Where should your limited liability corporation (LLC) be registered if you want to launch a business in New York? Fortunately, the procedure is simple and may be completed online through the Division of Corporations of the New York Department of State.
You must submit Articles of Organization and pay a $200 filing fee in order to register your LLC. After your LLC has been registered, you must publish a notice of its establishment for six weeks in two publications. The county clerk in the area where your LLC is located must name the publications. You must submit a Certificate of Publication to the Department of State upon publication.
A single proprietorship can be registered in New York for a lot less money than an LLC. The Division of Corporations at the Department of State will register a sole proprietorship for just $25. However, a single proprietorship does not offer liability protection, unlike an LLC. This implies that any debts or legal actions brought against the company are the owner’s personal responsibility.
You must register your business name with the county clerk’s office where you intend to conduct business in New York in order to establish a sole proprietorship there. Additionally, you’ll need to acquire any licenses and permits your business may require. A sole proprietorship does not need to file any official documents with the state, unlike an LLC.
The terms “self-employed” and “sole proprietorship” are not always synonymous. A person who works for oneself is referred to as self-employed, but a sole proprietorship is a business structure where one person owns and runs the business. However, due to its ease of use and low cost, operating as a sole proprietorship is a popular choice among independent contractors.
Your particular needs and objectives will determine whether an LLC or single proprietorship is preferable for your business. An LLC offers liability protection and may be a wise decision for companies with numerous owners or substantial assets. Despite being easier and less expensive to set up, a sole proprietorship does not offer liability protection. For tiny enterprises with limited assets or liabilities, it might be a wise decision.
In conclusion, establishing an LLC or sole proprietorship in New York is a simple procedure that may be completed online through the Division of Corporations of the Department of State. Depending on the kind of business structure, registration fees can range from $25 for sole proprietorships to $200 for LLCs. Even though an LLC offers liability protection, establishing a sole proprietorship is easier and less expensive. The ideal option for your company ultimately depends on your unique requirements and objectives.
A sole proprietor is a person who owns and manages a business as an independent entity and is entirely liable for all of the company’s obligations. This is distinct from an LLC, a distinct legal entity that offers its owners limited liability protection.