How Much Does an LLC Cost in New Jersey? (NJ Annual Fees)

Starting an LLC in New Jersey is a big step—congrats! The main fee to get your LLC going is $125 for filing your Certificate of Formation.

But that’s just the start.

After setup, you must pay a $75 annual fee to keep your LLC in good standing. Taxes include a minimum annual LLC tax per member and additional amounts if your income exceeds certain thresholds. While optional, hiring a lawyer or accountant can be a wise investment in managing your LLC effectively.

If you prefer not to handle legal paperwork yourself, you might consider hiring a registered agent service. Additionally, if you want to reserve your business name before filing or operating under a DBA, those are optional steps to remember.

Keep reading to learn more about these costs so you can plan and focus on growing your LLC in New Jersey.

How Much Does an LLC Cost in New Jersey?

Starting an LLC in New Jersey involves several costs. Here’s a breakdown of what you can expect.

• Filing Fee: The primary cost is the $125 filing fee for the Certificate of Formation, a one-time payment to register your LLC officially in New Jersey.
• Annual Report: To keep your LLC in good standing, you must file a yearly report, which costs $75 annually.
• Name Reservation Fee: If you want to reserve your LLC name before filing, a $50 fee holds the name for up to 120 days.
• Professional LLC (PLLC): If forming a PLLC, additional costs may apply based on your profession’s licensing requirements.
• Series LLC: A Series LLC, allowing multiple entities under one main LLC, may involve additional expenses for each series.
• Registered Agent Service: If you don’t serve as your own registered agent, hiring a service typically costs $100 to $300 per year.
• DBA Registration Fee: The registration fee is $50 if you plan to operate under a different name (DBA).
• Standing Certificate: Some businesses need a standing certificate to obtain loans or expand into other states, which costs $50.
• Licenses and Permits: Depending on your industry and location, you must account for varying business licenses and permit costs.
• Taxes: New Jersey imposes a minimum $150 annual LLC tax per member, with additional taxes if your business earns more.
• Operating Agreement: While not required, drafting an operating agreement is recommended and may involve legal fees if you hire a professional.

LLC Costs in New Jersey (Formation Fees)

Here is a table that outlines the main costs associated with forming an LLC in New Jersey.

New Jersey LLC Requirements	Cost
LLC Business Name	$0
New Jersey LLC Registration	$0
Public Records Filing/Certificate of Formation	$125
Operating Agreement (optional)	$0 (with Northwest)
EIN Number	$0 (free from IRS)
New Jersey LLC Annual Report	$75/annually
LLC Name Reservation Fee (optional)	$50
Standing Certificate (optional)	$50
Foreign LLC Registration (optional)	$125
Fictitious Name (DBA) (optional)	$50
Taxes	Varies
State Business License Fee	Varies by business type
Registered Agent Services	$0-$125 (Northwest)
LLC Formation Services	$39
Total LLC Cost in New Jersey	$200 – $639

Total LLC costs in New Jersey range from $200 to $639. If you handle everything yourself and skip optional extras, you might spend around $200. However, if you opt for additional services and requirements, your costs could go up to between $500 and $639.

Here’s a breakdown: the first mandatory expense is the $125 fee for the Public Records Filing or Certificate of Formation, which is crucial for officially forming your LLC. You’ll also need to budget for an annual report fee of $75 to maintain your LLC’s good standing.

For optional costs, reserving your LLC name will cost $50. You can also obtain a Standing Certificate for $50. Obtaining an Employer Identification Number (EIN) from the IRS is free. While having an Operating Agreement is recommended, you can get it at no extra cost if you use certain services like Northwest.

The cost for your LLC business name is $0, as you can choose any available name without a fee. If you register a New Jersey foreign LLC, that incurs a $125 fee. Operating under a different name (DBA) will also require a $50 payment.

Regarding registered agent services, you can act as your own agent at no cost or hire a professional service, typically ranging from $100 to $300, depending on the provider.

Using an LLC formation service generally costs around $39. Additionally, taxes can vary based on your business activities, and state business license fees depend on your industry.

New Jersey LLC Business Name Cost ($0)

Reserving a business name is an important step when starting your LLC in New Jersey. The good news is that this process does not cost anything. Yes, the fee for reserving your business name is $0.

You can reserve your LLC name online when you file your formation documents. This simultaneous filing makes it a straightforward process.

Your name reservation will hold the name for up to 120 days. This gives you enough time to finalize any other details you need for your business.

It is also wise to ensure that the name is unique. You can check existing business names using the New Jersey Division of Revenue and Enterprise Services database.

New Jersey LLC Registration ($0)

When you form an LLC in New Jersey, you must register with the Division of Taxation. This must happen within 60 days after forming your LLC or within 15 days if you start doing business immediately.

