How to Start Your Own LLC in New Jersey

This step-by-step guide walks you through the entire New Jersey LLC formation process, from selecting a compliant business name to filing required documents, understanding tax responsibilities, and staying in good standing with the state.

1. Choose a Name for Your New Jersey LLC

Naming your LLC is one of the most important early decisions you'll make. Your business name represents your brand, shapes first impressions, and must meet legal requirements set by the state of New Jersey.

Before choosing a name, it's essential to clearly define your business purpose. Knowing what products or services you'll offer—and who your customers are—will help you select a name that fits your brand identity. Many business owners also seek feedback from trusted colleagues or friends to test how the name sounds and whether it's easy to remember.

Once you've narrowed down a few options, research them thoroughly. Conduct online searches to see if similar businesses already exist, check whether matching domain names are available, and review social media platforms to avoid confusion with other brands. While online business name generators can spark ideas, they shouldn't replace thoughtful decision-making.

New Jersey LLC Naming Rules

New Jersey law requires that your LLC name:

• Include "Limited Liability Company" or an approved abbreviation such as LLC or L.L.C.
• Be distinguishable from all other registered business names in the state
• Avoid language suggesting affiliation with a government agency
• Exclude restricted terms like bank, insurance, university, or similar words unless state approval is obtained

After confirming availability through the New Jersey Division of Revenue, you should also search the U.S. Patent and Trademark Office (USPTO) database to ensure your name is not federally trademarked.

Reserving a Business Name

If you're not ready to file your LLC immediately, New Jersey allows you to reserve a business name for 120 days. Unlike many states, New Jersey currently requires name reservations to be submitted by mail.

You'll need to download the name reservation form and mail it to:

NJ Division of Revenue
P.O. Box 308
Trenton, NJ 08646

The filing fee for a name reservation is $50.

Doing Business As (DBA) / Alternate Name in New Jersey

After forming your LLC, you may want to operate under a different name for branding or expansion purposes. In New Jersey, a DBA is called an Alternate Name.

An alternate name allows your LLC to operate multiple brands without forming additional legal entities. For example, a company named JJ's Waffles LLC could legally sell products under JJ's Muffins using an alternate name. This also allows you to open bank accounts and accept payments under the alternate name.

Alternate names are registered online through the New Jersey Department of Revenue and Enterprise Services. The filing fee is $50, and the registration is valid for five years.

2. Appoint a Registered Agent

Every New Jersey LLC must designate a registered agent to receive legal notices, tax correspondence, and official government documents.

A registered agent in New Jersey must:

• Be at least 18 years old
• Maintain a physical street address in New Jersey
• Be available during normal business hours
• Be authorized to do business in New Jersey if the agent is a company

While you may serve as your own registered agent, many business owners prefer using a professional service to maintain privacy and ensure compliance.

3. Decide on Your LLC's Management Structure

New Jersey LLCs can be either member-managed or manager-managed. If no management structure is specified in the Certificate of Formation, the LLC is automatically considered member-managed.

In a member-managed LLC, all owners participate in daily operations and decision-making. This structure works well for small businesses where owners are actively involved.

In a manager-managed LLC, management responsibilities are assigned to one or more managers, who may or may not be LLC members. This option is often chosen when some owners prefer to remain passive investors.

Your chosen structure should align with how you plan to run the business long term.

4. File a Certificate of Formation with New Jersey

To officially form your LLC, you must file a Certificate of Formation with the New Jersey Division of Revenue and Enterprise Services.

New Jersey uses a single online business registration system for all entity types. After conducting a name availability search, select NJ Domestic Limited Liability Company (LLC) and complete the required information, including:

• LLC name
• Principal business address
• Registered agent details
• Business purpose

Once submitted and signed electronically, online filings are typically approved within one business day.

The filing fee is $125.

New Jersey Division of Revenue Contact Information

Online Portal: New Jersey Business Formation Services

Mailing Address:
P.O. Box 252, Trenton, NJ 08646

Office Address:
33 W. State St., Trenton, NJ 08608

Phone: 609-292-6748

5. Create an Operating Agreement

Although New Jersey does not legally require an Operating Agreement, having one is strongly recommended—even for single-member LLCs.

An Operating Agreement defines ownership percentages, management authority, voting rights, profit distribution, and procedures for adding or removing members. It also strengthens liability protection and is often required by banks and investors.

While templates are available online, having an attorney review your Operating Agreement can prevent disputes and costly misunderstandings.

6. Obtain an Employer Identification Number (EIN)

An EIN is issued by the IRS and serves as your LLC's federal tax identification number. It is required if your LLC has multiple members, hires employees, or elects corporate taxation.

You can apply for an EIN online through the IRS at no cost. The application must list a responsible party, who is an individual with authority over the business's finances.

7. Obtain Required Licenses and Permits

New Jersey does not issue a general statewide business license. However, many businesses must obtain industry-specific, state-level, or local municipal licenses.

Businesses selling taxable goods or services must register for a sales tax certificate. The Business.NJ.gov Licensing & Certification Guide is the best resource for identifying required permits and licenses.

Operating without proper licensing can result in fines, penalties, or shutdowns, so it's critical to verify requirements early.

8. Understand Your New Jersey LLC Tax Status

By default, New Jersey LLCs are treated as pass-through entities for tax purposes. This means the LLC itself does not pay federal income tax; instead, profits and losses pass through to the owners' personal tax returns.

Single-member LLCs are taxed like sole proprietorships, while multi-member LLCs are taxed as partnerships unless an alternative election is made.

LLCs may elect to be taxed as a C-Corporation or S-Corporation if it offers tax advantages. New Jersey also imposes state-level taxes, including the Gross Income Tax for individuals and the Corporation Business Tax for LLCs taxed as corporations.

Additional Ongoing Requirements

After forming your LLC, you should open a business bank account, apply for a business credit card, and obtain appropriate insurance coverage. Keeping personal and business finances separate is essential for maintaining liability protection.

New Jersey LLCs must file an Annual Report every year by the end of the anniversary month of formation. The filing fee is $75, and failure to file can result in penalties or dissolution.

New Jersey LLC FAQs