If you already have an LLC in another state and want an LLC in Maryland, then starting an LLC would be somewhat different. You must register as a foreign LLC. We have here a guide on how you can qualify and register for a foreign LLC in Maryland.
On this page, you’ll learn about the following:
- Forming an Maryland Foreign LLC
- Steps to Filing Maryland Foreign LLC Online
- After Forming Maryland Foreign LLC
Forming an Maryland Foreign LLC
A foreign LLC does not need to be a company from another country but a business formed under the laws of another state. To start a foreign LLC in Maryland, you need to register it with the Maryland Secretary of State.
Step 1: Choose Maryland Foreign LLC Name
Obtain a name reservation certificate and submit it with your foreign qualification requirements at the Maryland Secretary of State. Your LLC’s legal name outside of Maryland will be listed on the application, along with the name it will use in Maryland. Take note of the requirements for naming your LLC.
Step 2: Select Maryland Foreign LLC Registered Agent
You’ll need a registered agent to form a foreign LLC in Maryland and take note that a Maryland registered agent must have a local address. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries:
Step 3: File Registration of Maryland Foreign LLC
Fill out and submit a Foreign LLC Application for Registration form via email to [email protected] or by mail to Maryland State Department of Assessments and taxation, 301 West Preston Street, Baltimore, Maryland 21201-2395.
Include the following:
- LLC’s full legal name.
- A fictitious name or a DBA (only if your LLC’s legal name is not available); Attach a statement of adoption of the fictitious name signed by all LLC members.
- LLC’s principal office and mailing addresses.
- LLC formation state and date.
- Registered agent’s name and address in Maryland.
- Date when your LLC will start operations in Maryland.
- Credit card information on the last page of the form for the $150 application fee.
The LLC cost in Maryland, even for foreign LLCs will differ between online filing and by mail.
Step 4: Determine How Your Maryland Foreign LLC is taxed
Foreign LLCs are also subjected to the Maryland Business Privilege Tax, and they must file LLC annual reports each year.
Note that forming a foreign LLC would be good for your business as you can legally operate in a different state thus reaching a larger market and opening more opportunities for higher profit.
Steps to Filing Maryland Foreign LLC Online
Time needed: 5 minutes.
When you are registering for the foreign LLC in this particular State, you will have to submit your Application for Registration of foreign LLC with the Secretary of State which costs $100. The filing must also contain a written proof of existence from your home State. It is equivalent to a Certificate of Status. After approval, you will receive a Verification Certificate from the State Office. We have explained the aspects you need to cover when you apply for Maryland Foreign LLC.
In the State of Maryland, the process of filing an application for Articles of Organization for a foreign LLC can be done online and via mail.
- Visit the official website
- Click the foreign LLC file option
Scroll down to the section containing details about “Foreign (Non-Maryland) Businesses”. Select the following option from the given list “Foreign Limited Liability Company Registration”. Click the option of “Click here to file online”.
- Create your account
If you already registered your account on the website, click on the “log in” option and proceed to fill in your login credentials and access your account. If you do not have an account, click on the “Create Account” option on the page.
- Fill in your details
Enter your information to sign up for a new account such as your First and Last name, Contact details, Email, Address, ZIP Code, and password. After creating your account credentials, you will be required to answer additional questions. Next, click on the tab “Create Account”.
- Select the business type
After creating your account, log in to your account with the username and password. Next, select the option of ‘Start a New Filing’ option on your Account Home page. Select the registration type as “Foreign (Non-Maryland) Business Types: Foreign Limited Liability Company” from the dropdown list.
- Complete the registration process
After the registration page for your Maryland Foreign LLC opens up, continue with the registration process by filling in the application for Articles of Organization.
You can also choose to file an application for registration of your limited liability company OFFLINE via mail by completing the Application form PDF and submitting it to the following address: Maryland State Department of Assessments and taxation, 301 West Preston Street, Baltimore, Maryland 21201-2395. The filing fee for offline registration is also $100 and the application should be accompanied by written proof of existence from the Home State.
It is convenient plus easy to file for the foreign LLC if you are doing it online. The steps are very easy and that’s why it’s possible to go along with the steps and form the foreign LLC in Maryland.
After Forming Maryland Foreign LLC
Here are added things you need to accomplish after forming your Maryland Foreign LLC
- Obtain Business Licenses. Find the business licenses you’ll need using the Business License Search.
- File LLC annual reports and Business Privilege Tax.
- Pay State Taxes like sales tax; you’ll need an EIN for your LLC.
How Much Does It Cost to Register a Foreign LLC in Maryland
To register as a foreign LLC in Maryland, you can file through mail or online by paying $100 to the Maryland Secretary of State.
When registering an LLC in Maryland, you must file an annual report by April 15 of each year. This report updates the registered agent information and lets the state know that the business is still operating. The cost to file an annual report is $300. This fee will be waived if you file your annual report online.
Before filing an annual report, you must ensure that your foreign LLC qualifies for incorporation in Maryland. You can download the required forms from the SDAT website or complete the forms online with Maryland Business Express. The name of your foreign business must be unique and distinguishable from other businesses in Maryland. If the company was previously registered in another state, you will also need to provide a Certificate of Good Standing or an equivalent document. The filing fee for a foreign LLC in Maryland is $100.
To start the process of foreign LLC registration in Maryland, you need to fill out the Certificate of Good Standing form and the Foreign Corporation Qualification form. These forms are available on the Department of Assessments and Taxation website. The forms and fees vary for different entities, and the Maryland Department of Assessments and Taxation requires different forms for different entities. After completing the required forms and paying the required fees, you must receive a Certificate of Good Standing in the state within 60 days.
To avoid a loss of business, make sure to pay all your taxes on time. Failure to pay the required fees may result in fines and penalties for your business. In addition to the fines and fees, failure to pay taxes can even result in forfeiture of the business. However, most of these fees are one-time, so you won’t have to worry about unexpected costs later.
When you create an LLC in Maryland, you should check whether the state’s business privilege tax applies to it. You’ll need to file annual reports to comply with the requirements of this tax. You’ll need to pay the filing fee for an LLC in Maryland in order to obtain the certificate. You can also file for an operating agreement to outline the rules and procedures of your company.
The registration process in Maryland is relatively simple. However, it is essential to keep up with filing deadlines and fees. If you fail to do this, your LLC will be unable to file the appropriate paperwork in Maryland and will be subject to late fees. In addition, it will fall out of good standing with the state and will not be able to apply for business licenses in other states.
There are a few other requirements you must meet before you can file your LLC in Maryland. First, you must select a business name. Be sure to check that the name you choose is available in Maryland. You may also need to pay for self-employment or payroll taxes. In addition, you’ll need to pay sales taxes and federal taxes.
If your LLC is formed under the laws of another state, it is referred to as a foreign LLC in Maryland.
Businesses incorporated outside of the state where they operate must have “foreign qualifications” issued in the other states.
A domestic LLC is a company registered in Maryland as an LLC. The entity type that has a physical presence in another state is a foreign LLC.
Starting a foreign LLC in Maryland does not require a lot of documentation or tasks. However, it is always good to seek help from a professional when it comes to running your business. Get a professional registered agent and form your foreign LLC anywhere without a hassle.