New York LLC Formation

Each state has different requirements for forming a limited liability company (LLC). Whether you are forming an LLC for a new or existing business you'll want to understand the New York LLC formation requirements.

How to start an LLC in New York

Starting a new business comes with a variety of challenges. The following highlights some of the critical steps needed to keep your business compliant if you decide to form a New York LLC. For more information on stating a business, view our webinar “What You Need to Know When Deciding Whether to Register Your Small Business”.

Decide on a name for your LLC

Naming your business is an important step that needs to be considered carefully. There are many business and compliance requirements to weigh when making the final decision on your LLC’s name.

Generally, your name cannot be the same as the name of an existing business entity on file with the New York Department of State, and it can’t be misleading. Read our article for more tips on naming your business.

BizFilings offer a free state name check to help you check the availability of your desired LLC name and we can help you reserve your name when you’ve made your decision.

Determine management structure (member vs. manager)

One of the reasons you may have selected an LLC as your business type is the management structure. LLCs can have one of two management structures: member-managed, or manager-managed. The difference between the two comes down the relationship between management and ownership:

If an LLC is member-managed, then all members are active in the decision-making processes. 

If an LLC is manager-managed, then one or more managers are designated to make the decisions on its behalf.  A manager may be a member or a non-member.

When starting your LLC, it is critical to understand how you plan to manage your business. Read our article LLC members vs. LLC managers for more information on LLC management structure.

Select your registered agent

A registered agent (also often referred to as agent for service of process) is a person or business you appoint to receive and forward to you important legal and tax information. New York requires LLCs to appoint the NY Secretary of State as its agent for service of process. Businesses may also appoint a registered agent in addition to the Secretary of State. BizFilings includes this service in all incorporation packages.

Prepare and file with New York

Creating your LLC in New York requires you to file one original of the Articles of Organization with the New York Department of State. New York also requires new LLCs to publish in designated newspapers notices advertising the formation of the LLC and submit to the Department of State a Certificate of Publication along with publication affidavits within 120 days of forming.

New York does not require you to submit an Operating Agreement to form your LLC. However, it is important for every LLC to have an Operating Agreement,  establishing the rules and structure of the business. The Operating Agreement is a private agreement and is not filed with the state. Read our article on LLC operating agreements for more information.

Obtain a federal employer identification number

A Federal Employer Identification Number (EIN or Tax ID) is an IRS identification number used for businesses. The most common comparison is to an individual’s Social Security Number. The EIN must be obtained by LLCs to be used when filing taxes. However, it is also often used for other important business activities, such as opening a business bank account, obtaining a loan, or paying invoices. Check out our article on Federal EIN for more information.

Meet your license and permit requirements

Your LLC may be required to obtain licenses and permits before it can legally operate in New York. There are many factors that go into determining which licenses and permits at the federal, state, and local levels are required for your business. For example, if you plan to hire employees, you may need a payroll tax registration and depending on where they are based that could have implications as well. Read our article “Understanding business licenses” for more information.

Cost to form a New York LLC

At BizFilings, we clearly outline our fees and the New York state fees. When you view our pricing to form an LLC you plainly see:

• BizFilings’ package prices. BizFilings offers three incorporation service packages from which you can choose.
• State fee for standard turn-around. Our pricing clearly shows the state fee to incorporate in New York with standard turn-around.
• Expedited turn-around. You will see the BizFilings and state fee, if any, for expedited turn-around.
• 24-hour turn-around. New York has a 24-hour filing option, which is outlined in our pricing.
• Certified copy. Our pricing also clearly displays the BizFilings and state fee, if any, for issuing a Certified Copy of the Articles of Organization.

New York LLC Name Requirement

The name of a LLC must end with "Limited Liability Company," "LLC" or "L.L.C." Accent marks cannot be used in the name. The name may not be the same as or confusing similar to that of any domestic or authorized foreign corporation or reserved name. The name may not contain any word or phrase indicating the corporation is formed for any purpose other than that included in its Articles of Organization.

Member/Manager information

The following are New York’s requirements for the members/managers of LLCs:

• Minimum number. LLCs must have one or more members/managers.
• Residence requirements. New York does not have a provision specifying where members/managers must reside.
• Age requirements. New York does not have age requirements.
• Inclusion in the Articles of Organization. Member/Manager names and addresses are not required to be listed in the Articles of Organization.

Requirements for the Articles of Organization

The document required to form an LLC in New York is called the Articles of Organization. The information required in the formation document varies by state. New York's requirements include:

• Registered agent. Listing the name and address of a registered agent is optional in New York. LLCs must, however, include the address to which legal documents, such as Service of Process, should be sent. The registered agent or person at the Service of Process address must be available during normal business hours.

Other filings required at time of incorporation

Some states require additional filings or steps at the time of incorporation, such as a county level filing, publishing notice of the LLC formation in a local newspaper or an initial report filing. New York requires the following:

• Publication requirement. New York requires LLCs to publish notice of the incorporation for six consecutive weeks in two newspapers as assigned by the County Clerk in the county of the LLC’s legal address. A Certificate of Publication should then be filed with the Department of State upon completion of the publication requirement.

Professional services businesses

New York allows professionals, such as accountants, attorneys and physicians, to form a professional limited liability companies (PLLCs)..

After forming a limited liability company (LLC) , you must undertake certain steps on an ongoing basis to keep your business in compliance. These steps are also important in preserving the limited liability an LLC provides its owner(s). This guide outlines the ongoing requirements for New York LLCs.

New York LLC taxes and fees

The following are taxation requirements and ongoing fees for New York LLCs:

• Biennial report. New York requires corporations to file a biennial (every two years) report during the anniversary month of the incorporation. The filing fee is $9.
• Taxes. For complete details on state taxes for New York LLCs, visit Business Owner's Toolkit or the State of New York .
• Federal tax identification number (EIN). An EIN is required for LLCs that will have employees. Additionally, most banks require an EIN in order to open a business bank account.
• State tax identification number. New York does not require a state tax identification number.

Business licenses in New York

Business licenses and/or permits are required for most businesses. The BizFilings Business License Application Package can help you stay on top of these requirements.

Additional New York information

View the following additional resources BizFilings has for forming and maintaining companies in New York:

• New York Corporation Formation