How To Set Up An LLC In New Jersey

With its prime location within easy reach of Manhattan, not to mention its vibrant culture, diverse industries, and excellent transport links, New Jersey is an ideal place to set up a business. 

If you would like to set up your own LLC in the state, here is a helpful guide to set your feet firmly on the path toward successfully owning and running your New Jersey business. 

Find The Perfect Business Proposition

The very first steps you need to take when establishing a New Jersey LLC are deciding what your business will consist of, and choosing a name for it. 

Before you settle on a particular business idea, it’s a good idea to conduct some research to make sure you choose a viable niche. You may be passionate about a particular product or service, but if there is no real market for it then your business will be unlikely to do well. The best option is to find a type of business that you have the skills to provide and that will appeal to a wide customer base. 

Drawing up a detailed business plan can help you solidify your vision for your LLC and provide a helpful roadmap going forward. 

Once you’ve finalized your business model and come up with a name, you can formally register your business and even create your own website for it. 

Complete Your Registration

The next step on your journey toward launching your own LLC is to register it. 

To do so, you will need to acquire an employer identification number (EIN), which can be obtained via the Internal Revenue Service. You will then have to file a Certificate of Formation, which can be done online, and submit your employer registration form. The Certificate of Formation costs $125 to file. 

Appoint A Registered Agent

If you don’t have a physical address for your LLC in New Jersey, it’s mandatory for you to appoint a Registered Agent to receive and file legal documents on your behalf. 

They must have a New Jersey street address, and you should bear in mind that they must be willing for that address to be made public if necessary, so you may want to appoint an official agent rather than a friend or family member. 

Acquire A Virtual Business Office Address

If you don’t currently have a physical business address, don’t worry, you don’t have to give out your home address in lieu. Instead, you can find a reputable, high-quality service such as PhysicalAddress, which offers a range of helpful services – including providing a virtual business address for an LLC. They offer a low-cost subscription service that provides a diverse assortment of benefits, including your professional ‘suite’ for receiving mail. A service such as this will serve you well.

Get Your Licenses And Permits

The majority of businesses operating in New Jersey require a license or permit of some kind, so it’s likely that your LLC will too. 

If you are not sure what kind of license or permit you may need, or how to obtain them, you can seek assistance from the New Jersey Business Action Center. 

You may also need to have a business registration certificate, depending on which entities you are planning to contract with. 

Pay Your Taxes

When you become the owner of an LLC, it’s vital that you pay all of the necessary taxes related to your business. 

The type of tax you are required to pay will vary depending on a number of important factors, such as whether or not you have sole ownership of the LLC, or if you want it to be taxed as a corporation. 

Fortunately, New Jersey offers a few tax incentives which you may want to take advantage of. These include the Sales And Use Tax Exemption program. 

Insure Your Business

While you may be reluctant to fork out potentially large sums of money for insurance policies, it’s important that you acquire the necessary protection for your business. 

At the very least, you should pay for liability insurance, but if you have employees, you must also invest in both employer liability insurance and workers’ compensation insurance.

Depending on your type of business, you might also require additional policies, such as auto insurance for delivery vehicles.  

Start Promoting Your New Enterprise

Once all of the legal and financial aspects of setting up your LLC have been finalized, it’s time to focus on marketing your business so you can start acquiring your customer base. 

To promote your LLC effectively, you will need to create eye-catching branding, including a unique logo, and marketing materials such as signage and flyers. You will then need to develop a marketing strategy using these branded materials to draw attention to your LLC and the products or services it provides. 

You can accomplish this using a range of different tools, including social media, physical advertising, and forming strategic partnerships with other local businesses. With any luck, it won’t be long before you start receiving your very customers and your LLC starts to take off.