is ever challenged. For multi-member LLCs, going without one invites disputes: verbal understandings about profit splits and authority tend to be remembered differently once money is at stake.
Get an EIN from the IRS
Once the Secretary of State approves your Articles of Organization, apply for an Employer Identification Number from the IRS.7Internal Revenue Service. Get an Employer Identification Number An EIN works like a Social Security number for your business. You need it to hire employees, file federal returns, and open a business bank account.8Internal Revenue Service. Employer Identification Number
Apply online and you’ll get the number immediately. The application asks for your LLC’s legal name, address, and the responsible party’s Social Security number. Mail and fax are available but take weeks. The IRS requires that your entity be formed with the state first, so wait until your Articles are approved before applying.
Open a Business Bank Account
With approved Articles and an EIN, open a dedicated bank account for the LLC. This is not a technicality. Running business income and expenses through a personal account is one of the fastest ways to undermine your liability protection, because it blurs the line between you and the company in a court’s eyes.
Most banks want to see your Articles of Organization, your EIN confirmation letter, and a government-issued ID. Some also ask for a banking resolution, a short document adopted by the members authorizing a specific person to open and manage the account. If your operating agreement already names who handles banking, that may be enough. Otherwise, draft a simple resolution before the appointment.
Handle Taxes and Local Licenses
An LLC has no default federal tax category of its own. The IRS classifies it based on the number of members. A single-member LLC is treated as a “disregarded entity,” so its income and expenses flow onto the owner’s personal return. A multi-member LLC is taxed as a partnership by default, with each member reporting their share. Either can elect corporate taxation by filing Form 8832.9Internal Revenue Service. Limited Liability Company (LLC)
Montana has no sales tax. Multi-member LLCs with Montana source income file a Montana Pass-Through Entity Tax Return (Form PTE) with the Department of Revenue.10Montana Department of Revenue. Pass-Through Information Return Filing Requirements A single-member LLC owned by a nonresident files Form DE attached to the owner’s Montana individual return. Single-member LLCs owned by Montana residents generally report business income directly on the owner’s state individual return.
Your city or county may require a separate business license depending on your location and industry. Requirements vary.11Montana Department of Commerce. Business Licensing Call your local city or county office to confirm what applies to you. It’s easy to miss, and fines follow if you do.
File the Annual Report Every Year
Montana requires every LLC to file an annual report with the Secretary of State between January 1 and April 15 each year.12Montana State Legislature. Montana Code 35-8-208 – Annual Report for Secretary of State Your first report is due the year after formation, so an LLC formed in 2026 files its first report by April 15, 2027. The report updates the state on your current address, registered agent, and the names and addresses of members or managers. Filing happens through the same portal at biz.sosmt.gov.
For the third year running, Montana has waived the annual report filing fee. Reports filed by April 15, 2026, are free.13Montana Secretary of State. Secretary Christi Jacobsen Continues Montana Business Support by Waiving Fees Once Again File late and the fee is $35.1Montana Secretary of State. Business Services Filing Fees In years without a waiver, the standard fee is $20 before the deadline and $35 after. Future waivers are at the Secretary of State’s discretion, so don’t plan on them indefinitely.
Missing the annual report has real consequences. If your LLC goes 140 days past the deadline without filing, the Secretary of State can administratively dissolve it.14Montana State Legislature. Montana Code 35-8-209 – Administrative Dissolution, Rules Dissolution strips the LLC of its legal status and the liability shield that came with it. The same outcome applies if the LLC goes 60 days without a registered agent on file.
Protect the Liability Shield You Just Set Up
The point of forming an LLC is separating your personal assets from business debts. That protection isn’t automatic forever. A court can strip it away if you treat the LLC as an extension of yourself rather than a separate entity. Lawyers call this “piercing the veil,” and it happens more often than most owners expect.
The biggest risk is commingling funds: paying personal bills from the LLC account, depositing business income into a personal account, or moving money back and forth without documentation. If a creditor sues and finds that pattern, they can argue the LLC is a sham and reach your personal assets to satisfy a business debt. In a multi-member LLC, one member’s commingling can expose every other member.
Practices that hold up in court:
- Keep finances separate. Every business transaction runs through the LLC’s bank account, and personal expenses stay out of it.
- Sign contracts in the LLC’s name, identifying yourself as a member or manager rather than in your personal capacity.
- Keep the operating agreement current when ownership changes, new members join, or the business structure shifts.
- Stay current on filings. An LLC that has been administratively dissolved protects no one.
Beneficial Ownership Reporting
If you’ve been reading about the Corporate Transparency Act’s beneficial ownership requirement, it no longer applies to a Montana LLC you form domestically. In 2025, FinCEN issued a final rule exempting all entities formed in the United States from beneficial ownership information reporting. The requirement now applies only to foreign companies registered to do business in the U.S.15Financial Crimes Enforcement Network. FinCEN Removes Beneficial Ownership Reporting Requirements for US Companies and US Persons If you form your LLC in Montana, you have no BOI filing obligation.