How to create an LLC in New Mexico from Spain (Step by step guide)

Step by step guide to create an LLC in New Mexico from Spain. Learn about the requirements, costs and process to establish your business in the USA.

steps to create an llc in the u.s.

Juanma Aranda

Although the process to create an LLC in the USA from Spain is similar in many states, in this article I will focus on giving you all the steps to create an LLC in New Mexico, since, as I explained, it is one of the most beneficial states to create an LLC.

Creating an LLC in New Mexico from Spain is an excellent option for entrepreneurs who want to establish a business in the USA without the need to be physically there. New Mexico is known to be one of the cheapest and simplest states to register an LLC.

What is an LLC in Spain

A LLC, or Limited Liability CompanyThe corporation is a business structure available in the United States, but not in Spain, that offers personal liability protection to its owners, known as members. This legal figure combines characteristics of corporations and partnerships or sole proprietorships.

In Spain, the figure most similar to an LLC would be the Limited Liability Company (S.L.), which also protects the personal assets of the partners against debts or liabilities arising from the business activity, limiting the risk to the capital contributed.

Although the LLC is a foreign legal form in Spain, Spanish businessmen can create an LLC in the United States to operate in the U.S. market, taking advantage of features such as management flexibility and passive taxation.

The creation of an LLC in the United States from Spain can be attractive for digital businesses or international commerce, given that allows access to tax benefits and operational that may not be available under Spanish corporate structures.

When establishing an LLC in the United States, Spanish businessmen must be aware of the tax obligations in both countries, managing properly tax liabilities to avoid legal problems and to make optimal use of the chosen business structure.

Business start-up in New Mexico

The business start-ups in New Mexico has been simplified thanks to its accessible online system. This allows entrepreneurs from Spain and around the world to set up an LLC efficiently and without the need to travel to the state.

By forming an LLC in New Mexico, business owners benefit from a favorable tax environment. This state is known for its low formation and maintenance costs, which makes it attractive to businesses of various sizes.

It is important to have a Registered Agent in New Mexico, a requirement for all LLCs. This agent acts as an intermediary to receive legal notices and maintain the privacy of the owner's personal address.

The process for obtaining a EIN (Employer Identification Number) is a crucial step for LLCs in New Mexico. Although it is free, the process may vary for non-residents, who must submit additional documentation.

Finally, the creation of an LLC in New Mexico allows the Spanish entrepreneurs to access the U.S. market and handle international transactions more easily, providing a solid platform for business growth and expansion.

But don't worry, in this guide, I explain you step by step and without technicalities how to do it.

1. Choose the name of your LLC

The first step is choose a unique name for your LLC. Make sure it is not in use by another company in New Mexico.

  • The name must include the words "Limited Liability Company"or its abbreviations "LLC" o "L.L.C.".
  • It must be a name that is not similar to that of other companies already registered in New Mexico.

To check if the name is available, you can search for it on the Opencorporates.

Think carefully, because if after creating it you decide to change the name, you will have to pay again the fees to the New Mexico Secretary of State ($50) and the Registered Agent's fee if you want them to process it for you.

2. Mailing address, telephone and fax

In order to complete all the forms and receive the documentation sent to you by the US Government, you must have a mailing address, a telephone number and a fax number with demarcation in the state where you are going to register your company.

  • If you are using Northwest's Registered Agent (step 3), you do not need to hire a Northwest Registered Agent (step 4). mailing addressThe service includes the use of your address, as well as the scanning of documents received in your name, so that you can access them online.
  • You also need to hire a number of US phonebecause you will have to fill it in on the EIN application form (step 5).
    • The approximate cost will be $5 per month.
  • In addition, you will need a US Fax numberNot only to send the EIN application to the IRS, but the IRS is likely to send you your EIN number there. You may want to keep this service active at least until you have the EIN in your possession.
    • The monthly cost of this service is around $9 per month.

