How to Form a Maine LLC | 2025 Guide

Maine has the highest one-year startup survival rate in the U.S., with over 88% of new businesses still operating after their first year¹—a clear sign that the state provides a strong foundation for entrepreneurs. That makes it a smart choice for starting a Limited Liability Company (LLC), especially if you’re looking for personal asset protection, tax flexibility, and a straightforward setup.

In this expert-backed guide, you’ll learn how to form an LLC in Maine step by step—from filing your Certificate of Formation and creating an operating agreement to registering with Maine Revenue Services and opening a business bank account.

Do you send and receive global payments?

Try Wise Business >>

Wise Trustpilot Score: Excellent 4.3 out of 5 stars
No minimum balance requirement and no monthly fees
Integrates with QuickBooks, Xero, Sage, and more

How to Start an LLC in Maine (Step-by-Step)

Step 1: Choose a Unique Business Name

The first step in forming your LLC in Maine is selecting a name that complies with state naming rules. Your business name must include “Limited Liability Company,” or an abbreviation like “LLC” or “L.L.C.” It must also be distinguishable from all other names on record with the Maine Secretary of State.

You can search for name availability using the Maine Corporate Name Search tool². If you're not quite ready to file your paperwork but want to secure your business name, you can reserve it for 120 days by submitting an Application for Reservation of Name (Form MLLC-1) ³ along with a $20 filing fee.

Step 2: Appoint a Registered Agent

Every Maine LLC must have a registered agent with a physical street address in the state. This person or company accepts legal and official documents on your behalf. While you can serve as your own agent, many business owners choose to hire a commercial registered agent for added convenience, privacy, and reliability, especially if they don’t live in Maine.

Step 3: File the Certificate of Formation

To legally form your LLC, you must file the Certificate of Formation (Form MLLC-6) ⁴ with the Maine Secretary of State. This document includes your business name, registered agent information, and whether members or managers will manage your LLC .

• Filing fee: $175
• Processing time: 10–15 business days
• Expedited options: $50 (24-hour) or $100 (same-day)

Once accepted, you’ll receive your official Maine LLC certificate, confirming your legal business entity status.

Step 4: Draft an Operating Agreement

Though not required by law, an operating agreement is a crucial internal document. It outlines ownership structure, management responsibilities, profit-sharing, and dispute resolution. It also reinforces your LLC’s legitimacy and helps safeguard your personal assets from business debts.

Step 5: Apply for a Federal Tax Identification Number

A federal tax identification number, also known as an Employer Identification Number (EIN) ⁵, is required for most businesses. It’s issued by the IRS and allows your LLC to pay taxes, hire employees, and open a business bank account. Applying is free and can be done online through the IRS website.

Step 6: Register for State Taxes and Obtain Licenses

Depending on your business activities, you may need to register with Maine Revenue Services⁶ for sales tax, use tax, or employer withholding tax. You'll also need to determine if your business requires state or local business licenses, especially if you're in a regulated profession like health care or construction.

Step 7: File Annual Reports

All Maine LLCs must file an Annual Report (Form MLLC-13)** **⁷ by June 1 each year. This keeps your business information up to date with the state.

• Filing fee: $85
• Filing method: Online or by mail

If your business owns equipment or other tangible assets, you may also need to file a **personal property tax return **with your local tax assessor.

Where does Wise Business fit in your business? Send Fast and Secure Business Payments

---

What Are the Business Requirements for a Maine LLC?

To stay compliant, your Maine LLC must:

• Maintain a registered agent with a physical Maine address.
• Keep a current operating agreement.
• Open and manage a dedicated business bank account.
• File annual reports and any required personal property tax returns.
• Register for applicable state taxes.
• Hold valid business licenses for your industry.

These requirements help your business stay in good standing and maintain legal protections.

What Are the Benefits of Starting an LLC in Maine?

There’s a range of practical advantages that Maine offers to both new and experienced business owners:

• Limited personal liability protects your assets from business-related lawsuits or debts.
• Tax flexibility allows you to choose how your business is taxed—pass-through or corporate.
• Affordable startup costs with a one-time $175 filing fee and an $85 annual report.
• Privacy—Maine does not require member names to appear on the public formation documents.
• No residency requirement, making it accessible to nonresidents and foreign entrepreneurs.
• Supportive small business climate, especially for low-profit startups.

How Much Does It Cost to Start an LLC in Maine?

Expense	Cost	Required?
Certificate of Formation	$175	Yes
Name Reservation (120 days)	$20	Optional
Annual Report	$85/year	Yes
Commercial Registered Agent	$49–$250/year	Optional (if not self)
Operating Agreement	Varies	Recommended
Federal EIN (from IRS)	Free	Yes
Business Licenses (local/state)	Varies	Depends on the industry
Expedited Filing	$50–$100	Optional

Maine’s LLC formation costs are relatively modest. Most startups can expect to pay the $175 formation fee and $85 annually, with the flexibility to add services like expedited filing or a commercial registered agent, depending on their needs.

