How to Form a New Jersey LLC

If you decide to form a New Jersey LLC, incorporate.com will take care of all the details. We'll research the availability of your company name and help you prepare and file your Certificate of Formation with the New Jersey Department of the Treasury. We can also take care of many of your company's follow-up needs, including annual report preparation and filing.

Below is an overview of the process of how to form an LLC in NJ:

Select a name for your LLC

It is required by state law that New Jersey LLC names end with "Limited Liability Company," "LLC" or "L.L.C." Your company's name must not contain any language that indicates or implies that it is organized for any other purpose than that stated on the Certificate of Formation in NJ. It must be distinguishable from the names of other LLCs, foreign LLCs and current name reservations or registrations, and the words "Olympic," "Little League," "Realtor" and "Trust" cannot be used.

Other restrictions include the following:

Restricted words: The use of certain words to register an LLC in NJ is "restricted" by the state, meaning special approval by the state is required for names containing them. These include:

• Blind
• Cemetery
• Funeral Homes
• Handicapped
• Little League
• Olympia
• Olympic
• Urban Renewal

Prohibited words: The state of New Jersey prohibits the use of certain words in the names of LLCs, including:

• Cemetery
• D.C.
• District of Columbia
• Little League
• Metropolitan
• Olympia
• Olympic
• Postal
• Realtor
• Trust
• Underwriters

incorporate.com will do the necessary research to make sure your company's name meets the state standards.

Complete a Public Records Filing for New Business Entity

Once we have verified your company name, incorporate.com will complete a Public Records Filing with your Certificate of Formation in NJ. The Filing includes the following information:

• LLC Information: The Certificate of Formation must include the LLC's name and address, purpose, and dissolution date, if there is one.
• Members/Managers: Your LLC must have one or more members/managers, and their names and addresses must be listed on the Certificate of Formation. Members/managers must be 18 years old but are not required to reside in New Jersey.
• Registered agent: LLCs must list the name and address of a registered agent with a physical address (no post office boxes) in New Jersey. The registered agent must be available during normal business hours to accept important legal and tax documents for the business.

If you set up an LLC in NJ with more than one member, you will need a federal Employer Identification Number (EIN), even if it has no employees. incorporate.com can help expedite this step as well.

Complete a Business Registration Application (NJ-Reg)

New businesses must also file an Application for Registration (NJ-Reg) with the New Jersey Division of Taxation in order to receive tax information from the state, even if you don't intend to collect or withhold taxes. There's no fee for registration, but you must file an application at least five business days prior to starting to do business. The NJ-Reg form asks for comprehensive information about your company and its activities. If you will be collecting sales tax, the NJ-Reg must be submitted at least 15 days before your first sale.

New Jersey LLC Filing Fee and Costs of Formation

The state filing fee for LLC formation in New Jersey is $125.00. incorporate.com will handle all filing requirements and provide you with the total cost to get your LLC registration in NJ up and running.

In addition, the Department of the Treasury, Division of Revenue, requires an annual report be filed each year by your anniversary filing date. The filing fee is $50.

New Jersey LLCs must pay an annual minimum state tax of $125 per member.

FAQs

Do I need to submit an operating agreement to form my NJ LLC?

An operating agreement does not have to be submitted with your filing; nevertheless, it is a critical governing document and should be created when you form your company.

Can professionals form professional limited liability companies (PLLCs)?

New Jersey does not allow professionals, such as accountants, attorneys and physicians to form a professional limited liability company (PLLC); however, professionals may incorporate as an LLC.

Do I need to reserve a name?

New Jersey does not require name reservation; however, it is a good way to ensure that your company name is available, and will remain available while you file for incorporation.

Does New Jersey have publication requirements or other follow-up filings?

No. New Jersey does not require you to publicize your company's formation, and does not have follow-up filing requirements.

Before you begin doing business, you should contact the municipality where your company is located in order to determine if you will need to comply with the following:

• Local zoning ordinances
• Municipal tax obligations
• Local mercantile licenses
• Requirements to register a business

How to Get a Business License in NJ

Requirements for NJ business licenses and permits can vary greatly amongst different state, county and local governments, depending upon your industry and location. Frequently requested New Jersey business licenses and registrations include:

• Home Improvement Contractors & Landscapers
• Child Care Centers
• Limousine Companies
• New Home Builder Registration and Renewal
• Combined Cigarette License Application
• Restaurants and Food Preparation for Retail Sale
• Lead Hazard Abatement Contractor
• Asbestos Safety Technician
• Telemarketing Companies
• Employment Agency including Temporary Employment, Nurse Registry, Home Health Aid, etc.
• Pesticide Applicator / Operator / Business

Occupational Licensing and Permits

Your company or employees/principals may also be required to hold professional or occupational certificates or licenses. Examples include accountants, day care operators, architects, medical services provider, engineers, restaurateurs etc. The list is long, and the requirements vary by profession and industry. For example, a child care provider is regulated by the Department of Children & Families Office of Licensing, and a license is required for providing care to six or more children.

Environmental Licenses and Permits

You may need construction or safety permits, or environmental licenses for some business activities. If you believe your business might be subject to environmental regulations, you must complete and submit a permit identification form to the New Jersey Department of Environmental Protection describing your activities. NJDEP will review your form to determine which permits apply to your operations. Common activities that require such review include dry cleaners, fueling stations and auto body shops.

Employee Requirements

If you have at least one employee, you are required to address the issue of employer insurance. Employees also trigger numerous tax requirements.

• Unemployment Insurance: If you have at least one employee, you must register your company with the Division of Employer Accounts, New Jersey Department of Labor and Workforce Development.
• Workers' Compensation Insurance: New Jersey law requires that all New Jersey employers not covered by Federal programs have workers' compensation coverage or be approved for self-insurance.

New Jersey Sales Tax

There is a 7 percent sales tax in New Jersey. If your company is selling taxable items or services, you will need to collect a sales tax and remit it to the State. You will receive a Certificate of Authority for Sales Tax from the State by mail, which must be displayed at your place of business.

Too busy to research your requirements? We can help.

Learn More