Is it cheaper to form an LLC in Maine or Washington?

Maine is cheaper at formation ($175) than Washington ($180). Ongoing costs are also different: $185 vs $170 per year. Total over three years: $730 vs $690.

Can I form an LLC in Maine if I live in Washington?

Yes, but your Washington business will almost certainly need to register as a foreign LLC in Washington too, which means paying Washington's foreign registration fee and any ongoing Washington obligations on top of the Maine ones. The "form elsewhere to save" math usually doesn't work for operating businesses; it only works when you have no physical operations tied to any specific state.

How long does it take to form an LLC in Maine vs Washington?

Maine online turnaround varies; Washington online: 5 business days. Maine offers paid expedite from $50. Washington offers paid expedite from $100.

Which state has lower taxes for an LLC, Maine or Washington?

Maine: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax. Washington: no state income tax, no entity-level franchise or LLC tax.

Do both states require a registered agent?

Yes. Every US state (and DC) requires every LLC to maintain a registered agent with a physical street address in the state. Maine and Washington both have this requirement. You can serve as your own agent if you live in the state; most out-of-state filers use a commercial agent for $50 to $125 per year.

Do I need a written operating agreement in Maine or Washington?

Maine requires LLCs to adopt a written operating agreement by statute. Washington treats it as strongly recommended rather than required. In practice, any LLC with more than one member, or any LLC planning to preserve its liability shield, should have a written agreement regardless of which state it's formed in.

Which state should I pick if I run an online business from home?

Form in the state you actually live in. Your home state's Department of Revenue treats your residence as nexus regardless of where the LLC is filed, which means you owe state income tax there anyway. Forming in Maine or Washington to escape your home state's tax doesn't work; it adds paperwork. The non-resident filings make sense when you genuinely operate nowhere in particular: international founders, purely passive holding entities, or real-estate LLCs owning property in other states.

Maine vs Washington LLC comparison

Maine charges $175 to form an LLC; Washington charges $180. Day-one sticker price is only part of the story, since most of the real cost comes from the annual obligations that stack up each year you keep the LLC open.

Over a rolling three-year window, Washington runs about $40 less in total state fees than Maine. Whether that gap matters depends on whether you actually operate in one of these states or are weighing a non-resident filing.

On speed, Washington typically clears standard online filings faster than Maine. Both states offer expedited tiers at an additional cost for filers on tight timelines.

For most small operators the choice is not really between these two states at all. It is between forming where the business actually operates and trying to route through a non-resident filing. The data below shows what each option actually costs.

Formation filing fee

Maine $175

Washington $180

Maine saves $5

Year 1 total estimate

Maine $360

Washington $350

Washington saves $10

Ongoing per year

Maine $185

Washington $170

Washington saves $15

3-year total

Maine $730

Washington $690

Washington saves $40

Key differences at a glance

Maine costs $5 less to form ($175 vs $180).
Washington is $15 per year cheaper to maintain ($170 vs $185).
Washington has no state individual income tax; pass-through LLC income flows to members without a state layer. The other state does tax at the member level.
Maine requires LLCs to adopt a written operating agreement by statute. The other state treats it as recommended rather than required.

Where each state fits

For most filers, forming in the state you actually operate from is the right call. The side-by-side below shows where the two states meaningfully diverge.

What each state offers that the other does not

Only Washington

Online filing
No state income tax
Operating agreement not statutorily required

Both states

Paid expedited tier
No entity-level franchise or LLC tax
No publication requirement

Three-year cost, side by side

Rough estimate of the state-facing cost to form and keep an LLC through three years. Both totals include a $100 per year registered-agent estimate.

Maine Washington

Year 1

$360

$350

Year 2

$545

$520

Year 3

$730

$690

Running total includes the one-time filing fee and annual ongoing costs (report fee or franchise tax plus a $100/year registered agent estimate).

What it costs under your specific situation

The table below runs the same LLC through four common scenarios. "Non-resident" rows assume a typical home-state foreign LLC registration adds about $200 per year of stacked cost; the real number depends on which state you live in and ranges from $50 to over $800 depending on jurisdiction.

