How to Start an LLC in Maryland
To start an LLC in Maryland, file Articles of Organization with the Maryland State Department of Assessments and Taxation (SDAT). This costs $100 and takes 4–6 weeks (standard); 7 business days (+$50 expedite); same-day (+$425) for online approval.
Maryland has one of the longest standard processing times — up to 4–6 weeks. If you need your LLC faster, use expedited service: +$50 for 7-day processing or +$425 for same-day.
There are 6 steps to start an LLC in Maryland:
- 1Choose an LLC Name
- 2Select a Registered Agent
- 3File Articles of Organization
- 4Create an Operating Agreement
- 5Get an EIN from the IRS
- 6File Your Personal Property Return
How much does it cost to start an LLC in Maryland?
It costs $100 to start an LLC in Maryland. After formation, you will also owe $300/year (minimum) for the File Your Personal Property Return.
What are these fees for?
- The $100 is to file the Articles of Organization — the document that officially creates your LLC.
- The $300/year (minimum) is for the File Your Personal Property Return — a mandatory filing that keeps your LLC in good standing.
How long does it take to get an LLC in Maryland?
- Online filing: 4–6 weeks (standard); 7 business days (+$50 expedite); same-day (+$425)
- Mail filing: 6–8 weeks
Maryland processing times are notably longer than most states. Expedited processing is available for an additional fee if you need faster approval.
Steps to Form an LLC in Maryland
Step 1: Search Your LLC Name
Search your LLC name to make sure it's available in Maryland. Two businesses in the state cannot share the same name.
Maryland business name search →
Step 2: Choose a Registered Agent
A Registered Agent is a person or company that accepts legal mail and state notices on behalf of your LLC. Maryland requires your Registered Agent to have a physical street address in the state — PO Boxes are not allowed. Your options:
- Yourself (if you have a physical address in Maryland)
- A friend or family member who lives in Maryland
- A professional Registered Agent service
Step 3: File Articles of Organization with SDAT
To officially create your LLC, file the Articles of Organization with the Maryland State Department of Assessments and Taxation (SDAT). The filing fee is $100.
Maryland processing times are notably longer than most states. Expedited processing is available for an additional fee if you need faster approval.
Step 4: Create an Operating Agreement
An Operating Agreement is an internal document that shows who owns the LLC and how it will be run. You do not need to file it with the state or the IRS — just keep it with your business records. All LLCs should have one, even single-member LLCs.
Step 5: Get an EIN from the IRS
An EIN (Employer Identification Number) is your LLC's federal tax ID. It is free from the IRS and is needed to open a business bank account, hire employees, and file taxes.
- US residents with an SSN: Apply online at IRS.gov (takes ~15 minutes, free)
- Non-US residents without an SSN: Apply by fax or mail using Form SS-4 (takes 1–3 months)
Step 6: File Your Personal Property Return
First due: April 15 of the year after your LLC is approved
After Your LLC Is Approved
Open a business bank account
Keep business and personal finances separate to maintain liability protection. You will need your EIN and your stamped/approved Articles of Organization to open an account.
Get business licenses and permits
Maryland requires a Trader's License for businesses that buy and sell goods. Other business types may need specific licenses. Check with your county for requirements.
Understand your tax obligations
LLCs don't pay federal income tax directly. Profits and losses pass through to the members, who report them on their personal federal tax returns.
Maryland has a state income tax. LLC members report their share of profits on their Maryland state tax return.
Once your LLC is formed, TheLLCWiki has free tools for IRS name changes, address changes, EIN applications, and tax elections.