The first step in forming a New Mexico Limited Liability Company is to make sure the name you want is available.  

It’s critical to do a name search before registering an LLC name, as the name of each LLC must be distinguishable from other entity names registered in the state of New Mexico. The New Mexico Secretary of State makes it easy to search and verify if your LLC name is available.  Here is more information on how to do a New Mexico LLC name search. 

In addition to the name being unique, the entity designator (identifier used at the end of the business name) must be either:
– Limited Liability Company
– Limited Company
– Limited Liability Co.
– Limited Co.
– Ltd. Company
– L.L.C.
– LLC
– L.C.
– LC.
– Ltd. Co.
– Ltd Co

A comma may be used after the business name and before the designator.  “Cowboy Cleaners LLC” and “Cowboy Cleaners, LLC” are both acceptable.

If there is a name that you want to use, but you aren’t ready to form the LLC, the Application for Registration of Limited Liability Company Name can be filed with the New Mexico Secretary of State to hold the name for up to 120 days.

Before settling on a name, you may want to see if a domain name (sometimes called a URL) is also available to match your business name and website address.

Every LLC in New Mexico is required to have a Registered Agent. A Registered Agent will act as a central point of contact to receive legal documents, tax notices, summons, subpoenas, etc., on behalf of the LLC.

The basic requirements to be a Registered Agent in New Mexico include:
– The agent must be a New Mexico resident at least 18 years of age or a commercial Registered Agent service with a registered office in the state.
– The agent must have a physical address in the state (PO Boxes aren’t allowed).
– The agent must generally be available during normal business hours at the address provided to receive service of process.

Learn more about the requirements for a Registered Agent in New Mexico.

A signed statement from the registered agent accepting the appointment is required before filing the Articles of Organization.

The paperwork to officially create an LLC in New Mexico is called the Articles of Organization. To submit the paperwork, you will file online through the New Mexico Secretary of State’s Corporations and Business Service’s website.

Related: How to fill out the New Mexico Articles of Organization

When filling out the Articles of Organization, a few sections, and terms can be confusing. Let’s go over a few of these sections to help get your LLC started right.

Effective Date Request – If you want the LLC to start immediately, choose today’s date.  If you want the LLC to start later, enter a date less than 90 days in the future to start.  The main reason for delaying the LLC start date is when the filing is being done close to the end of a calendar year, and the business isn’t going to have any activity until the following year.  By delaying until the following year, they save from having to file one business tax filing.

Period of Duration – If you intend the business to exist forever, which most businesses do, leave “Perpetual” selected.  If you have a specific end date in mind (typically used for investment-related businesses), choose how long the LLC will operate after selecting “The period of duration is.”

NAICS – This section is optional and asks for information regarding the activities of the business.  To answer, there is a number called NAICS (North American Industrial Classification System).  This code is a six-digit number that classifies and categorizes the different business industries.  This information is used in reporting statistical data for each of the industries in the U.S.  Remember this number as you will need it when filing annual tax returns. 

Related: How to find the NAICS number for your business.

If the activities of your business aren’t specifically listed, choose one that is close.  The filing allows for up to three codes to be entered.

Business Purpose – Another optional section, the Secretary of State asks for is some basic information about what the business does.  Some will use a statement that keeps the business purpose open-ended that says, “The LLC will and engage in any lawful business activity for which a Limited Liability Company may be organized in New Mexico.”

Related: How to Answer the Business Purpose Statement.

Principal Place of Business – In this section, enter the street address, city, state, and zip code of the initial principal office.  This address can be the LLC’s physical address, or it can be the address where the business records are stored.  You may not use a PO Box for the principal place of business.  This address can be the same as the Registered Agent.

Mailing Address – If the mailing address is different from the primary place of business, enter that address in this section.  If the mailing address is the same as the principal place of business, click on the “Same as” box to copy an earlier used address.

Manager / Member Info – This section asks for information regarding the LLC’s managers and members.

– Managers, also known as a Manager-Managed LLC, are people hired by the members to run the LLC, similar to a CEO of a corporation.
– Members are the owner(s) of an LLC.  An LLC managed by the members is known as a Member-Managed LLC.  In this setup, the members have an active involvement in the management of the LLC.

Most LLCs are member-managed, and at least one member must be entered. 

Learn more about the differences between a member-managed and manager-managed LLC.

Organizer Information – An LLC Organizer is someone involved with the formation of the Articles of Organization.  The Organizer may or may not become an LLC member, such as a mentor, attorney, or accountant, but any of the initial LLC members could be listed as organizers.  Click the “Add Organizer” button and enter the Organizer’s information.