Scenario	Year 1	Each year after	3-year total
You live in Maine, business operates there No foreign LLC registration needed. You pay Maine fees only.	$360	$185	$730
You live in Washington, business operates there No foreign LLC registration needed. You pay Washington fees only.	$350	$170	$690
Non-resident forming in Maine with operations elsewhere You pay Maine's fees plus a typical home-state foreign LLC registration of about $200 per year.	$560	$385	$1,330
Non-resident forming in Washington with operations elsewhere You pay Washington's fees plus a typical home-state foreign LLC registration of about $200 per year.	$550	$370	$1,290

Maine vs Washington: full comparison

Dimension	Maine	Washington
Online filing Can you file the formation document online?	No	Yes
Online approval time Standard, non-expedited	Varies	5 business days
Expedited option Paid fast-track filing	$50	$100
Annual report Required in addition to tax	Required, $85	Required, $70
State-imposed annual tax Franchise, privilege, or LLC tax minimum	None	None
State income tax On pass-through LLC income at member level	Yes	No
Publication requirement Newspaper publication after formation	No	No
Operating agreement Required by state statute	Required by statute	Recommended, not required
Foreign LLC fee Cost to register as a foreign LLC in this state	$250	$180
State sales tax General statewide rate	5.5%	6.5%

Taxes in Maine and Washington

How each state handles entity-level tax on LLCs. Pass-through classification means member-level income tax also applies at each member's residence state.

Maine tax

No entity-level franchise tax on LLCs. State income tax applies to member-level pass-through income. Corporate rate 8.9%.

Washington tax

No entity-level franchise tax on LLCs. No state income tax.

Ongoing compliance

The recurring filings each state requires after formation.

Maine

Annual report $85, due 06/01 each year. Registered agent required in Maine.

Washington

Annual report $70, due on your anniversary month. Registered agent required in Washington.

Formation process, side by side

What actually happens from the moment you start filing to the moment you're in good standing. Use this as a checklist.

Maine

Check business-name availability on the Maine entity search.
Appoint a registered agent with a physical Maine street address.
File Certificate of Formation (Form MLLC-6) for $175.
Wait for approval. Paper-only processing. Paid expedite from $50.
Adopt a written operating agreement (statutorily required in Maine).
Apply for a federal EIN (free from the IRS).
Open a business bank account to separate personal and business finances.
File your first annual report and pay $85 when it comes due.

Washington

Check business-name availability on the Washington entity search.
Appoint a registered agent with a physical Washington street address.
File Certificate of Formation - Limited Liability Company for $180.
Wait for approval. Online typically 5 business days. Paid expedite from $100.
Adopt an operating agreement (recommended, not required by Washington statute).
Apply for a federal EIN (free from the IRS).
Open a business bank account to separate personal and business finances.
File your first annual report and pay $70 when it comes due.

Before you pick either state

A few things that apply no matter which state you choose. These trip up enough first-time filers that they're worth stating explicitly.

Registered agent is non-negotiable. Both Maine and Washington (and every other US state) require every LLC to designate a registered agent with a physical street address in the state of formation. You can serve as your own agent if you live in the state; otherwise a commercial agent runs $50 to $125 per year. Using your own home address makes it part of the public record.

Forming elsewhere does not escape your home state's tax. If you live and operate a business from your home state, forming the LLC in Maine or Washington does not avoid your home state's income tax. The moment you transact business at home, your home state requires a foreign LLC registration, and state tax liability follows your residence regardless of where the entity sits on paper.

EIN applications are free. The IRS issues Employer Identification Numbers directly at no cost. Any service charging you to "get your EIN" is reselling a free form submission. Single-member LLCs with no employees technically don't need one for federal tax, but nearly every bank requires an EIN to open a business account.

Operating agreement matters more than the state you pick. A well-drafted operating agreement governs member ownership, management, profit splits, buy-sell terms, and dissolution. Without one, your LLC runs on the state's default rules, which are rarely what you want. California, Maine, Missouri, and New York require a written one by statute; every other state treats it as strongly recommended.

