Montana LLC Formation
Cost Calculator

Forming an LLC in Montana requires a state filing fee of $35. Combined with a registered agent ($150/year estimated), annual report fees of $20, your first-year total comes to approximately $205.

The standard processing time for Montana LLC filings is 5 business days. Online filing through the Montana Secretary of State is available and typically processes faster than paper filings.

Montana LLCs are governed by Mont. Code Ann.

§ 35-8-101. Montana has the lowest LLC filing fee in the country at $35.

The annual report is $20. Montana also has no sales tax, benefiting product-based businesses.

Montana enacted a Series LLC statute — Montana's Series LLC provides asset segregation within a single umbrella entity. Montana's charging order is the exclusive remedy for LLC member creditors.

Professionals (attorneys, CPAs, architects, engineers, physicians) in Montana must form a Professional LLC (PLLC). Montana has no sales tax — a significant advantage for product-based businesses and e-commerce LLCs.

Montana's Business Development Division and Montana SBDC provide business resources. Montana's Big Sky Economic Development supports business formation in Billings and surrounding areas.

Montana's outdoor recreation and agriculture sectors drive LLC formation in guide services, outfitting, ranch operations, and agritourism. Montana LLCs should note that Montana imposes a minimum LLC tax ($50/year) if the LLC has no other tax liability.

After initial formation, Montana LLCs face ongoing compliance costs. The annual report fee is $20, which must be filed to keep your LLC in good standing.

A registered agent — required by Montana law — typically costs $100–$300/year depending on the service provider.

Expect annual ongoing costs of approximately $170 for a Montana LLC (registered agent + annual fees). This does not include business licenses, professional fees, or taxes.

Montana may also require local business licenses depending on your municipality and business type. Many cities require a business license ranging from $25 to $500/year.

Check with your county clerk's office for local requirements beyond the state-level LLC registration.

Many entrepreneurs consider forming their LLC in a different state — most commonly Delaware, Wyoming, or Nevada — to take advantage of favorable laws. However, if you operate primarily in Montana, you will likely still need to register as a foreign LLC in Montana, paying both that state's fees AND Montana's foreign registration fee, making domestic registration typically more cost-effective.

Delaware, Wyoming, and Nevada are popular for their advanced LLC laws, privacy protections, and tax benefits. However, for a small business operating solely in Montana, forming domestically is usually simpler and more cost-effective.

An attorney or business formation service can help you decide the optimal formation state for your specific situation. Factors include where you'll operate, the nature of your assets, investor requirements, and long-term exit plans.

While Montana does not legally require an LLC operating agreement, it is strongly recommended for all Montana LLCs. An operating agreement defines member rights, profit distribution, voting procedures, and what happens if a member leaves or the LLC is dissolved.

Without an operating agreement, Montana's default LLC rules under Mont. Code Ann.

§ 35-8-101 will govern your business, which may not align with your intentions. For single-member LLCs, an operating agreement helps establish the legal separation between you and the business — important for liability protection.

Operating agreements drafted by an attorney in Montana typically cost $500–$1,500 for simple agreements or $1,500–$3,000 for complex multi-member structures. Online templates are available but may miss state-specific provisions.

Montana requires every LLC to maintain a registered agent — an individual or company with a physical address in Montana who can accept legal documents during business hours. You can serve as your own registered agent, use an owner or employee at a Montana address, or hire a professional registered agent service.

Professional registered agent services in Montana typically cost $100–$300/year and offer advantages including privacy (your home address isn't public record), reliability (they never miss service of process), and compliance reminders for annual report deadlines.

Failing to maintain a registered agent in Montana can result in administrative dissolution of your LLC. If you move or change addresses, update your registered agent information with the Montana Secretary of State promptly.

By default, a single-member LLC in Montana is taxed as a sole proprietorship, and a multi-member LLC is taxed as a partnership — both pass-through entities where profits are reported on the owners' personal tax returns. Montana LLCs can also elect S-Corp or C-Corp tax treatment for potential tax savings.

Montana may impose its own state income tax on LLC profits. Depending on your revenue and structure, an S-Corp election can sometimes reduce self-employment taxes, though this adds payroll complexity.

Consult a CPA familiar with Montana tax law before making tax elections.

Montana LLCs may also be subject to state sales tax if selling taxable products or services. Register for a sales tax permit with Montana's Department of Revenue and file returns on the schedule required for your revenue level.

LLC formation is just the beginning of the legal and financial structure. If the LLC will hold real property, the Montana Closing Cost Estimator breaks down buyer transaction costs when acquiring property in the entity name.

For businesses checking statute of limitations exposure on contracts, the Montana Statute of Limitations Lookup covers written contract and business dispute filing deadlines. And if you're a sole proprietor evaluating whether a bankruptcy fresh start makes sense before forming the LLC, the Montana Chapter 7 Means Test Calculator determines eligibility for Chapter 7 discharge.