If you are planning to open your own business in New Jersey, you want to find out in advance how much an LLC costs in New Jersey.
An experienced businessman always calculates income and expenses beforehand. The same goes for New Jersey LLC filing fees, registered agent fees, taxes, and so on.
In this review, we will find out:
You will also be able to pre-determine whether it's really profitable to open an LLC in New Jersey, or if it’s worth considering other states. After all, in today's world, physical location is not the limit.
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The LLC cost in New Jersey includes:
In addition, you need to research other types of New Jersey LLC fees that will need to be paid on a regular basis.
To form a New Jersey LLC, you must file your Certificate of Formation (online or by mail) with the New Jersey Division of Revenue and Enterprise Services. In some states, the document is also called "Articles of Organization." Online filing is recommended.
Once the Certificate of Formation is reviewed and approved by the Division of Revenue & Enterprise Services, your company can be considered a valid legal entity, and you can start your business operations.
The filing fee to register a New Jersey LLC is $125.
You can also complete the Public Records Filing for New Business Entity and file it with the Division of Revenue & Enterprise Services by mail. Don't forget to enclose the fee with the document.
Find out how to file LLC Articles of Organization in New Jersey in more detail in our step-by-step guide.
New Jersey law requires every business to file an annual report with the Division of Revenue and Corporate Services. In this report, you confirm that the basic information about your company, indicated in the Articles of Organization, is up to date or changed. Such reports are required to ensure that your business information, registered agent, and address are up to date.
The annual report is filed by the end of the month which is the anniversary of your company formation through the Department of State's website. To do so, you must:
For a New Jersey LLC, the cost to submit an annual report is $75.
New Jersey Division of Revenue
P.O. Box 252
Trenton, NJ 08646
New Jersey Division of Revenue
33 West State Street
Trenton, NJ 08608
If you do not send the report by the specified deadline, your business reputation will be downgraded and your LLC registration may be revoked at a later date.
In addition, according to business.nj.gov, there are three main types of taxes you may need to file:
For a New Jersey limited liability company, the cost of the partnership tax starts at $150 per member.
In New Jersey, just like in other US states, you are required to appoint and maintain a registered agent to accept legal/tax documents and service the process on behalf of your company. You have the following choices:
For cost-saving reasons, it may seem more advantageous to perform RA functions yourself. However, this comes with a lot of inconveniences because according to state law, you must be constantly available at the office during normal business hours.
In addition, professional companies will help you send reports in a timely manner, advise you on other legal issues, and notify you when you receive correspondence. Our review can help you choose the best registered agent for your entity.
In most cases, registered agent fees in New Jersey range from $100 to $300 per year.
If you already have an LLC in another state but want to expand your business to NJ, you can register as a foreign LLC.
For foreign companies, the cost to start a limited liability company in New Jersey is $125.
To complete this registration, you must file a Certificate of Authorization to register a foreign LLC in New Jersey with the Secretary of State. This can be done online or by mail.
To fully answer the question of how much an LLC in New Jersey costs, you need to consider a few more things. That said, all domestic companies must:
In addition, some types of businesses must obtain a professional business license at the federal, state, or county level. Renewal of local business licenses may be accompanied by a New Jersey LLC annual fee. The cost of such licenses varies by county or city.
Another important step is to register your business with the IRS. In New Jersey, you must file within 60 days of registering an LLC or within 15 days of starting a business. The fee is $0.
You can file completely free online, and it takes about 15 minutes to complete. You can also apply by mail. For this, you will need to obtain an employer identification number (EIN) from the IRS and file the tax/employer registration form (Form NJ-REG).
As of Jan 2018, NJ does not have a Series LLC provision. Therefore, it's not possible to establish this type of company in the state. However, you can register a series LLC in other states (e.g. in Alabama, Arkansas, Delaware, Kansas, Iowa, Illinois, Indiana District of Columbia) and then open a foreign company in New Jersey.
The requirements and LLC costs in New Jersey for foreign companies are described above.
A Professional LLC is a special type of business that is registered when a company plans to provide professional services which require a special license.
Unlike many other states, New Jersey does not allow professionals, e.g. accountants, attorneys, or physicians to form PLLCs. However, licensed professionals can still form standard LLCs instead.
That said, some activities require mandatory professional licenses for employees and some additional steps.
To open a PLLC, you must:
In this case, the cost of starting an LLC in New Jersey is also $125. However, additionally, you may need to pay for documents from the licensing board.
If you plan to do business in New Jersey, sell goods or provide services that are subject to state sales tax, you will need to obtain a Certificate of Authority (vendor license).
This can be done online at the Department of Treasury website, and there is no New Jersey incorporation fee.
You may also need a professional license. Check with the state's Licensing and Certification Manual to see if your business requires licensing and how much it might cost.
Also, different counties may require special permits for different types of business activities.
To get your business license, you can apply online with the New Jersey Division of Revenue and Enterprise Services.
Above we have described the mandatory New Jersey LLC fees for different types of businesses. There are also additional fees for services that may be helpful in registering an entity.
These are also worth considering when finding out how much an LLC costs in New Jersey.
In some cases, you might want to reserve a business name in advance for your company. For example, if the name has already been chosen and for one reason or another, you prefer to postpone the registration of the company.
The company name can be reserved for up to 120 days. To do so, complete and submit Form UNRR-1 to the New Jersey Division of Revenue and pay the filing fee of $50.
A "doing business as" (DBA) or, as it's called in NJ, an "alternate name" is a business name you can use in place of your official company name on your signage, company website, in promotional materials, etc.
A DBA is typically used:
Thus, you can change your DBA without registering a new entity. This way, you will notify customers of what you have to offer them and avoid unnecessary costs and complexities.
To register an alternate name, you must submit an application (Form C-150G) and pay a $50 filing fee.
If you need certified copies of your business documents in New Jersey, you can get them whenever you need through the Department of State's website. The cost of this service is $50 per document, plus $0.10 per page.
A Certificate of Good Standing (also called a "standing certificate") is a document that proves you are in good standing with the state government. New Jersey businesses are not legally required to obtain such a certificate.