Can I Open an LLC in Maine Without Living There?

Yes. You don’t need to be a Maine resident to form or operate a Maine LLC. However, you must maintain a registered agent with a physical address in Maine. Many out-of-state business owners fulfill this requirement by hiring a commercial registered agent.

Can a Nonresident Open a Company in Maine?

Absolutely. There are no citizenship or residency restrictions for forming a Maine LLC. Foreign individuals or companies can register a foreign LLC or form a domestic one, as long as they designate a registered agent and comply with state tax and licensing requirements.

How Does Maine Compare to Other States?

Here’s how Maine compares to three nearby states that LLC owners often consider:

Feature	Maine	Massachusetts	New Hampshire	Vermont
Formation Fee	$175	$500	$100	$125
Annual Report Fee	$85	$500	$100	$35
State Income Tax	Yes	Yes	No	Yes
Sales Tax	5.5%	6.25%	No	6%
Registered Agent Required	Yes	Yes	Yes	Yes
Foreign LLCs Allowed	Yes	Yes	Yes	Yes
Business Bank Account Needed	Yes	Yes	Yes	Yes

• Maine offers moderate fees and balanced taxes, making it an attractive choice for small businesses that want a straightforward setup without excessive costs.
• Massachusetts has the highest startup and ongoing fees, which may not be ideal for entrepreneurs with limited capital.
• New Hampshire stands out with no state income or sales tax, appealing to business owners focused on minimizing tax obligations.
• Vermont has a lower annual report fee and modest formation costs, but includes both income and sales taxes, offering a middle ground between affordability and tax exposure.

Open a Wise Business Account: Manage Your US Business Finances With Ease

Once you have established your business with an LLC, you’ll need a business account to manage your US finances. A Wise Business account is easy to open online and comes with no monthly fees. You can convert funds from your home currency to USD with low, transparent fees.

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. The Wise Business account is designed with international business in mind, and makes it easy to send, hold, and manage business funds in currencies. You can get major currency account details for a one-off fee to receive overseas payments like a local. You can also send money to countries.

Some key features of Wise Business include:

Major local account details to receive international payments with ease No monthly account fees just a simple one-off fee for account details Receive payments from e-commerce platforms such as Amazon or via Stripe. Create invoices using the Wise invoice generator or invoice templates. Accounting integrations, including a QuickBooks Bill Pay connection. Bill payments will be synced, matched, and categorized in QuickBooks for simple reconciliation. Access to BatchTransfer. Fast payment of up to 1,000 people.

Open a Wise Business account online

Conclusion

Maine is a reliable, business-friendly state for forming an LLC, offering strong protections, affordable fees, and flexible ownership structures. Whether you're launching a new business or expanding an existing one, forming a Maine LLC is a smart move—especially if you value privacy, legal simplicity, and protecting your personal assets from business debts.

---

FAQs About Maine LLCs

What Does Maine Do About Privacy Protections for LLCs?

Maine does not require LLC member names to be listed publicly on the Certificate of Formation, but the registered agent’s name and address are public records.

Why Do People Use Maine for LLCs?

Entrepreneurs choose Maine for its low startup costs, strong liability protections, and easy-to-follow formation process, especially for low-profit businesses that need flexibility.

Is a Maine LLC Tax-Free?

No. Maine imposes both state income tax and sales tax. However, your LLC may qualify for pass-through taxation, and you’ll still need to pay federal income tax through the IRS.

What Are the Disadvantages of a Maine LLC?

Maine is a solid choice for forming an LLC, but it comes with a few limitations.

• No centralized filing portal, which can slow down processing: Unlike some states that offer all-digital filing systems, Maine relies heavily on paper forms and mail-in submissions. This lack of a unified online portal can make routine filings less efficient and result in longer turnaround times, especially during busy periods.
• State income and sales taxes increase your overall tax burden: Maine imposes both a state income tax and a 5.5% sales tax, which can add up depending on your revenue and business model. For business owners seeking to minimize tax obligations, states like New Hampshire (with no state income or sales tax) may offer more appealing options.
• The annual report is mandatory, adding a yearly compliance step: Every Maine LLC must file an annual report by June 1 and pay an $85 fee to remain in good standing. While not overly burdensome, it’s an extra administrative task that must be tracked and completed on time to avoid penalties or dissolution.
• Longer processing times unless expedited service is requested: Standard formation and filing processes can take 10–15 business days or longer. While Maine offers 24-hour and same-day expedited options for an additional fee, relying on expedited service adds cost and complexity that some entrepreneurs may prefer to avoid.

---

Sources:

1. Small Business Statistics – Maine | BoostSuite
2. Corporate Name Search | Maine Department of Secretary of State
3. Form MLLC-1 – Maine Certificate of Formation (PDF) | Maine.gov
4. Form MLLC-6 – Maine Registered Agent Consent (PDF) | Maine.gov
5. Employer Identification Number | IRS
6. Maine Revenue Services | Maine.gov
7. Maine Secretary of State – LLC Formation Overview