Thursday, March 28, 2024

How To Set Up A Business In New York

Does New York Require A Business License

NYS LLC | How to start an LLC in New York State (3 methods)

Not every type of business requires a business license. Most companies selling goods and others selling some services will require a Certificate of Authority, which is a sales tax certificate used to collect and pay applicable sales taxes.

Some businesses providing professional services must obtain a professional license. New Yorks Office of the Professions offers a list of licensed professionals . Licensed professions are on the NY.gov site.

Vendors who dont have a retail location may be required to obtain a General Vendor license. Businesses that sell alcohol are required to get a liquor license.

Visit the New York Business Express Business Wizard site and fill out the application to determine which licenses and permits you need for your business. If you are opening a business in New York City, use the NYC Business site to determine your permitting and licensing needs.

Plan Your New York Business

Successful businesses are built through careful planning. Before committing a significant amount of money and other resources toward your business in New York, critically analyze your idea, and create a game plan. At a minimum, you should complete the following:

Name Your Business

What will you name your business? When naming a business, you’ll want to choose an available name that follows New Yorks naming rules for an LLC or corporation and resonates with your customers. Use our Business Name Generator to find the perfect brand name and website.

Before you reserve your business name, make sure your domain is available.

Find a Domain Now

Once you register a domain name, we recommend choosing a business phone system to enhance your customer service. Phone.com provides a high-quality phone service that integrates with all devices. Try Phone.com.

Find a Business Location

Do you know where your business will be located? Whether youre opening a brick-and-mortar establishment or starting a business from home your business location informs the type of licensing and permits youll need as well as your businesss growth potential. Doing your research on New Yorks popular areas such as Queens or Brooklyn can help increase foot traffic and drive customer interest.

Conduct Market Research

Write a Business Plan

Have you written a business plan? Our Business Plan Generator makes writing your business plan easier than ever just add your businesss information and youre done!

Develop Business Identity And Advertise

By this step, you have registered and organized your company for success. Now its time to create a logo, set up a website, and market your business. We can help you with your . For more information, check out our Sales and Marketing guide.

Order a custom Domain Name, Email, and Website package with MyCompanyWorks

Recommended Reading: How To File A Will In New York State

Get Inspired With List Of Business Names

To help inspire you I have written lists of catchy business names for lots of types of companies and different industries. Check out these unique business name ideas that are not taken and available!

To check to see if your business name is available in New York, you should first do a business name search, a domain name search, and a federal trademark search. Heres how

Hold The First Meeting Of The Board Of Directors

Rooftop Brunch New York

The first meeting of the board of directors is an important time in the life cycle of a corporation. During this meeting, the initial directors of the business will adopt the corporate bylaws, set the fiscal year, and appoint corporate officers. It is also common to authorize the issuance of shares of stock to the founders of your company, usually in exchange for assets.

This meeting, and all future meetings of the board of directors, must be recorded in corporate minutes. Minutes are documents that detail what was discussed and any decisions the business makes during meetings. They are stored with the corporate records.

Corporate minutes are required for all New York corporations by law. Falling behind on keeping and maintain minutes can jeopardize the corporation’s liability protection and overall tax advantages. It is important to maintain updated corporate minutes and keep copies of all the signed and approved minutes or actions by unanimous consent from any special or annual meetings of the corporation’s shareholders and directors.

Read Also: Where To Visit In New York State

To Start A Business In New York Follow These Steps

Are you ready to start your own business?

Creating a New York business of your own can be challenging. You will need adequate funding, time, personal support, and professional support in order to move forward successfully with your entrepreneurial dreams.

To see if you’re prepared to take the leap, check out our Entrepreneurship Quiz.

Skip Ahead To:

  • Promote & Market Your Business
  • Open A Bank Account And Prepare For Future Taxes

    A business bank account helps you to track and show your business finances separate from your personal finances. It is essential for all types of business entities, even sole proprietors, as it makes business taxes much easier on you .

    Next, consider opening a business credit card. Not only does a business credit card give you a way to separate your business and personal spending, but it also provides you with additional capital, should you need it.

    Finally, register with the IRS and obtain your Employer Identification Number . Your EIN is essentially a social security number for your business and will be used to file your state and federal tax returns each year. Contact the New York Department of Taxation and Finance to learn more about handling sales tax, federal tax, state tax, or other business taxes.

    Read Also: How To Become A New York Stock Exchange Trader

    Correct Any Filing Errors

    Even if you double-check your information before filing, it is still possible to make mistakes. If you note an error or more after your LLC paperwork is processed, you must correct it as quickly as possible. Submit a Certificate of Correction and the associated $60 filing fee to the New York State Department of State, Division of Corporations, One Commerce Plaza, 99 Washington Avenue, Albany, NY 12231.