The great news is that this registration is free. No filing fees are involved when you complete the NJ LLC Tax Registration. You can finish this important step online, making it quick and convenient.

The online application is called the Business Registration Application. It typically takes about 15 minutes to fill out. If you prefer mail, you would need the NG-REG form, but online registration is much faster.

New Jersey LLC Public Records Filing/Certificate of Formation ($125)

To form an LLC in New Jersey, you must complete a Public Records Filing, also known as a Certificate of Formation. This document is essential for officially registering your business.

The filing fee for this document is $125. It is a one-time payment made to the Department of State. Filing online is the easiest method and is strongly recommended for convenience.

The New Jersey LLC processing time varies by filing method. Online filings get approved in 1 business day, while mail filings take 2-3 weeks, including 7-10 business days for processing.

Here’s a quick look at what you need:

• Business Name: Ensure it’s unique and not already in use.
• Registered Agent: Designate someone who will receive legal documents.
• Business Address: Provide a physical location for your business.

Once filed, your LLC becomes a legal entity. This step is crucial for protecting your assets and establishing your business. After you pay the fee and file the paperwork, you’ll receive confirmation of your LLC’s formation.

LLC Operating Agreement Cost in New Jersey ($0 with Northwest)

Creating an operating agreement is important when forming an LLC in New Jersey. This document outlines your LLC’s operations, including roles, responsibilities, and other operational details.

The good news is that you can obtain an operating agreement with some services, like Northwest Registered Agent at no additional cost. This can save you money while ensuring you have the necessary documentation.

If you choose not to use a service, you might need to create the agreement or hire a lawyer.

Having a solid operating agreement helps prevent misunderstandings and protects your business. Even if you can get one for free, ensure it covers all essential areas to support your LLC’s operations.

New Jersey Registered Agent Fee ($0-$300/year)

When forming an LLC in New Jersey, you need a registered agent. This person or service receives legal documents on behalf of your business.

You have options for handling this. If you decide to be your registered agent, there is no fee. You just need to provide your name and address.

Hiring a professional New Jersey registered agent service usually costs between $100 to $300 per year. These services can offer added privacy and support while managing your legal paperwork. For example, LegalZoom charges around $249 annually, while ZenBusiness offers theirs at $199 annually.

If you choose Northwest Registered Agent, they have a great offer. They provide free registered agent services for the first year you use them to form your LLC. After the first year, their fee is $125 annually, which is competitive with other services.

Deciding on a registered agent is important. It affects your business’s privacy and compliance with state laws.

EIN Cost in New Jersey ($0 from the IRS website)

When starting an LLC in New Jersey, you might need an Employer Identification Number (EIN). This number is important for tax purposes and hiring employees.

Good news! Obtaining an EIN from the IRS is free. You can apply for it directly on their website.

Here’s how you can get your EIN:

• Visit the IRS Website: Go to the official IRS EIN application page.
• Complete the Online Form: Fill out the required information about your business.
• Submit Your Application: Once you’ve completed the form, submit it electronically.

The application process is straightforward. You’ll receive your EIN immediately upon approval.

Having an EIN is beneficial. It allows you to open a business bank account and helps you separate your personal and business finances.

New Jersey LLC Annual Report ($75/annually)

If you own an LLC in New Jersey, you must file an Annual Report each year. This report costs $75 and is due on the last day of your LLC’s anniversary month.

The Annual Report is important for keeping your business in good standing with the state. It’s a way for the state to keep updated records about your LLC, including your contact information and business activities.

Make sure to file your report on time to avoid penalties. Late filings can lead to your business being considered delinquent, which may cause further issues with your LLC status.

In addition to the Annual Report fee, if you have a multi-member LLC, there’s a New Jersey Minimum Partner Tax. This tax requires an additional $150 per member each year.

Fictitious Name/DBA Cost in New Jersey ($25)

If you want to operate your LLC under a name different from its legal name, you must register a “Doing Business As” (DBA) or fictitious name. In New Jersey, the cost to file this is typically $25 if your form is already notarized.

Here’s a breakdown of costs based on your filing method:

• File Online: $50 for sole proprietors and partnerships, $50 for LLCs.
• File in Person: $58 for sole proprietors and partnerships.
• Renewal Fee: Similar costs, usually $25 for corporations and $50 for LLCs and other entities, every five years.

To cancel your DBA, you must file the Dissolution of a Business Name Certificate, with fees ranging from $25 (if notarized) to $31 (if notarized at the clerk’s office).

LLC Name Reservation Fee in New Jersey ($50)

Securing your LLC name in New Jersey requires paying a $50 reservation fee. This step is essential to ensure that your chosen name is held exclusively for you while you complete the paperwork to form your LLC.

You can reserve your LLC name online or by mail. If you file online, an additional filing fee may apply, but it can save you time. This reservation lasts for 120 days, giving you ample time to finalize your LLC formation.

