How to Start an LLC in New York (2023)

How to Start an LLC in New York (2023)

Each state has its own processes for forming an LLC. If you want to create an LLC in New York State, you will have to complete some paperwork. The following steps cover the basics.

Step 1: Choose an LLC name

There are certain rules that must be followed when naming your New York LLC. First, the LLC name must be unique from other business names in the state. To make sure the name you’ve chosen is unique, you can make a name availability inquiry. If your dream trade name is available and you want to reserve it, you can submit a request to reserve it (see “Name Reservation Request”). You will have to pay a $20 registration fee. Second, the LLC must be named as such, for example with the words LLC, LLC, or LLC. Finally, the business name cannot contain certain prohibited words. For example, you can only include the word “lawyer” if you are licensed to practice law or the word “doctor” if you are an actual medical professional. The country provides a list of restricted words.

Step 2: Appoint a registered agent

Every New York LLC must designate a person or business entity to serve process, commonly known as a registered agent. In the event of legal action related to the LLC, such as a lawsuit, the legal papers are sent to the registered agent. The agent appointed to serve the operations of the LLC must have a physical address in New York (not a PO box).

Step 3: Submit Articles of Organization

Once you choose your business name, you can file articles of association with the New York Secretary of State. You will have to provide the name of the LLC, county location, person’s name, contact details, and the individual or entity designated to serve the process (registered agent). The filing fee for articles of organization is $200, which can be paid by credit card, money order, check, or cash.

Step 4: Draft the Operating Agreement

An operating agreement is a formal document that defines the rights, obligations, powers and liabilities of the members (owners) of the LLC. Some states require an LLC to draft an operating agreement upon formation, while others do not. In New York, you are legally required to adopt a written operating agreement for your LLC within 90 days of filing the articles of association. Note that this document is intended for internal purposes only; You do not have to submit it to the State Department.

Step 5: Meet New York publishing requirements

New York law requires newly formed LLCs to publish notice of formation in at least two newspapers for six consecutive weeks. The state clerk in the county office where the LLC is located selects the papers. You will have to pay a fee to newspapers to publish the notice; In return, you will receive an affidavit of publication. The LLC must then file these affidavits, along with the Certificate of Publication, with the Department of State, plus a $50 filing fee. Failure to take this step could result in the LLC’s business permits being suspended in the state.

Step 6: Obtain an Employer Identification Number (EIN)

You need an Employer Identification Number (EIN) if your business employs other people, withholds income taxes, or files certain types of taxes, including alcohol, tobacco, excise, employment, or firearms taxes. Certain types of businesses, such as real estate and nonprofits, must have an EIN as well. You can apply for an Employer Identification Number (EIN) for free through the Internal Revenue Service (IRS) website. Applying online is the preferred and fastest method. Alternative application methods include mail, fax and telephone. Note that if you have employees, you must register with the New York State Department of Labor after you obtain an Employer Identification Number (EIN). You can do this online.

    (TagsTranslation)360

You may also like...

Leave a Reply

Your email address will not be published. Required fields are marked *