Agency contacts

Maine Secretary of State, Bureau of Corporations, Elections and Commissions, Division of Corporations

Website: www.maine.gov/sos/corporations-commissions
Phone: (207) 624-7752
Email: CEC.Corporations@maine.gov
Mail: Division of Corporations, 101 State House Station, Augusta, ME 04333-0101
Office: Burton M. Cross Building, 111 Sewall Street, 4th Floor, Augusta, ME 04330
Hours: Office hours 8:00 AM to 5:00 PM Eastern, Monday to Friday. Customer service telephone hours 10:00 AM to 5:00 PM.

Washington Secretary of State - Corporations & Charities Division

Website: www.sos.wa.gov/corporations-charities
Phone: (360) 725-0377
Email: corps@sos.wa.gov
Mail: Corporations & Charities Division, P.O. Box 40234, Olympia, WA 98504-0234
Office: 801 Capitol Way S, Olympia, WA 98501-1226
Hours: 8:00 AM to 5:00 PM Pacific, Monday to Friday

Maine Revenue Services

Website: www.maine.gov/revenue
Phone: (207) 624-9595
Mail: Maine Revenue Services, P.O. Box 1060, Augusta, ME 04332-1060
Office: 51 Commerce Drive, Augusta, ME 04330
Hours: 8:00 AM to 5:00 PM Eastern, Monday to Friday

Washington State Department of Revenue

Website: dor.wa.gov
Phone: (360) 705-6705
Mail: Washington State Department of Revenue, P.O. Box 47450, Olympia, WA 98504-7450
Office: 6500 Linderson Way SW, Tumwater, WA 98501
Hours: 8:00 AM to 5:00 PM Pacific, Monday to Friday

Frequently Asked Questions

Is it cheaper to form an LLC in Maine or Washington?

Maine is cheaper at formation ($175) than Washington ($180). Ongoing costs are also different: $185 vs $170 per year. Total over three years: $730 vs $690.
Can I form an LLC in Maine if I live in Washington?

Yes, but your Washington business will almost certainly need to register as a foreign LLC in Washington too, which means paying Washington's foreign registration fee and any ongoing Washington obligations on top of the Maine ones. The "form elsewhere to save" math usually doesn't work for operating businesses; it only works when you have no physical operations tied to any specific state.
How long does it take to form an LLC in Maine vs Washington?

Maine online turnaround varies; Washington online: 5 business days. Maine offers paid expedite from $50. Washington offers paid expedite from $100.
Which state has lower taxes for an LLC, Maine or Washington?

Maine: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax. Washington: no state income tax, no entity-level franchise or LLC tax.
Do both states require a registered agent?

Yes. Every US state (and DC) requires every LLC to maintain a registered agent with a physical street address in the state. Maine and Washington both have this requirement. You can serve as your own agent if you live in the state; most out-of-state filers use a commercial agent for $50 to $125 per year.
Do I need a written operating agreement in Maine or Washington?

Maine requires LLCs to adopt a written operating agreement by statute. Washington treats it as strongly recommended rather than required. In practice, any LLC with more than one member, or any LLC planning to preserve its liability shield, should have a written agreement regardless of which state it's formed in.
Which state should I pick if I run an online business from home?

Form in the state you actually live in. Your home state's Department of Revenue treats your residence as nexus regardless of where the LLC is filed, which means you owe state income tax there anyway. Forming in Maine or Washington to escape your home state's tax doesn't work; it adds paperwork. The non-resident filings make sense when you genuinely operate nowhere in particular: international founders, purely passive holding entities, or real-estate LLCs owning property in other states.

Full state guides

MaineOpen Maine LLC guide →
WashingtonOpen Washington LLC guide →

More Maine and Washington comparisons

More Maine vs ...

More Washington vs ...