When naming your LLC, it is important to choose a unique name that complies with New Jersey’s regulations. Your name should include “LLC” or “Limited Liability Company” and be similar to existing entities.

New Jersey Standing Certificate ($50)

In New Jersey, a Standing Certificate is valuable for your LLC. This certificate proves your LLC is registered and in good standing with the state.

The fee for obtaining a Standing Certificate is $50. You can request this certificate through the New Jersey Division of Revenue. It is useful for various purposes, such as opening a bank account or securing loans.

You can choose to get the certificate as a short form or a long form. The short form is often sufficient for most needs. If you need more details about your LLC’s status, the long form might be a better choice.

Keeping your LLC in good standing is crucial. This includes filing annual reports and paying state fees. A Standing Certificate reflects your compliance with these requirements, which can boost your business credibility.

New Jersey Foreign LLC Registration Fee ($125)

If you want to operate a business in New Jersey with a foreign LLC, you’ll need to register it. This registration costs $125, and the New Jersey Division of Revenue and Enterprise Services receives the fee.

You’ll fill out the application for your foreign LLC to start the process. It’s important to have the correct information ready to avoid any delays. This registration is essential for legally conducting business in the state.

The application’s processing time usually takes 2 to 3 weeks. If you need it faster, you can pay extra to speed up the process. For $50, your application can be processed in 4 to 6 days. If you need it done even quicker, a fee of $100 will get it done in just 1 to 2 days.

Don’t forget to appoint a registered agent in New Jersey. This step is crucial for the smooth operation of your business in New Jersey. By being organized and ensuring you have a reliable agent, you can rest assured that your business is in good hands.

New Jersey LLC State Business License (varies by business type)

In New Jersey, there is no single state license that every business must have. Instead, you need to obtain a Business Registration Certificate. This certificate is important for tax purposes, including income tax, payroll tax, and sales tax on goods sold.

You must complete the NJ-REG form to get your Business Registration Certificate. This document registers your LLC and allows you to collect customer sales tax

Depending on the nature of your business, you might also need specific licenses or permits. For example, additional permits are necessary if your LLC handles hazardous materials or operates heavy machinery.

Here are some examples of specialized permits you may need:

• Hazardous Materials Permit: Required if your business deals with dangerous goods.
• Construction Licenses: Necessary for businesses involved in building or renovation.
• Food Service Licenses: Required if your LLC serves food to the public.

It’s important to check both state and local rules to ensure you comply with all regulations. This will help you avoid fines and keep your business running smoothly. Always research your specific industry needs to understand what licenses or permits are necessary.

New Jersey Minimum Partner Tax ($150 per member)

You must pay a minimum partner tax if you form a Multi-Member LLC in New Jersey. This tax is $150 for each member of your LLC every year.

This requirement applies if your LLC has two or more members. For example, if your LLC has three members, the total minimum partner tax would be $450.

Additionally, if you choose to set up your LLC as a corporation, be prepared for a higher cost. The minimum partner tax then increases to $375 per member.

When planning your LLC costs, make sure to budget for this expense. Missing this payment could result in penalties or issues maintaining your business status in New Jersey.

New Jersey LLC Taxes (varies)

When you form an LLC in New Jersey, you will face several types of taxes. Knowing these can help you plan effectively.

• Federal Income Tax: LLC members report their income on personal tax returns, and their tax rates range between 1.4% and 10.75%.
• Payroll Tax: If you have employees, you must pay payroll taxes, including Social Security, Medicare, and state payroll taxes.
• Sales Tax: If your business sells goods or services, you may need to collect sales tax. In New Jersey, the state sales tax rate is 6.625%.
• Accountant Fees: It is advisable to work with a qualified accountant. Depending on your needed services, fees typically range from $300 to $1,200 annually.
• Additional Taxes: Your LLC may be subject to other taxes, including specific industry fees or local taxes.

Understanding these tax obligations can save you money and help you stay compliant. Regularly reviewing your tax situation with your accountant will keep your LLC in good standing.

New Jersey LLC Reinstatement Fee ($75)

If your Limited Liability Company (LLC) in New Jersey is dissolved, you can reinstate it by paying a $75 fee. This straightforward process helps you get your business back on track.

To reinstate your LLC, you will need to complete specific steps online. You do not need to obtain tax clearance certificates if you file for reinstatement within two years after your LLC was revoked.

The reinstatement fee is essential for getting your business legally recognized again. It’s important to handle this promptly to avoid further complications or penalties.

Check to see if you have any delinquent annual reports. Fees for these can vary, but the current annual report costs $75. If you have missed filing previous reports, your total cost could increase.

