Starting a business is an exciting journey, and forming an LLC (Limited Liability Company) is one of the most popular ways to structure your venture.
If you’re in New York, there are specific steps and requirements to follow that might feel a bit overwhelming at first.
But don’t worry—this guide will walk you through the process of starting your LLC and staying compliant in 2025.
Steps to Start an LLC in New York
Starting an LLC in New York involves a few specific steps, but it’s manageable once you know what to expect.
Choose a Unique Business Name
Your LLC needs a unique name that complies with New York’s naming rules. The name must include “Limited Liability Company” or an abbreviation like “LLC.”
It also can’t be too similar to existing business names in the state.
Pro tip: Use the New York Division of Corporations’ online database to check if your desired name is available. This can save you time and ensure your application isn’t rejected.
File Articles of Organization
The Articles of Organization (Form DOS-1336) is the document that officially registers your LLC with the state.
You can file it online or by mail with the New York Department of State.
Be prepared to provide basic information, like your LLC’s name, address, and the name of your New York registered agent service (a person or company that receives legal documents on behalf of your LLC).
Meet the Publication Requirement
New York is unique because it requires LLCs to publish a notice of formation in two newspapers within their county of operation.
This needs to be done within 120 days of forming your LLC.
The newspapers are designated by the county clerk, and publication costs can range from $600 to $1,500, depending on your location.
Once this is done, you’ll file a Certificate of Publication with the state for an additional $50 fee.
Obtain an EIN (Employer Identification Number)
An EIN, or Employer Identification Number, is like a Social Security number for your business.
It’s required for opening a business bank account, hiring employees, and filing taxes.
You can apply for an EIN for free through the IRS website. It’s a quick and easy process that can often be completed in minutes.
Create an Operating Agreement
While some states don’t require an Operating Agreement, New York does.
This document outlines how your LLC will be managed and helps clarify ownership percentages, responsibilities, and profit distribution.
Even if you’re the sole owner, having an Operating Agreement in place is a good practice and ensures compliance.
Compliance Requirements for LLCs in New York (2025)
Once your LLC is up and running, staying compliant is crucial. New York has ongoing requirements that LLCs must meet to avoid penalties or, worse, dissolution.
File Your Biennial Statement
Every LLC in New York must file a Biennial Statement every two years.
- The filing fee is $9, and it’s due in the anniversary month of your LLC’s formation.
- You can file it online through the New York Department of State website.
Stay on Top of Tax Obligations
New York LLCs have various tax responsibilities depending on their income and operations.
- State and federal taxes: Most LLCs are taxed as pass-through entities, but you can choose to be taxed as a corporation.
- Sales tax: If your business sells products or services that are subject to sales tax, you’ll need to register for a sales tax permit.
- Self-employment tax: LLC members are responsible for paying self-employment tax on their earnings.
Obtain Any Necessary Licenses and Permits
Depending on your industry, your LLC might need specific licenses or permits to operate legally in New York.
- For example, a food service business will require health department permits, while a construction company may need specialized licenses.
- Use New York’s Business Express website to determine what licenses apply to your business.
Maintain Proper Recordkeeping
Good recordkeeping is not just a best practice—it’s a legal requirement.
- Keep records of all LLC filings, financial transactions, and major business decisions.
- These documents can help you prepare taxes and protect your LLC in case of disputes or audits.
Tips for Staying Compliant in 2025
Staying compliant doesn’t have to be stressful. Here are some practical tips to help you stay on track:
- Use digital tools: Apps like QuickBooks, Google Calendar, or specialized compliance software can help you track important deadlines and keep financial records organized.
- Work with a registered agent: A registered agent can handle compliance reminders, legal notices, and filings on your behalf, giving you peace of mind.
- Hire professionals: Consult a tax professional or attorney who understands New York laws to ensure you’re meeting all requirements.
- Review regulations regularly: Business laws and tax rules can change, so staying informed will help you avoid surprises.
Wrap Up: Take The First Step Today
Starting and running an LLC in New York may seem complex, but with careful planning, it’s entirely manageable.
By following the steps outlined above—choosing a name, filing the necessary paperwork, meeting publication requirements, and staying on top of compliance—you can build a solid foundation for your business.
In 2025, compliance will remain a key part of keeping your LLC in good standing.
So, take that first step today, and set yourself up for entrepreneurial success in New York!
