Starting a limited liability company in Massachusetts costs $500 at the state level, and you’ll pay another $500 every year to keep it active. That’s the core of how to start an LLC in Massachusetts: you file a Certificate of Organization with the Massachusetts Secretary of the Commonwealth, Corporations Division, and pay the $500 filing fee (current as of October 11, 2026).
That fee goes to the state, and no service can waive it. A formation service is optional. You can file the paperwork yourself and get your federal tax ID (EIN) free from the IRS.
This guide walks through each step in order, with real costs side by side.
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Key Takeaways
- The state filing fee for the Certificate of Organization is $500.
- The annual report also costs $500 and is due every year on or before the anniversary of your original filing.
- An EIN is free from the IRS. You never have to pay for one.
- A formation service adds its own fee on top of the $500 state fee. It saves time, but it isn’t required.
Massachusetts LLC Costs at a Glance
| Item | Cost | When |
|---|---|---|
| Certificate of Organization (state filing fee) | $500 | Once, when you form |
| Annual report | $500 | Every year, on or before the anniversary of your original filing |
| EIN from the IRS | $0 | Once, after you form |
| Formation service (optional) | Varies by provider | Only if you choose one |
Sources: Massachusetts Secretary of the Commonwealth, Corporations Division; IRS. Figures current as of October 11, 2026.
Budget for that annual $500 from day one. Plenty of new owners plan for the formation fee and forget the yearly one.
How to Start an LLC in Massachusetts: Step by Step
Step 1: Choose and check your LLC name
Your LLC needs a name that’s distinguishable from other businesses already registered with the state. Before you commit, use the business entity search on the Massachusetts Secretary of the Commonwealth, Corporations Division’s website. Check the same site for naming rules, required designators like “LLC,” and whether name reservation is offered and what it costs.
Don’t stop at the state database. Search the web and social media handles, and check the federal trademark database at USPTO.gov so you don’t pick a name another business already uses in your field.
Step 2: Appoint a registered agent
A registered agent is the person or company designated to receive official legal and state mail for your LLC. The agent needs a physical address in Massachusetts, not just a PO box, and must be reachable during business hours.
You have three options:
- Yourself. It costs nothing, but your name and address will appear on public records.
- Someone you trust, such as a family member or business partner who agrees to do it.
- A commercial registered agent service. It charges a fee, but it keeps your personal address off the public record.
Check the Certificate of Organization form for the exact terms and requirements Massachusetts uses for this role.
Step 3: File the Certificate of Organization
In Massachusetts, the formation document is called the Certificate of Organization. Other states call it “Articles of Organization.” It’s the filing that legally creates your LLC.
- Go to the Massachusetts Secretary of the Commonwealth, Corporations Division website and find the LLC filing section.
- Complete the form with your LLC’s name, address, agent information, and the other details it asks for. Read the instructions closely, since the form also asks about the people who will manage the LLC.
- Pay the $500 filing fee.
- Save the filed copy once the state approves it. Your bank will want it, and so will your records.
Processing times change. Check the Corporations Division’s website for current turnaround times and filing methods.
Example: Say you’re forming a one-person consulting LLC in Boston. You search the state’s name database, find your name is open, list yourself as the agent using your home address, and file with the $500 fee. Your minimum out-of-pocket cost to form is $500.
Step 4: Create an operating agreement
An operating agreement is an internal document that spells out how your LLC is owned and run. It names the members (owners), says who the manager is if the LLC is manager-managed, explains how profits are split, and covers what happens if someone leaves.
You file the Certificate of Organization with the state. You don’t file the operating agreement. You keep it with your records.
Even if you’re the only member, a written agreement helps show that your LLC is a separate entity from you, and banks often ask for one. Check the Corporations Division’s website and Massachusetts law for specific requirements. If you have multiple owners, outside investors, or significant assets, consider asking a Massachusetts attorney to review it.
Step 5: Get your free EIN from the IRS
An EIN (Employer Identification Number) is a nine-digit federal tax ID for your business. You’ll use it to open a bank account, hire employees, and file business taxes in many cases.
Apply directly on IRS.gov. The IRS says its online tool gets you an EIN in minutes for free, and that you never have to pay a fee for one. Skip any site that charges for it.
Apply after your LLC is approved so you can use the exact legal name on your Certificate of Organization.
Wondering how your LLC will be taxed, or whether an S corporation election makes sense? Our guide on LLC vs. S corp differences covers it.