New Jersey LLC dissolution fee ($95)

If you decide to dissolve your LLC in New Jersey, you must pay a dissolution fee of $95. This fee is required when you submit the Article of Dissolution.

In addition, there is a $25 tax clearance certificate application fee. This certificate shows that your LLC has paid all its taxes until the dissolution date.

Prepare your business information beforehand. When filing the dissolution, you will need details like your LLC’s formation date and entity ID.

You can handle the dissolution process online through the New Jersey state portal. This method is often quicker and more convenient than paper filing.

Understanding these costs can help you manage your business finances better. Being informed will ensure a smoother dissolution process for your LLC.

New Jersey LLC Change of Registered Agent Fee ($25)

Changing your registered agent for an LLC in New Jersey involves a filing fee of $25. This fee applies whether you file online, by mail, by fax, or in person.

To start the process, complete a specific form: the Statement of Change of Registered Agent. This document must be sent to the New Jersey Secretary of State.

If you prefer to file in person, expedited service costs an extra $15 for corporations and $25 for LLCs. It’s crucial to consider these costs when planning your changes.

Your registered agent must have a physical address in New Jersey. A PO Box is not acceptable. This agent should be available during regular business hours to receive important documents.

If you use a registered agent service, they often handle the paperwork. This can save time and make the process smoother.

Maintaining your LLC’s good standing is important. Updating your registered agent promptly helps you stay compliant with state regulations.

What is the Cheapest Way to Start a New Jersey LLC?

Starting an LLC in New Jersey can be done in several ways. The main cost is the $125 Certificate of Formation, which can be filed online conveniently.

You will save money if you do everything yourself without hiring a service. Many online services charge fees to help with the filing process. While they can make it easier, they add extra costs you should avoid.

Another way to cut costs is to skip other services. For example, reserving a business name costs $50, and registering a DBA (Doing Business As) name costs another $50. If your chosen name is available, you can avoid these fees altogether.

The cheapest way to start your LLC is to file the formation documents and avoid optional fees. This method keeps your initial cost at just $125. However, by doing everything independently, you will need to handle all the paperwork and understand the requirements without guidance.

One downside of this approach is the potential for mistakes in your filings. Errors can lead to delays or additional fees. Make sure you double-check everything to avoid issues.

Should You Use an LLC Formation Service in New Jersey? (here’s why)

Using an LLC formation service can be a smart choice for you. These services, like Northwest Registered Agent, simplify the process. They handle all the paperwork, making it easier to focus on running your business.

• Privacy Protection: An LLC formation service can help keep your personal information private. Your name and address may not appear on public records, adding a layer of security.
• Expert Review: Professionals will review your documents, ensuring compliance with state laws. It’s reassuring to have experts who understand the requirements and keep you on track.
• Paperwork Handling: Avoid the headaches of confusing paperwork. A formation service manages to file necessary forms correctly and on time, saving you from the hassle.
• Access to Experts: Many services offer free access to LLC formation experts and attorneys. This support is invaluable for answering questions and providing advice, especially for new business owners.

Frequently Asked Questions

How much does it cost to dissolve an LLC in New Jersey?

You must file a Certificate of Dissolution to dissolve your LLC in New Jersey. The filing fee is $100. If you have any outstanding taxes or fees, those must also be resolved before dissolution.

How much does it cost to reinstate an LLC in New Jersey?

Reinstating an LLC in New Jersey costs $100. You also need to pay any overdue annual reports or fees before your LLC can be reinstated.

Can I have multiple businesses under one LLC in New Jersey?

Yes, you can operate multiple businesses under one LLC. This is often referred to as a “series LLC” or just using one LLC for different ventures. Remember that each business activity must still comply with relevant local regulations.

Do I need a business license to have an LLC in New Jersey?

Yes, depending on the type of business you operate, you may need a business license. Local municipalities may have specific requirements, so check with your local government to ensure compliance.

Do I need an attorney to form an LLC in New Jersey?

Hiring an attorney is not required to form an LLC in New Jersey. However, it can be helpful if you want guidance on legal requirements or if your business situation is complex.

What Are The Ongoing LLC Operational Costs in New Jersey?

Ongoing costs include the $75 annual report fee and any business licenses or permits required for your operations. You may also need to pay for registered agent services if you choose not to serve as your own.

Should I hire an LLC formation service in New Jersey?

Hiring an LLC formation service can save you time and ensure all paperwork is filed correctly. This can benefit first-time business owners or those who prefer to focus on building their businesses.

Are there penalties for paying my fees late in New Jersey?

Yes, there are penalties for late payments. Pay your annual report fee on time to avoid late fees, and your LLC could avoid administrative dissolution.

What happens if I do not file my New Jersey LLC annual report?

Failure to file your LLC’s annual report can lead to penalties and potential business dissolution. Staying compliant with filing requirements is essential to maintaining your LLC’s good standing.