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October 25, 2023
Dear Chair Cabral and Chair Collins,
On behalf of the Greater Boston Chamber of Commerce and our 1,200 members, I write to support H.3010, An Act reducing certificate of organization fees for limited liability companies, and H.3011, An Act reducing filing fees for single member LLCs, both 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 open and operate an LLC makes it easier for many employers to choose Massachusetts to start and succeed.
H.3010 lowers the initial filing fee for Limited Liability Corporations (LLCs) from $500 to $250, resulting in immediate cost savings for businesses across the state as businesses form. H.3011 lowers annual filing fees for single-member LLCs. Reducing initial or annual fees makes it less costly to open or run a business. Lowering these cost barriers may lead to an increase in entrepreneurship. In 2022, Massachusetts ranked 46 out of 50 states for the number of business applications per capita.1 Lowering preliminary or annual filing fees may help to lower the barriers to operating small businesses here in Massachusetts. These bills will particularly benefit small businesses that operate on small margins and can least afford high regulatory costs.
These measures are just a few 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 these proposals.
Thank you for your attention and please reach out with any questions.
Sincerely,
James E. Rooney
President and CEO
CC: Members of the Joint Committee on State Administration and Regulatory Oversight
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