Filing a New Mexico Corporation
Many new business owners are attracted to a New Mexico Corporation because of how advantageous it can be. A New Mexico Corporation offers numerous tax benefits to owners. It also allows owners to gain instant credibility with customers. However, the administrative process that goes into forming a Corporation can be confusing. Prospective owners should be diligent during the filing process.
Steps When Filing
Choose A Name
The first thing that new business owners will need to do is choose a name for their entity. The state of New Mexico requires companies to include an indicator in their name. In this case, owners will want to add something like, “Incorporated,” “Corporation,” “Company,” or “Limited.” An abbreviation like “Inc” would also suffice. Additionally, owners must ensure that the name they choose is unique to their company. To ensure they don’t pick a name that’s already in use, owners can use the DoMyLLC Name Availability Check Page.
Choose An Agent For Service Of Process
After selecting a name, new owners will then need to choose a registered agent. A registered agent is responsible for accepting legal correspondence on behalf of the company. Many new owners don’t realize how vital the registered agent is to their success. Those that do tend to hire a professional third-party company, such as DoMyLLC, to serve as their agent.
File Articles Of Incorporation & Pay Filing Fees
Once owners have selected a name and registered agent, they can file Articles of Incorporation with the Corporations Bureau of the Secretary of State’s Office. The cost to do so depends on the number of shares the Corporation will authorize, although the minimum fee is $100. The maximum is $1,000. Additionally, there is an expedite fee ranging from $100 to $150. The information that owners will need to provide on these forms includes:
- The name of the company
- Period of duration
- The purpose for which the Corporation is organized
- The aggregate number of shares that the Corporation can issue
- Name and address of the registered agent
- Name and addresses of the initial board of directors
- Name, addresses, and signatures of each incorporator
File Initial Report
The New Mexico Corporation will also need to file an Initial Report. It costs $25 to do so. Owners must submit Initial Reports within 30 days of incorporation.
Create Corporate Bylaws, Appoint Directors And Hold Meetings
After submitting the Articles of Incorporation and Initial Report, members of the New Mexico Corporation will want to hold an initial corporate meeting. In attendance at this meeting should be the directors who were listed on Articles of Incorporation. These directors will serve in this capacity on the board until the next annual meeting of shareholders, where directors are up for re-election.
Once in place, the board can define the role of and elect officers. The board will also need to draft corporate bylaws. Corporate bylaws are a private document that act as an internal operating manual. However, a Corporation must have bylaws in place before they can exist or conduct business. Additionally, many banks and insurers will require proof of bylaws before agreeing to do business with a Corporation.
While at the initial corporate meeting, the board of directors will also want to issue stock. The board has the only authorization to do so, and they are responsible for doing so throughout the life cycle of the Corporation. The Articles of Incorporation defines how much stock the board can issue. The board will also want to maintain a stock ledger to help support the corporate veil and promote transparency to investors.
Obtain Employer Identification Number
The New Mexico will need to obtain an Employer Identification Numbers to file taxes. The number is also necessary to hire employees and open a business bank account.
File New Mexico Required Biennial Reports
The New Mexico Corporation will need to file a compliance report with the Secretary of State’s office every other year. This Biennial Report is due by the 15th day of the fourth month following the close of the fiscal year. For instance, if a company’s fiscal year ends on December 31, the Biennial Report is due on April 15 every other year. There is a $25 fee to submit this report. Learn more at our New Mexico Biennial Report page.
Companies must also file state and federal taxes and renew all licenses and permits each year.
How DoMyLLC Can Assist With Streamlining The Process
At DoMyLLC, we offer comprehensive services to help streamline the administrative process. Our services include:
- Name availability check
- Prepare Articles of Incorporation
- File Articles of Incorporation with the Secretary of New Mexico’s office
- Provide sample bylaws, meeting notices and minutes for meetings
- Dedicated account manager
- Unlimited customer support
We understand how overwhelming it can be to handle administrative duties while growing your business. Contact us today to learn more about how we can help.