Is your client considering incorporating his or her new business in New Jersey? This could be a good idea for many reasons. Bordered on the north and east by New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania, and on the southwest by Delaware, there are many opportunities for businesses of various industries. New Jersey is also the second-wealthiest U.S. state by 2011 median household income.
Starting a business in New Jersey means reviewing the steps for incorporating in that state. The following must be included to file a Certificate of Business Formation with the New Jersey Department of the Treasury:
- The business name and entity. Your client’s business cannot share the same name as another business or the same name as a natural person, and you will need to include a “business designator” such as “Inc., Corp., Corporation, Ltd., Co., or Professional Corporation.” The Commercial Recording Office of the New Jersey Department of the Treasury will automatically check for name availability. You must also choose the type of business from a list of “legally recognized business entities.”
- Business Purpose. Your client’s new business must have a purpose. It may be specific or “general”, meaning that the corporation has been organized “to engage in any activity within the purposes for which corporations may be organized under NJSA 14A:1-1 et seq.” Essentially, the corporation may serve any lawful purpose.
- Information about stock shares. You’ll need to know the number of shares of stock, which must be at least one. A “par value,” or stated value, is not required.
- Registered Agent’s information. The Agent may be a person or a corporation duly registered in New Jersey. You must include the name, New Jersey address, and contact information of the Registered Agent. The Agent is charged with sending and receiving corporate documents and correspondence on behalf of the corporation. Talk to us about setting your client up with a Registered Agent in each of the 50 states.
- Incorporator’s information. The incorporator files the Certificate of Business Formation and any other official documents required by the state. There must be at least one incorporator whose name, address, and signature is listed on the Certificate of Business Formation.
- Directors’ information. The corporation must have at least one director. Each director’s name and street address must be listed. For professional corporations, the law requires that a minimum of one director be a shareholder and be licensed or legally authorized, within New Jersey, to provide the professional service for which the corporation is formed.
- Annual reports. All corporations, limited partnerships, limited liability companies and limited liability partnerships (domestic or foreign) must submit annual reports and associated filing fees each year. The filing fees are $50.00 for corporations; $50.00 for limited liability companies; and $25.00 for non-profit organizations.
- Additional articles/provisions may be added.
For more information on how to incorporate in New Jersey, or to start the incorporation process today, contact the experienced business formation specialists at Attorneys Corporation Services, Inc.