New Mexico LLCs are required to have one or more members/managers and must list the name and address of their registered agent. The agent is required to be available during regular business hours to accept important legal and tax documents on the LLC’s behalf.
The name of a New Mexico LLC must end with “Limited Liability Company”, “Limited Company”, “Ltd. Co.”, “LC”, “LLC”, or “L.L.C.”. The name must not be confused with another business entitiy registered in the state.
For a New Mexico LLC to be formed, the Articles of Organization must be filed to the New Mexico Secretary of State’s Office. The articles must include the LLC’s name and address as well as the name and address of the registered agent. Additoinal required information includes the LLC’s dissolution date, if applicable, the management roles of the LLC, and if it has only one member. The articles must be filed by postal mail.
What is an LLC?
LLC refers to a Limited Liability Company, and it is organized by business owners. They have fewer corporate formalities and can be taxed by the IRS as a sole proprietorship, S corporation, or C corporation.
Each state has different requirements and regulations regarding the formation of an LLC. Business owners should check with state laws when considering forming an LLC.
Owners of LLCs are known as members, they can be individuals, corporations, other LLCs, or foreign entities. There is no limit on the number of members an LLC can have. In most states, “single-member” LLCs are allowed, where there is only one owner involved in managing the LLC.
The IRS will treat the LLC as a corporation, partnership, or included in the LLC owners personal tax return. A domestic LLC with at least two members is classified as a partnership for federal income tax purposes unless they file Form 8832 and elect to be treated as a corporation.
LLCs carry tax advantages over other forms of business such as limited partnerships. The owners of an LLC do not assume personal liability for business debt, and any losses of the LLC can be used as tax deductions against active income.
An LLC can be formed through the state business formation process or consulting with LegalZoom.