--- title: "Setting Up a Company in Montana" description: "How to set up a legal entity in Montana, what it costs and takes, and how Teamed's EOR gets you hiring there without one." canonical: https://www.teamed.global/country-hiring-guides/united-states/montana/entity-setup --- ![Montana business district.](/cluster-assets/country-hiring-guides/united-states/montana/entity-setup/images/hero.webp) # How do you set upa company in Montana. Teamed hires your Montana team under its own entity today, so you can skip incorporation and start work in days, not months. Served by Teamed US Inc., Delaware · Payroll via SUNA Solutions Last reviewed 22 September 2026 · Montana guide At a glance ## Montana entity setup, the short version Montana charges a formation fee of $35 to register a business entity with the Secretary of State. Once formed, the entity owes a flat minimum franchise tax of $50 or corporate income tax at 6.75%, whichever the state's rules require. None of that touches you if Teamed employs your Montana team under its existing entity instead. Corporate income tax6.75% Minimum franchise tax$50 Franchise tax basisflat Formation / registration fee$35 Formation ## What it takes to register in Montana Setting up in Montana means filing formation paperwork with the Secretary of State and paying the registration fee of $35. That gets you a registered entity on paper, but it does not get you a functioning employer. You still need a registered agent, corporate bank account, state tax registrations, payroll infrastructure, and a way to run compliant onboarding and benefits from day one. Most founders underestimate the operational tail after formation. The filing itself is fast. Building the systems around it, payroll cadence, tax withholding, workers' comp, benefits administration, is the part that actually determines whether your first Montana hire has a good first month. Tax ## What the entity owes once it exists Montana taxes corporate income at 6.75%. On top of that, the state applies a flat minimum franchise tax of $50, so even a newly formed entity with little activity still owes that baseline. This is a flat basis, not a bracket, which keeps the math simple but means the tax obligation shows up regardless of how small your Montana presence is. These are entity-level obligations. They exist because you have a legal presence in the state, separate from payroll taxes on employees. If you hire through Teamed instead, Teamed's entity carries this tax exposure, not you. Timeline ## How long the two paths actually take Filing the Montana formation paperwork can move quickly once you have your documents ready. The real clock starts after the entity exists: registered agent setup, tax ID registration, opening a bank account, setting up payroll, and getting your first employment contracts compliant with state rules. That stack, not the filing fee, is where weeks disappear. Hiring through Teamed compresses that whole sequence into an onboarding of days. Your new hire signs a compliant contract under Teamed's existing Montana employment setup, payroll runs on schedule, and you never touch the registered agent or franchise tax filings. Before you commit ## Sometimes an employer of record is the better fit An employer of record is sometimes the better answer, not a lesser one, especially for a small or still-changing headcount in Montana or when you're testing the market before committing capital. Talk to a member of the team about your specific plans, or run the numbers yourself in the crossover calculator, since the right call depends on salaries and how long you intend to stay. Contractors, employer of record and your own entity all run on one platform at Teamed, so moving between them later does not mean changing provider or re-onboarding anybody. Real HR and legal experts handle the work rather than a ticket queue. Talk to a member of the team and we will tell you plainly which one suits where you are. If you would rather look at the numbers yourself first, the crossover calculator models it on local salaries and employer costs rather than on a headcount rule of thumb. Talk to a member of the team Model the crossover for the United States Who carries it ## Your own entity, when it's time. We set it up, migrate you in, and hand it back intact. Global Entity and Employment Operations, which we call GEMO, is how Teamed forms your company, registers it for tax and payroll, runs it month to month and keeps its filings current, across 100+ countries. You stay the employer. We do the work behind it. For Montana specifically, that means Teamed handles the formation filing, the registered agent, the franchise tax and corporate income tax filings, and the payroll build-out, then hands you a clean, fully operational entity when your headcount justifies owning it directly. You keep the option open without carrying the administrative load until you actually need it. Entity Management (GEMO) The Graduation Model Employer cost calculator > They set up our EU entity and moved hires across without missing a payroll. *Helene Dubois, COO* Talk to an expert about Montana Questions ## Montana entity setup, answered What does it cost to register a business entity in Montana? The Montana Secretary of State charges a formation and registration fee of $35. That covers filing only, not the ongoing tax and compliance obligations that follow once the entity exists. Does Montana have a minimum tax even if the entity has no income? Yes. Montana applies a flat minimum franchise tax of $50 regardless of income level, so even a dormant or barely active entity owes this amount. What is Montana's corporate income tax rate? Montana taxes corporate income at 6.75%. This applies once income is generated, alongside the flat minimum franchise tax that acts as a floor. Can I hire someone in Montana without setting up an entity there? Yes, through an employer of record like Teamed, which already has an entity in Montana and employs your worker on your behalf. You skip the formation fee, the franchise tax filings, and the payroll build-out entirely. When does it make sense to set up my own Montana entity instead of using an EOR? It depends on your headcount, salary levels, and how long you plan to stay in the state, which is exactly what the crossover calculator is built to work through. Talk to a member of the team if you want a direct read on your situation. Where these figures come from ## Sources Figures on this page come from the Montana Code Annotated and the Montana Secretary of State. ## More on entities in Montana - [Hiring in Montana, overview](/country-hiring-guides/united-states/montana)parent - [Montana running costs](/country-hiring-guides/united-states/montana/entity-running-costs-and-filings)sibling - [Montana tax presence](/country-hiring-guides/united-states/montana/permanent-establishment-risk)sibling - [Montana entity or eor](/country-hiring-guides/united-states/montana/eor-vs-entity)sibling - [Montana moving from an eor](/country-hiring-guides/united-states/montana/moving-from-eor-to-your-own-entity)sibling - [Set up an entity, by country](/entity-setup-by-country)hub - [Entity Management (GEMO)](/entity-management)core - [Talk to an expert about Montana](https://www.teamed.global/contact?from=entity-setup)CTA