    Start A Business In New York

    Create Your NY LLC in 8 Simple Steps

    Helpful Tools

    Welcome to Our Community

    We’re committed to publishing free informational resources such as this how-to guide. Our resources have been shared by important industry organizations including:

    This guide on starting your business in New York provides step-by-step instructions on the paperwork to file formation documents, obtain tax IDs, and set up company records.

    You May Like: Fun Places To Go In Brooklyn

    Think About The Type Of Business You Want To Start

    If you know that youâre ready to pursue your business idea, then itâs time to decide exactly what your business will look like. What type of business do you want to have? Will it be online, or do you want to open a storefront? Who is your target market, and what do you plan to sell? The more questions you can answer about your business, the more confident you will feel moving forward.

    Next, research your competitors. What similar businesses already exist in your area? What are their strengths and weaknesses, and what can you learn from them? Let your findings help you develop your initial business idea, and keep your eye on your competitors throughout the life of your business.

    How Do I Register For A Trademark In New York

    So you want to register a trademark in New York. To do that, file an Application to Register a Trademark and pay a $50 filing fee. The application should include three examples of how the mark is actually being used. You must register a trademark before your business is using it.

    Once approved, the trademark is good for 10 years in the state of New York. After that, youll need to renew it. Finally, you should know registering a trademark in New York does nothing to protect your trademark on a national level.

    Recommended Reading: Is Chelsea A Good Place To Stay In New York

    Apply For New York Permits And Business Licenses

    Most businesses arent required to register with the US government. However, the state of New York requires all companies to be licensed to operate. You may also need to apply for permits related to your industry. You can check local and state business authority websites for more information.

    Order a complete business license package from our partners.

    Open A Business Bank Account

    iHeartMedia

    Keeping your business and personal finances in separate bank and credit card accounts makes it easier to track the businesss income and expenses. Every bank is different, but in general, they will request:

    Sole proprietorship & partnership Trade Name Certificate, EIN or SSN and owner drivers licenseCorporation Certificate of Incorporation, bylaws, Certificate of Good Standing, EIN, and owner drivers licenseLLC Articles of Organization, Operating Agreement, Certificate of Good Standing, EIN and owner drivers license

    Read Also: Manhattan Medium Contrast Trim Leather Satchel

    How Online Sports Betting Took America By Storm

    • Bare-Knuckled Lobbying: The gambling industry and its allies showered lawmakers with donations, gifts and dubious arguments. The results have been stunning.
    • A Degenerate Gambler: The influencer David Portnoy is known for his misogynistic and racist behavior. A deal with a casino company turned him into the industrys newest spokesman.
    • Promoting Gambling on Campus: Universities are negotiating lucrative deals with betting companies, agreeing to introduce their students and sports fans to online gambling.
    • A Patchwork of Regulations: Government oversight of sports betting offers scant consumer protections and relies on the industry to police itself. That poses risks for public health.

    Why Start Your Business In New York

    New York is home to more than 1.5 million small businesses employing nearly 4 million people across the state. Small businesses in New York employ over half of the state’s workforce, making startups and small businesses central to the state’s economic health. With its diverse and well-educated population, New York offers small business owners a huge pool of skilled talent to tap into to help your business succeed.

    Recommended Reading: Bklyn House Hotel New York Brooklyn

    Settle On A Structure

    To register your business, youll need to know its structure for legal and licensing reasons. Choose a type of entity and structure using the states business wizard, which guides you through the selection process by asking questions.

    Its important to note that New York regulates the names of businesses by type. For example, a limited liability company isnt allowed to have words like school, trust, or corporation – and dozens of others – in its name. See a complete list of restricted words here.

    Register Your Business In New York State

    How to Start an LLC in New York

    You can register most business types online, aside from registering a sole proprietorship.

    Apply to become a Limited Partnership by filing a Certificate of Limited Partnership.

    To register a sole proprietorship in New York, you need to purchase an assumed name certificate or DBA from a legal stationery store. The fee for filing the assumed name certificate is $25.00, except for the five counties of New York City. These counties cost $100.00.

    Apply to become a Limited Liability Partnership by filing a Certificate of Registration.

    To register as an LLC you must file articles of organization with the New York Department of State.

    To register as a Corporation you will need to file a Certificate of Incorporation.

    To form an S Corporation, a C Corporation must file Form 2553 with the IRS.

