New Jersey Small Business Information

Starting a small business in the state of New Jersey requires you to comply with legal and administrative requirements. The paperwork you need to stay in compliance with state regulations depends on the type of business you are starting and the industry in which you intend to operate. These two points may influence your start-up costs and limit what you can do with suppliers and clients.

Registration

• Registering your business in New Jersey depends on the legal structure of the business. According to the New Jersey Department of the Treasury, you must file a Certificate of Formation to register your business with the state if your business is a limited liability company, limited partnership and out-of-state or domestic corporation. As of October 2009, filing fees for domestic, for-profit businesses and out-of-state nonprofits is $125 while domestic nonprofits pay $75 to register with the state.

Taxes

• The state of New Jersey requires all businesses to file form NJ-REG. The state uses your NJ-REG to register your business under the appropriate tax number you use for tax returns and mail. The state allows you to use your federal identification number (FEIN) as your tax number in New Jersey. The state requires that you obtain a FEIN if your business has employees by filing the NJ-REG or by applying directly with the Internal Revenue Service (IRS).

Business Name

• The state also requires that you have a name for your business. However, it must not be a duplicate name of a business already in existence in the state. The New Jersey Department of the Treasury offers a free online business-name search to help in your naming decision and avoid duplication. If your business was formed outside of New Jersey, your business name in New Jersey must be the same one from your home state. According to the New Jersey Department of the Treasury, you are required to establish a "doing business as" (DBA) with the state if your business name is taken.

Licenses

• Depending on the nature of your business, you may need to obtain a special license or permit from the state in order to legally operate it. For example, you need special permits if you establish certain businesses such as landscaping, home improvement, child care, solid waste, a restaurant, telemarketing or extermination. Similar licensing requirements exist if your business is professional in nature as in legal services, accounting, financial planning and counseling. The new Jersey Division of Consumer Affairs oversees the boards that regulate 80 professions and about 600,000 professionals licensed by boards.

Incentives

• The state of New Jersey offers businesses a broad selection of financial incentives to encourage investment. The incentives include traditional sources of loans with low interest rates and longer repayment terms. In addition, the state offers programs to encourage clean energy and environmentally conscious business investment. For instance, the Clean Energy Financing and Assistance Programs encourage investment in renewable energy equipment with grants and favorable financing terms.