How to Form an LLC in New Hampshire

Introduction

If you’re starting a business and want to take the LLC route, here is how you can form an LLC in New Hampshire:

Choose a business name that is not already in use by another Company.

Once you’ve decided on your LLC’s purpose and tax status, it’s time to start brainstorming business names. The name of your company must be available in New Hampshire because of state regulations.

If the proposed name of a limited liability company is the same as that used by another business entity doing similar or identical business under an assumed name pursuant to RSA 358-A:1, such a proposed name shall not be registered as an assumed name unless each owner thereof files with the Secretary of State prior to filing such application his written consent thereto accompanied by his signature and photograph taken within five years next preceding such filing date.

The Secretary may issue a certificate approving any such assumed name after determining that no other person has used it in this state; provided however, that if any other person has used such assumed name in this state he shall notify all persons who may have rights therein; provided further nothing herein contained shall prevent the use by two or more persons who are partners in partnership with each other or members of limited liability companies having partners; nor shall anything herein contained prohibit several persons from using different parts of one word mark as their individual trade names so long as they do not operate under them simultaneously without full disclosure thereof being made at least annually during regular business hours when observed by customers either directly or indirectly through advertising media available for public consumption at no less than cost (including postage) per page containing information about each partner or member together with telephone number where messages may be left 24 hours per day seven days per week free from charge except Sundays excepting holidays recognized nationally (i.,e., New Years Day).

File articles of organization with the Secretary of State.

Once your LLC has been formed, you must file articles of organization with the Secretary of State within 90 days of the creation of your LLC. The articles must contain:

• The name of the company
• Whether it’s a limited liability company or limited liability partnership. If it’s a partnership, you must also include (i) its business purpose(s) and (ii) a statement that each partner is not acting as an agent for another partner.
• A statement that no prior name has been filed for this entity
• A mailing address for the registered office that’s different from where your business will be located

Draft an operating agreement.

What is an operating agreement?

An operating agreement is a document that outlines the relationship between members of an LLC and specifies how profits and losses are distributed, how disputes are handled, and other important details. Operating agreements are not required in New Hampshire, but they’re highly recommended because they can help avoid misunderstandings later on down the road. They also serve as useful guides when it comes time to make big decisions about your company’s future.

How do I draft one?

You’ll want to consult with your lawyer before creating an operating agreement for your business. However, you can find sample templates online so you have some idea of what one should look like and where to start when putting yours together—just be sure that any sample you use has been updated for current laws in New Hampshire!

Comply with taxes and other regulations.

You must also file annual reports and pay taxes.

• File an annual tax return. If you don’t, the state will fine your LLC $100 for each month you are late or $50 plus interest on any balance due.
• Pay taxes and fees. Your LLC will be responsible for paying tax bills like sales tax, personal property taxes on vehicles or equipment used in the business, and ad valorem property taxes on real estate owned by your company (if it owns any). You may also have to pay franchise fees based on gross receipts generated by your business in New Hampshire

Takeaway:

• Having an operating agreement is essential to the success of your LLC, and it’s the one thing that differentiates you from a sole proprietor.
• If you don’t have an operating agreement, it doesn’t mean you can’t form an LLC. However, it does mean that your LLC will be governed by default rules which may not be in line with how you run your business.
• If you are going to write an operating agreement yourself, make sure that it includes provisions for minority owners should they leave the business or die prior to its termination (e.g., buyout).

Conclusion

In this article, we’ve covered the steps you need to take to form an LLC in New Hampshire. Note that you don’t need a lawyer or any other professional to do this for you—the process is quite straightforward. The main takeaway here is that forming an LLC is not complicated and it does not have to be expensive either (especially if your business is small).