    Read Also: How To Open A Group Home In New York

    Try The New York City Business Wizard

    The New York City Business Wizard takes you through the process of determining what licenses you will need to run your business, step by step in a user friendly way. You will choose a sector for your business, and choose whether you are starting a new business or running a current one. The questions you will be asked include the nature of your business, what you are going to sell, whether you are working with live animals, alcohol, or many other options.

    What Other Legal Classifications Are There For My Business

    There are a number of different kinds of legal classifications your company can use to protect itself from liabilities. For example, filing a corporation can be useful if you want your company to be partially owned by outside shareholders. This is a preferable arrangement for many business owners. For more details, check out our comparison of LLCs and corporations.

    Also Check: Can You Read New York Times On Kindle

    Decide On A Legal Structure

    The most common legal structures for a small business are:

    • sole proprietorship
    • limited liability company , and

    There also are special versions of some of these structures, such as limited partnerships and S corporations. You’ll want to consider which business entity structure offers the type of liability protection you want and the best tax, financing, and financial benefits for you and your business. Read our article for information on how to choose the best ownership structure for your business.

    Documents For A New York State Business License

    The Parlour @ InterContinental New York Barclay Restaurant

    Before applying for a New York state business license, gather the appropriate documents. Gathering the necessary documents beforehand will ensure that you receive all of the permits and licenses that you need to operate your business legally.

    Other documents that you might need when applying for your license include:

    • Your tax ID number
    • Any licenses required to operate machinery, vehicles, or other items.

    You can begin the license application process once you have gathered these items.

    Recommended Reading: Bed Stuy Fish Fry Brooklyn

    Pick Your Business Location In New York

    Choosing the right location for your firm is one of the most important decisions you will make at the onset of your business launch.

    Take your time and do your homework of research and planning, before committing to a lease on retail, restaurant, or office space. Study the demographics of the area and surrounding towns, your competition nearby, and much more. Here are the questions you need to ask before signing a lease:

    7 Questions to Determine if Location is Good for your Business

  • Image Does this spot project the brand image you desire?
  • Competition Are neighboring businesses competition or complementary?
  • Labor Will you be able to find employees easily, or is it too far to commute?
  • Growth Is there room for future expansions?
  • Vendors Are vendors able to deliver here efficiently and at a reasonable cost?
  • Security What is the crime rate?
  • Zoning Is this location zoned for your type of business activity?
  • Helpful resources:

    Can I Reserve A Business Name In New York

    Yes. If you have a business name in mind but arent quite ready to form your business, you can reserve it for 60 days by filing an Application for Reservation of Name. Youll then receive a Certificate of Reservation that youll need to attach to your formation documents once youre ready to start your business.

    Read Also: Hospitals In The Bronx Ny

    Get Insurance For Your New York Business

    The next step is to protect your startup in New York by getting business insurance. Depending on the type of business youre operating, your insurance requirements and needs may vary. So, what is business insurance exactly? Business insurance protects your businesss assets from losses that can happen naturally while doing business, such as property damage or lawsuits. Here are the types of business insurance to consider:

    To learn more about the exact type of business insurance your startup will need, visit this guide on small business insurance in New York or chat with our friends at Commercial Insurance.

    Find out the real cost of getting insurance for your business. Get a free quote or call 855-965-3168.

    Start Business Insurance Policies

    How to Start a Corporation in New York

    You may not need all types of business insurance, but most companies do need the following types of policies.

    • Commercial Property
    • Workers Compensation

    Insurance rates are driven by your industry, age of the business, and other related factors. Some policies arent required, but offer excellent protection for just a few hundred dollars a year.

    Contact our Recommended Insurance Providers for free quotes and affordable business policies.

    You May Like: What Planting Zone Is New York

    Filling Your New York Llc Documents

    When you wish to move forward with submitting your formation documents, you will file the articles of organization. Out-of-state LLCs that want to register to do business in New York submit an Application for Authority. Foreign LLC registration costs $250 while domestic LLCs get charged $200.

    Foreign entities wishing to do business in New York must remember to include a Certificate of Existence or Good Standing with their application. Be sure the date of the certificate is no more than a year older than your application.

    You can apply to form an LLC in New York by mail or online. Mail applications may face a long wait, but you can expedite them for a fee. Meanwhile, digital applications are processed immediately, with practically no delay.

    Can An Llc Be Just One Person

    Yes! A one-person LLC is called a single-member LLC. Single-member LLCs are one of the most common kinds of businesses in the country. For the most part, single-member LLCs are just like multi-member LLCs, but there are some slight differences in how they file taxes and protect personal assets.

    Read all about Single-Member LLCs.

    Read Also: How Much Does A Plane Ticket Cost To New York

    Popular Articles
    Related news