How to Incorporate a Business in New York (Step-by-Step)

If you’re starting a business in New York, incorporating correctly from the beginning matters more than you might first think. The state has specific rules, fees, and ongoing requirements that can confuse even experienced entrepreneurs if they’re not aware.

How to incorporate a business in New York

If you’re asking yourself, how do I incorporate my business in New York? Then keep reading. This guide walks you through the process step by step, from choosing your entity type to filing your first required documents, so you can move forward with confidence.

Step 1: Decide between an LLC or a corporation

Before you file anything, you need to choose your business structure. In New York, most entrepreneurs choose between a Limited Liability Company (LLC) and a corporation. Here's a quick breakdown.

LLCs

LLCs are popular with small and mid-sized businesses because they offer:

● Personal liability protection

● Flexible management structure

● Pass-through taxation (in most cases)

They’re commonly used by consultants, freelancers, real estate investors, and service-based businesses.

Corporations

Corporations are often chosen by businesses that plan to:

● Raise outside investment

● Issue stock

● Scale nationally or internationally

Corporations have more formal requirements, including boards of directors, shareholder meetings, and stricter recordkeeping.

Choosing the right structure early helps avoid costly changes later.

Step 2: Check business name availability

Once you’ve chosen your structure, you’ll need to confirm your business name is available in New York.

Your name must:

● Be distinguishable from existing registered entities

● Include the appropriate identifier (LLC, Inc., Corp., etc.)

● Avoid restricted words unless approved

You can search name availability through the New York Department of State’s online database. While this search doesn’t reserve the name, it helps ensure you won’t be rejected during filing.

Step 3: Appoint a registered agent (or use the state)

New York requires every LLC and corporation to designate an agent for service of process. By default, the New York Secretary of State acts as the registered agent unless you appoint another one.

Many businesses choose to list a professional registered agent or virtual office provider to keep personal addresses off public records, ensure legal documents are handled promptly, and maintain privacy and professionalism.

A virtual office in NYC can serve as a dependable business address while helping manage official correspondence efficiently.

Step 4: File formation documents with the NY Department of State

This is the step where your business becomes official. Filing can be done online or by mail with the New York Department of State.

Processing times vary but generally range from a few business days to a few weeks unless expedited service is requested.

Step 5: Complete New York’s LLC publication requirement (LLCs only)

New York’s LLC publication requirement is a multi-step process.

After forming an LLC, you must:

● Publish a notice of formation in two newspapers (one daily, one weekly)

● Run the notice for six consecutive weeks

● File a Certificate of Publication with the state

Costs vary but you can safely assume New York City publications are more expensive than upstate publications.

Skipping this step can result in penalties and loss of authority to do business in New York.

Step 6: Obtain an EIN from the IRS

An Employer Identification Number (EIN) is required to:

● Open a business bank account

● Hire employees

● File federal and state taxes

You can apply online through the IRS at no cost. Most businesses receive their EIN immediately upon completion.

Step 7: Register for New York Sales Tax (if required)

If your business sells taxable goods or services in New York, you’ll need to apply for a Certificate of Authority to collect sales tax.

This registration must be completed before making taxable sales. Failing to register properly can lead to fines and back taxes.

Step 8: File your Biennial Statement

Every New York LLC and corporation must file a Biennial Statement every two years with the Department of State.

This filing:

● Confirms your business address and contact details

● Is inexpensive 

● Is due during the calendar month your business was formed

Missing this requirement can cause administrative issues and complicate future filings.

Pro Move: Set up a professional business address from day one

Many New York entrepreneurs incorporate from home—but that address becomes part of the public record.

Using a virtual office allows you to:

● List a professional New York business address

● Protect your personal privacy

● Receive official mail reliably

● Access meeting rooms and day offices when needed

It’s a smart way to maintain credibility without committing to expensive office leases.

If you’re looking to incorporate your business in New York, following the correct steps from the start can save you time, money, and stress. From choosing the right structure to meeting state-specific requirements, preparation is key.

About Robyn Roste

Robyn Roste is a professional writer living and working in Abbotsford BC Canada. Her personal blog about freelance writing(http://robynroste.com) is listed in The 100 Best Websites for Writers in 2020 by The Write Life.