If you use the Registered Agent's mailing address and one day you want to change AgentIf you do not have an address, your mailing address will also change and you will need to amend your business registration with the New Mexico Secretary of State using an Articles of Amendment form. In addition, you will have to pay state fees. In this case they are $50.

If you are going to use a separate mailing address (for example with ipostal1) this can be maintained for all Registered Agents.

3. Hire a Registered Agent

A Registered Agent is a person or company that will be in charge of receiving legal documents on behalf of your LLC in the US. mandatory for any LLC registered in the U.S., and since you live in Spain, you will need to hire one.

  • The Registered Agent must have a physical address in New Mexico.
  • There are many online services that offer this service for a yearly fee, generally between $50 and $150 per year.

My personal recommendation is that you do it with Northwesttaking advantage of its $39 promotion.

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registered agent northwest usa

4. Present the Articles of Organization

The next step is officially register your LLC presenting the Organizational Articles to the State of New Mexico. This can be done online or by mail.

  • The Organizational Articles are a simple document that includes the name of your LLC, the Registered Agent's address and the name of the members of the company.
  • The fee for submitting this document is $50 (also called state taxes).

Generally, this will be done by your Registered Agent when you engage their services. They will charge you their service fee plus the $50 state fees. And they will pay it on your behalf when you file the Articles of Organization with the New Mexico Secretary of State.

Once you file the Articles of Organization, the LLC will be officially registered with the state.

5. Obtain an EIN (Employer Identification Number).

Even if you have no employees, you will need an EIN (Employer Identification Number) to open a U.S. bank account, for invoicing and for filing taxes.

  • The EIN is a tax identification number issued by the IRS (the U.S. Internal Revenue Service).
  • If you were a US resident, you could apply for free through the IRS website. But since you are not a U.S. resident, you will need to send in the Form SS-4 by fax or mail.
  • Along with the form you must send the articles of organization that you have submitted in step 2 of this guide.

If you are not in a hurry to obtain the EIN, you can do it yourself by filling out the form and faxing it to us. The response usually takes between 1 and 3 months.

However, you also have the possibility of contracting the EIN application by a registered agentwho will take care of all the paperwork and provide you with your EIN. In this case, the process is usually faster.

6. Create an Operational Agreement (Optional but recommended)

Although it is not mandatory in New Mexico, it is advisable to create an Operating Agreement for your LLC. This document describes how your company will operate and how decisions will be made within the LLC.

  • The Operating Agreement is an internal document that you do not need to submit to the state, but it will help you establish clear rules about the management of the company.
  • Although you will not have to present this document to any state authority to form your LLC, you will be asked to present it when opening your US bank account.

If you are the sole member of the LLC, you can create a simple agreement that explains your responsibilities and how the business will be managed.

From Northwest's website you can download FREE Operating Agreement templateThe company's single-member, multi-member, and manager-manager management systems.

7. Submit BOI report

The BOI report requires certain entities, such as LLCs and corporations, to provide detailed information regarding their beneficial owners.

Information to be submitted to the BOI includes:

  • Full name of each beneficial owner.
  • Date of birth of the beneficial owners.
  • Residential or business address current.
  • Identification number (such as a passport or tax identification number).

The main objective is for the U.S. government to have clarity on who really owns and controls legal entities in the country.

Remember that, in order to file this report, you need to already have the EIN you applied for in step 5.

Filing deadlines

The deadlines for submitting the BOI report depend on the date on which the entity was formed:

  • For entities created before January 1, 2024: You have until January 1, 2025 to present the BOI report.
  • For entities created on or after January 1, 2024: You must submit the report within 30 days after the formation of the company.

8. Open a U.S. bank account.

Once you have the EIN, the next step is to open a bank account in the U.S. for your LLC. This will allow you to manage your business finances more efficiently.

