Registering a Delaware LLC in New York
If your Delaware LLC plans to have a physical presence in New York, you will need to complete a foreign qualification. Here are some common situations that require qualification in New York:
- Opening an Office in New York
- Serving New York Customers
Reasons to Incorporate in Delaware
More than one million business entities benefit from Delaware’s incorporation services, including modern corporate laws, a respected Judiciary, and business-friendly government.
Requirements for Registering to do Business in New York
To register your Delaware LLC in New York, you must file an Application for Authority with the Secretary of State. This involves a $250 filing fee and obtaining a certificate of good standing from Delaware ($50 fee). Additionally, you must fulfill the publication requirement within 120 days of filing, costing between $500-$1,000.
Determining if You Need to Register in NY
Every situation is unique, and consulting a qualified business attorney can help you understand your requirements and the optimal path forward.
Exceptions to Qualifying in New York
New York provides exceptions for activities not classified as "doing business." If your operations fall under these exceptions, you may not need to qualify in New York.
Foreign Qualification Process
When operating your Delaware LLC in another state, you must complete a foreign qualification process to comply with local laws.
Benefits of a Delaware LLC
Delaware LLCs offer liability protection, lower franchise taxes, and flexibility for operating in multiple states.
Disadvantages of Delaware LLC
Delaware LLC costs are slightly higher compared to other states, and franchise taxes may increase with higher turnover.
Additional Information and Steps
- Check with the New York Secretary of State for specific licensing requirements.
- Online business registration in New York may vary based on the business structure.
- Consult an attorney for guidance on launching an LLC in Delaware.