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July 10, 2023
Dear Chair Parisella and Chair Finegold,
On behalf of the Greater Boston Chamber of Commerce and our 1,200 members, I write to support H.405, An Act reducing filing fees for LLCs, offered by Representative Josh Cutler. Businesses today face many operating cost increases, including inflationary pressures on the goods and services as well as rising labor costs. These pressures impact small businesses in particular, which continue to grapple with lasting impacts from the COVID-19 pandemic. And at a time when the state is exploring ways to make the state more attractive to businesses, proposals to lower the cost to operate an LLC makes it easier for many employers to choose Massachusetts to start and succeed.
H.405 lowers the annual filing fee for Limited Liability Corporations (LLCs) from $500 to $250, resulting in yearly cost savings for businesses across the state. Reducing these fees makes it less costly to run a business and may lead to an increase in entrepreneurship. In 2022, Massachusetts ranked 46 out of 50 states for the number of business applications per capita. Lowering annual filing fees may help to lower the barriers to operating a business here in Massachusetts. H.405 will particularly benefit small businesses that operate on small margins and can least afford high regulatory costs.
This legislation is one of several tools the Legislature can use to lower the cost of starting and maintaining a business in Massachusetts, opening up more opportunities for residents to start their own businesses. We urge the Committee to advance this proposal.
Thank you for your attention and please reach out with any questions.
Sincerely,
James E. Rooney
President and CEO
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