  • Some banks allow you to open accounts remotely, although you must be very careful when filling in the opening forms, as it is always at their discretion whether to accept you as a customer or not. refuse your request.
  • My personal recommendation is that you open a Wise LLC accountas it will allow you to operate with several currencies (e.g., with euros and dollars), and also have your personal account, so you can easily transfer money.
  • To complete the process, you will need to submit the articles of organization (step 4), the operating agreement (step 5) and the EIN number (step 6). In addition, you will also need to attach a copy of your passport and complete the video verification via robotic video call.

By having a U.S. bank account, you will be able to charge your customers in U.S. dollars and better handle international payments.

9. Complies with tax and annual obligations

New Mexico has few obligations compared to other states, which makes it very attractive:

  • No franchise taxes no annual reporting is required. This reduces your maintenance costs.
  • However, if your LLC has transactions with non-residents (e.g., between you as the foreign owner and the LLC), you will need to file the Form 5472 with the IRS. This ensures that everything is well documented.

Remember that, although your LLC is in the USA, you must follow the tax regulations in Spain, since you are a tax resident there.

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registered agent northwest usa

Summary of costs to create an LLC in New Mexico from Spain

In total, you can form your LLC for approximately $100 to $300 in initial costs, plus the annual cost of the registered agent.

Conclusion

Form a LLC in New Mexico from Spain is an excellent option if you have an online business or if you need to bill international services. This state has low costs y few tax liabilitiesThis makes it an attractive option for non-U.S.-based entrepreneurs.

By following these simple steps, you will be able to establish your LLC in no time and take advantage of the tax advantages New Mexico has to offer. It's a perfect opportunity to expand your business without complications!

Frequently asked questions about setting up an LLC in New Mexico from Spain

How to open an LLC in New Mexico?

For open an LLC in New MexicoIn order to ensure the correct incorporation of the company, it is essential to follow several key steps. First, you must choose a unique name for your LLC and verify its availability in the state registry. Next, you need to designate a registered agent to act as a legal point of contact.

  • Choose and verify the name of the LLC
  • Designate a registered agent
  • Submit Articles of Organization
  • Obtaining an Employer Identification Number (EIN)
  • Create an operating agreement

Finally, consider the importance to comply with local and tax regulations, including the possibility of obtaining specific licenses or permits depending on the type of business you plan to operate.

How much does an LLC cost in New Mexico?

The cost of creating an LLC in New Mexico varies depending on several factors, but the basic expenses include the filing fee. Currently, the fee for filing the Articles of Organization is $50. This is one of the lowest rates in the country, making New Mexico an attractive option for entrepreneurs.

In addition to the filing fee, it is important to consider other possible associated costs, such as:

  • Fees of an attorney or consultant, if you decide to hire one.
  • Registered agent service costs, which can range from $100 y $300 annually.
  • Costs of obtaining industry-specific licenses or permits.

In summary, the total cost to establish and maintain an LLC in New Mexico can vary, but is relatively low compared to other states. Investing in legal counsel can be beneficial to ensure that all requirements are properly met.

How to open an LLC in Mexico?

To open an LLC in New Mexico from Spain, it is essential to follow a structured process to ensure compliance with local regulations. First, choose a unique name for your company and verify its availability in the state registry. Next, appoint a registered agent who can receive legal documents in the U.S.

Once you have the name and agent, proceed to file the Articles of Organization with the New Mexico Secretary of State. Next, it is advisable to create an Operating Agreement setting forth the structure and operation of the LLC. Finally, consider obtaining an Employer Identification Number (EIN) for tax purposes.

  • Choosing a unique name for the LLC
  • Designate a registered agent
  • Submit Articles of Organization
  • Create an Operating Agreement
  • Obtaining an EIN

Does New Mexico require an operating agreement for an LLC?

New Mexico does not legally require LLCs to have an operating agreement, but it is highly recommended to have one. This document establishes the internal rules of the company, the rights and duties of the members, as well as the distribution of profits and losses. Although the lack of an operating agreement does not prevent the formation of the LLC, having one helps to avoid conflicts and provides clarity in the management of the business.

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