Sources

Filing fee: www.maine.gov/sos/corporations-commissions/i-need-a-business-form/limi… · verified April 21, 2026
Maine Secretary of State LLC Forms page: Certificate of Formation (Form MLLC-6) filing fee is $175. Current processing time published as 35 to 40 business days for routine filings. Maine does not offer online formation filing; Form MLLC-6 is mail-in only.
Expedited filing: www.maine.gov/sos/sites/maine.gov.sos/files/content/assets/250c200-4.d… · verified April 21, 2026
Chapter 200 Rules for the Use of Expedited Service in Corporations: 24-hour service fee $50.00, immediate (same-day) service fee $100.00. Each request must be accompanied by the appropriate expedite fee in addition to the regular filing fee. Availability is subject to staffing. The 24-hour $50 tier is reported as the default expedited option.
Certificate of Formation form: www.maine.gov/sos/corporations-commissions/i-need-a-business-form/limi… · verified April 21, 2026
Form MLLC-6 Certificate of Formation is the fillable PDF Maine uses to form a domestic LLC under Title 31 Chapter 21 (Maine Limited Liability Company Act). Hosted under the SoS inline-files directory.
Business name search: apps3.web.maine.gov/nei-sos-icrs/ICRS?MainPage=x · verified April 21, 2026
Maine Interactive Corporate Services (ICRS) entity name search. Redirected from legacy icrs.informe.org URL. Use to confirm name availability before filing.
Naming rules: legislature.maine.gov/legis/statutes/31/title31sec1508.html · verified April 21, 2026
31 M.R.S.A. §1508 governs LLC naming requirements, including the required designator ('limited liability company,' 'LLC,' 'L.L.C.,' or similar) and distinguishability from other entities on the Secretary of State's records.
Operating agreement requirement: legislature.maine.gov/legis/statutes/31/title31sec1531.html · verified April 21, 2026
31 M.R.S.A. §1531(1)(B) provides that to form an LLC 'a limited liability company agreement must be entered into or otherwise existing.' The agreement may be entered before, after, or at the time of filing the certificate, and may be written, oral, or implied under §1521, but the Maine Limited Liability Company Act requires that one exist. Maine is therefore classified as an operating-agreement-required state alongside California, Delaware, Missouri, and New York.
Publication requirement: legislature.maine.gov/legis/statutes/31/title31ch21sec0.html · verified April 21, 2026
Title 31 Chapter 21 (Maine Limited Liability Company Act) contains no newspaper publication requirement for LLC formation. Not required.
Foreign LLC registration fee: www.maine.gov/sos/corporations-commissions/i-need-a-business-form/limi… · verified April 21, 2026
Form MLLC-12 Statement of Foreign Qualification to Conduct Activities: filing fee $250 for foreign LLCs registering to do business in Maine.
Annual report fee: www.maine.gov/sos/corporations-commissions/filing-an-annual-report · verified April 21, 2026
Maine Secretary of State Filing an Annual Report page: annual report is required each year to maintain good standing; legal filing deadline is June 1. Annual report fee is $85 for domestic LLCs (Form MLLC-13) and $150 for foreign LLCs, per the LLC forms fee schedule. Online filing through Annual Reports Online is available; paper filings also accepted.
Corporate income tax rate: www.maine.gov/revenue/taxes/income-estate-tax/corporate-income-tax-112… · verified April 21, 2026
Maine Revenue Services Corporate Income Tax (1120ME): graduated corporate income tax from 3.5% on income up to $350,000 to 8.93% on income in excess of $3,500,000. Reported as 8.93% top marginal rate. Does not apply to LLCs taxed as pass-through entities; applies to LLCs electing C-corp treatment.
Sales tax rate: www.maine.gov/revenue/taxes/sales-use-service-provider-tax/rates-due-d… · verified April 21, 2026
Maine Revenue Services Sales and Use Tax Rates: general sales tax rate is 5.5%. Higher rates apply to specific categories (prepared food 8%, rentals of lodging 9%, short-term auto rental 10%, adult-use marijuana 10%). Service Provider Tax on enumerated services is 6%.
Franchise tax: www.maine.gov/revenue/taxes/income-estate-tax/franchise-tax-1120b-me · verified April 21, 2026
Maine Revenue Services Franchise Tax (1120B-ME): the Maine franchise tax is imposed only on banks and other financial institutions. No general franchise or capital-stock tax on ordinary LLCs. Recorded as applies: false.
