HOW TO SET UP AN LLC

Setting up my LLC in New York, while way more easier than I had anticipated, was still not as straight forward.

I started with googling “How to set up an LLC in NYC” and clicked on the the Department of State website, checked name availability again (this time with the DoS), followed the instructions for completing the Articles of Organization, filled in the paper work and paid $240. The same day I received all the filing receipts, certified copies, etc. I was ecstatic. I had my own company as a professional organizer. I was doing it, not just talking about doing it.

The thing is, in my enthusiasm to get things done, and embrace imperfection, I hadn’t done all the research. I was not yet completely done setting up my LLC.

After I emailed my lawyer and my accountant about the good news, both congratulated me and asked about the publication. I had no clue what they were talking about so googled some more and landed here with step by step instructions:

Step 1: Name Your LLC - I had done that, checked availability and registered domain names. www.cluttercutter.space / www.cluttercutter.me / www.cluttercutter.online

Step 2: Choose a Registered Agent - I had completely missed that step and had a moment of panic until I got confirmation this step is not necessary if you are in NY. Phew! This step definitely has pros and cons. The pros is that having an agent could help you save money on publication costs, and you don’t have to list your personal address if you work from home. The con is that it does cost money to have an agent.

Step 3: File Articles of Organization - I had done that and thought that’s where it ended. But no…

Step 4: Follow Publication Requirements - Well that was quite an unexpected step and additional expenses. I had 120 days to publish a notice of LLC formation in two newspapers (one weekly and one daily) for six successive weeks in my county. The clerk was the one to tell me which papers I was allowed to publish in and gave me codes to send to the publications. I had to pay each publisher for their service. After the publication, the papers sent me affidavit of publications which I faxed along with a Certificate of Publication and credit card info for more payment ($50, and if you want it expedited, which they recommend, it’s at least an additional $25 fee). The instructions were to mail the Certificate and Affidavits with a check or money order to New York Department of State, Division of Corporations, One Commerce Plaza, 99 Washington Avenue, Albany, NY 12231. But after calling the division, I was given a fax number I could use to transmit all the paper work and payment.

Step 5: Create an Operating Agreement - not necessary if you are on your own.

Step 6: Get an EIN - I opted to apply for it online on the IRS website and immediately got my number.

And now you are in business and can open a Business Bank Account.