If you are planning to startup a business in New York, then StartupNYS has the information and resources you need. In addition to writing a business plan, picking a name and choosing a legal structure for your business, you will also need to notify State and Local authorities about your New York startup.
Create a Business Plan for Your New York Startup
A business plan is an important tool for your New York startup. This document normally includes a 3 to 5 year forecast of your sales and expenses. It also covers other key aspects of your New York startup to help you succeed, including:
- Executive Summary
- Description of Your New York Startup
- Marketing Analysis of Your Industry and Competitors
- Management Team and Organization
- Products and Services You are Going to Sell
- How Your New York Startup will Sell the Products and Services
- A Request for Startup Funding if You Need It
- Money Projections for At Least 12 to 24 Months
- Appendix for Additional Information
Select a Legal Structure for Your New York Startup
As seen below there are a variety of structures you can choose for your New York startup, and each of them comes with its own set of tax and legal advantages and disadvantages. It is recommended that you consult an attorney that specializes in business formation and understands the local and state laws that govern New York prior to finalizing your legal structure.
- Sole Proprietorship
- Limited Liability Company
- S Corporation
Pick a Name for Your New York Startup
Choosing a name for any business these days gets increasingly complicated for a number of reasons. Firstly you will want to determine whether your New York startup name is available to be registered as a dotcom. Is the same name also available on Facebook, Twitter and any other social media platform that might be important for your business? Additionally, you will want to do a Google search and see if anyone else is already using the name and whether it has been registered as a trademark.
Determine if You Need a License for Your New York Startup Business
In New York, examples of businesses requiring licenses are: restaurants, motor vehicle repair shops, beauty salons and barber shops, food establishments, and child day care centers. In order to determine what type of license may be required for your startup, visit https://bw.licensecenter.ny.gov.
Make Sure You Obtain a New York State Certificate of Authority
All businesses that make sales in the State of New York which are subject to sales tax must register for a Certificate of Authority from the Tax Department. This Certificate grants you the right to collect sales tax from customers and also to accept sales tax exemption certificates. You are required to register your startup with the Tax Department 20 days before you open for business. Learn more at https://www.tax.ny.gov.
File a Business Certificate for Your Business Name
Businesses operating in New York are usually required to file a Business Certificate or Certificate of Assumed Name with the County Clerk where the business is located. The rules vary depending on whether the business is a sole proprietorship, Corporation or Limited Liability Company. You can learn more here http://www.dos.ny.gov.
Learn How to Start a Business in New York State (NYS)
New York State provides a lot of online resources to help you start a new business. Learn how you can qualify to become a Minority and Women-owned Business Enterprise, start a Limited Liability Company, Reserve a Business Name, and get a NY.gov ID at http://www.ny.gov/services/start-business-new-york-state.
Register Your New York Startup with the Federal Government
If you are planning to start a corporation, partnership, or Limited Liability Company then your New York startup will need to apply for an Employee Identification Number (EIN) from the Internal Revenue Service. Sole Proprietorships usually do not require an EIN because they rely your Social Security number for tax reporting purposes. You can learn more about EINs and apply for one online at https://www.irs.gov/businesses/small-businesses-self-employed/do-you-need-an-ein.
You Can Learn More about New York Startups from a Local SBDC
New York Small Business Development Centers (SBDC) help New York entrepreneurs by providing the information and tools needed to start successful businesses. They provide support to help you create a business plan, learn how to start a business in New York, obtain funding for your venture, and walk you through compliance and regulatory issues. To find an SBDC near you, visit: http://www.nysbdc.org.