Filing fee: www.sos.wa.gov/corporations-charities/frequently-asked-questions-faqs/… · verified April 21, 2026
WA SoS Corporations & Charities Division Fee Schedule. Under 'Limited Liability Companies (RCW 25.15)': Original Filings = $180. Same $180 fee applies whether filed online through CCFS or by mail. Washington does not charge an online-vs-mail differential for the Certificate of Formation itself.
Expedited filing: www.sos.wa.gov/corporations-charities/frequently-asked-questions-faqs/… · verified April 21, 2026
Expedited service = $100 per business entity, generally processed within three working days. Same-day service = $150 per business entity (front-counter submission only). Mail-in expedited requests must include $100 and label envelope 'EXPEDITE'. We record the $100 three-business-day (approx 72-hour) tier.
Foreign LLC registration fee: www.sos.wa.gov/corporations-charities/business-entities/limited-liabil… · verified April 21, 2026
Foreign Registration for a non-WA LLC = $180 filing fee, matching the domestic Certificate of Formation fee.
Operating agreement requirement: app.leg.wa.gov/rcw/default.aspx?cite=25.15.018 · verified April 21, 2026
RCW 25.15.018 (Washington Limited Liability Company Act) recognizes an LLC agreement that may be oral, written, or implied. There is no statutory requirement that LLCs adopt an operating agreement, so this is recorded as not required. If none is adopted, the default provisions of RCW 25.15 govern.
Publication requirement: app.leg.wa.gov/rcw/default.aspx?cite=25.15 · verified April 21, 2026
Washington imposes no publication requirement on LLCs. RCW Chapter 25.15 contains no publication mandate.
Annual report fee: www.sos.wa.gov/corporations-charities/frequently-asked-questions-faqs/… · verified April 21, 2026
Annual Report fee for profit business entity types (including LLCs) is $70, increased per WAC 434-112-085(7) and codified in RCW 23.95.515. Annual Report with delinquency fee = $95. Initial or Amended Annual Report = $10.
Franchise tax: dor.wa.gov/taxes-rates/business-occupation-tax · verified April 21, 2026
Washington has no franchise tax on LLCs. Washington's Business & Occupation (B&O) tax is a gross-receipts tax, not a franchise tax. B&O rates in 2026: retailing 0.471%, wholesaling 0.484%, manufacturing 0.484%, service & other activities 1.5% (less than $1M in prior-year taxable income), 1.75% ($1M-$5M), 2.1% (over $5M effective Oct 1, 2025). Additional 0.5% surcharge on WA taxable income over $250M from Jan 1, 2026. Because the B&O is structurally a gross-receipts tax on business activity rather than a capital-based franchise tax, franchiseTax.applies is set to false.
Corporate income tax rate: dor.wa.gov/taxes-rates/business-occupation-tax · verified April 21, 2026
Washington has no corporate income tax; maxCorporateRate is recorded as null. The state's business tax is the B&O gross-receipts tax (captured in franchiseTax.notes). Washington also has no state personal income tax, only a 7% long-term capital gains excise tax for individuals above the threshold.
Sales tax rate: dor.wa.gov/taxes-rates/sales-use-tax-rates · verified April 21, 2026
Washington's statewide sales and use tax rate is 6.5%. Cities and counties add local sales taxes, bringing combined rates to roughly 7% to 10.6% depending on jurisdiction. Only the 6.5% statewide rate is recorded here.
Business name search: ccfs.sos.wa.gov/#/AdvancedSearch · verified April 21, 2026
Corporations and Charities Filing System (CCFS) advanced search. Same platform used for online filings.
Online filing portal: ccfs.sos.wa.gov/ · verified April 21, 2026
Washington's Corporations and Charities Filing System (CCFS) portal. Standard online approvals typically complete within 5 business days. Filers can bundle the free Initial Report with the Certificate of Formation to satisfy the 120-day initial report requirement at no extra cost.
Certificate of Formation name: www.sos.wa.gov/sites/default/files/2022-09/12.10.2020---certificate-of… · verified April 21, 2026
Mail-in paper form titled 'Certificate of Formation - Limited Liability Company'. Online filers use the equivalent CCFS on-screen form.

Legal Disclaimer: FreeNetLaw provides general legal information, not legal advice. The information on this site is not a substitute for consultation with a licensed attorney. Laws vary by jurisdiction and change frequently. Always verify information with official sources and consult a qualified attorney for advice about your specific situation.