Step 6: Open a business bank account
Keep business money separate from personal money. Bring your filed Certificate of Organization, your EIN confirmation letter, your operating agreement, and your ID. Mixing personal and business funds can undermine the liability separation an LLC is meant to create.
Online business banking suits many small, newer businesses. Novo is one option worth comparing. Weigh fees, minimums, and features against your local bank before you choose.
Step 7: Calendar your annual report
Massachusetts LLCs must file an annual report on or before the anniversary date of filing the original Certificate of Organization. The filing fee is $500. Confirm the current deadline and fee with the Corporations Division. Put the date in your calendar now, with a reminder a few weeks ahead.
How to Start an LLC in Massachusetts Yourself vs. With a Formation Service
The DIY route: You file the Certificate of Organization yourself on the Corporations Division’s website. Your cost is the $500 state fee, and nothing else is required.
With a formation service: You pay the same $500 state fee plus whatever the service charges. Fees vary by provider and package, so check current pricing on the provider’s site.
Here’s what a service can add:
- Guided forms that prompt you for required information
- Document templates, such as an operating agreement
- Optional registered agent service
- Reminders for ongoing filings
- Help with the EIN application (though you can do this free on IRS.gov)
Here’s what a service doesn’t change. The state fee is the same, the form is the same, and your liability protection comes from the filing and your upkeep, not from who submits it.
Want to compare providers? Read our guide to the best LLC formation services in 2026. One option is Bizee, which offers formation filing and optional add-ons. You can see how it works in our Bizee walkthrough. A service makes the most sense if you value convenience, want a registered agent included, or don’t want to deal with government forms. If you’re comfortable with online forms, DIY costs less.
What your first two years could cost
- DIY: $500 state filing fee, plus $0 for the EIN.
- With a service: $500 plus the service’s fee.
- Annual report: $500, due on or before the anniversary of your original filing.
Say you file on March 3. Your first annual report would be due on or before the following March 3. Going DIY, you’d have paid $1,000 in state fees by then.
Keeping Your Massachusetts LLC in Good Standing
Forming the LLC is the easy part. Keeping it active takes a little routine.
- File your annual report on time. The Corporations Division requires it on or before the anniversary of your original Certificate of Organization, with a $500 fee.
- Update your information. If your address or agent changes, check the Corporations Division’s website for how to make the change.
- Keep finances separate. Run business activity through your business account.
- Keep your records together. Store the Certificate of Organization, operating agreement, EIN letter, and any amendments in one place.
For late fees or the consequences of missing the deadline, check the Corporations Division’s website for current details.
Your Do-It-Today Checklist
- Search the Corporations Division’s business entity database for your name.
- Decide on your registered agent: yourself, someone you trust, or a service.
- File the Certificate of Organization and pay the $500 fee.
- Write your operating agreement and store it with your records.
- Apply for your free EIN at IRS.gov.
- Open a business bank account.
- Add your annual report due date to your calendar.
For the big picture, start with our 7-step start-here overview. Curious how Massachusetts stacks up against other states? Compare it in our LLC filing fees by state breakdown.
Massachusetts LLC FAQ
How much does it cost to start an LLC in Massachusetts?
The state filing fee for the Certificate of Organization is $500, according to the Massachusetts Secretary of the Commonwealth, Corporations Division. A formation service, if you use one, charges a separate fee on top. The EIN is free from the IRS.
Is there an annual fee for a Massachusetts LLC?
Yes. Every LLC must file an annual report on or before the anniversary date of filing its original Certificate of Organization. The filing fee is $500, per the Corporations Division.
Do I need a formation service to start an LLC in Massachusetts?
No. You can file the Certificate of Organization yourself with the Corporations Division and pay only the state fee. A service is a convenience, not a requirement.
Do I have to pay for an EIN?
No. The IRS says you never have to pay a fee for an EIN, and it offers a free online application at IRS.gov.
How long does Massachusetts take to process my filing?
Processing times change. Check the Massachusetts Secretary of the Commonwealth, Corporations Division’s website for current processing times and filing options.
Last updated: October 11, 2026
Disclaimer: The information in this article is for educational purposes only and does not constitute legal, tax, or financial advice. Business formation rules, fees, and deadlines vary by state and change often. Always consult a qualified attorney, CPA, or tax professional before making decisions about your business.
