Creating an LLC in New York
Creating a limited liability company (LLC) is a popular way to legally structure and protect a small business2 min read
Creating a limited liability company (LLC) is a popular way to legally structure and protect a small business. It is relatively simple to establish an LLC in New York, but you must follow specific regulations to ensure compliance. Going through the process of operating an LLC can be a complex task, so seeking guidance from qualified legal professionals can make the process go much smoother. In this article, we outline how to create your LLC in New York, as well as helpful tips to ensure that your business is in compliance with state and local laws.
Creating an LLC in New York requires taking a few simple steps. First, you'll need to decide on your company's name. This should include the words "Limited Liability Company" or their abbreviations, "LLC" or “L.L.C.” It's important to note that you can't use a name that's already in use by another business, and certain words and phrases may not be acceptable under New York law. After deciding on your company name, you'll need to register it with the Secretary of State. This is done by filing a Certificate of Formation (also known as Articles of Organization). This document will include the name of your LLC, as well as your business's registered agent and other pertinent information. You must also pay a filing fee.
Another important step when creating an LLC in New York is drafting an operating agreement. This is the contract between the LLC members that determines the role of each member and sets forth the rules that govern the LLC. Generally, the operating agreement should include information such as rights to profits and losses, voting rights, and duties of the members. It should also outline how to handle significant decisions or changes to the LLC. It's important to note that while an operating agreement is not usually required for an LLC, it is recommended in order to protect the members of the LLC in the event of a dispute.
Once your LLC is formed, you will need to obtain a New York State Tax Identification Number and register with the Department of Taxation and Finance. You may also need to register with the New York Department of Labor to obtain a Special Temporary Authorization number. Depending on the type of goods or services you'll be selling, you may also need a sales tax permit from the Department of Taxation and Finance. It's also important to research any other licenses or permits that you will need, such as a zoning permit or other special local permits.
The process of creating an LLC in New York can be complicated, and it's important to be in compliance with applicable regulations in order to protect the company and its members. Lawyers experienced in small business law and starting an LLC in New York can provide assistance and advice throughout the process. UpCounsel's network of business attorneys have the expertise to provide guidance in creating and maintaining an LLC in New York. With UpCounsel's qualified attorneys, you'll be able to launch your business with ease and confidence.
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