Most New Jersey businesses cannot legally open, hire a single employee, or bid on a town contract until they clear one basic hurdle: registering with the state. That applies the same way to a bakery opening on Ferry Street in Newark's Ironbound, a surf shop a block from the boardwalk in Asbury Park, or a hardware store in downtown Trenton. According to the New Jersey Division of Revenue and Enterprise Services, any individual or company "doing business in New Jersey" must register if it withholds payroll taxes, contracts with a public agency, seeks a casino license, or applies for a state grant or tax credit.
The process differs depending on how the business is structured, and the state's own guidance lays out separate paths for corporations and LLCs versus sole proprietors and general partnerships. The Business News desk tracks how these state incentive and registration rules play out for shops and startups across New Jersey's towns.
What Is the First Step to Register a New Business in New Jersey?
For a corporation, LLC, partnership, or limited liability partnership, the first step is checking that the business name is actually available. The Division of Revenue and Enterprise Services runs an online Business Name Search tool for that purpose. Once a name clears, the owner needs an Employer Identification Number from the IRS, then a formal filing with the state.
Sole proprietors, general partnerships, and self-employed people skip the name-availability and formation-filing steps required of corporations and LLCs, but they are not exempt from state registration if they plan to hire, withhold taxes, or work with a public agency.
How Much Does It Cost to Form an LLC or Corporation in New Jersey?
Filing a Certificate of Formation or Authorization costs $100 for all for-profit entities and foreign nonprofit corporations, and $50 for domestic nonprofit corporations, according to the state's registration guidance. That filing is submitted through the Division of Revenue's online Business Formation portal, not by mail or in person.
The Certificate of Formation establishes the entity itself. It is a separate step from the tax and employer registration filing every operating business still has to complete afterward.
Do Sole Proprietors and Freelancers Need to Register Too?
Yes, in most working cases. An EIN is required for any business with employees and recommended even for one-person operations, the state notes, because it is what unlocks the next step: Form NJ-REG, the tax and employer registration form every business type files online with the Division of Revenue and Enterprise Services, regardless of whether it went through the formal Certificate of Formation process.
How Do I Get an Employer Identification Number?
An EIN comes from the IRS, not the state of New Jersey, and it is free. "Beware of websites that charge for an EIN," the IRS warns on its own application page. "You never have to pay a fee for an EIN."
The online application has to be completed in a single sitting — it cannot be saved partway through — and the session times out after 15 minutes of inactivity. An approved applicant gets the EIN immediately, the same session, along with a confirmation letter. The IRS limits each responsible party to one EIN per day, and the online system runs weekdays from 6 a.m. to 1 a.m. Eastern, Saturdays 6 a.m. to 9 p.m., and Sundays 6 p.m. to midnight.
What Is a Business Registration Certificate and Why Does It Matter?
Once the formation filing and the NJ-REG tax registration are both done, a business can obtain a Business Registration Certificate, or BRC. New Jersey businesses need one to bid on public contracts and to apply for state grants and tax credits — the kind of state and local incentive money that shows up regularly in redevelopment and reopening stories from Camden to the Jersey Shore.
Without a current BRC, a contractor cannot be awarded a municipal job, and a small business cannot be approved for the state grant and tax-credit programs that route money to storefronts and startups across New Jersey's towns.
Frequently Asked Questions
The following answers are drawn directly from New Jersey Division of Revenue and Enterprise Services and IRS guidance on business registration.
Do I need a lawyer to register a business in New Jersey?
State guidance does not require one. The Certificate of Formation, NJ-REG tax registration, and EIN application are all designed as self-service online filings through the state and IRS portals, though owners with complex ownership structures often still use an accountant or attorney.
How long does business registration take in New Jersey?
An EIN from the IRS is issued immediately upon approval in the same online session. The state's Certificate of Formation and NJ-REG filings are submitted online as well; the state's guidance does not publish a guaranteed processing window for those filings.
Is a Business Registration Certificate the same as a Certificate of Formation?
No. The Certificate of Formation creates the legal entity, such as an LLC or corporation. The Business Registration Certificate is issued after formation and tax registration are complete, and it is what a business needs to bid on public contracts or apply for state grants and tax credits.
Do sole proprietors need a Certificate of Formation?
No. Sole proprietors and general partnerships are not required to file a Certificate of Formation. They still generally need an EIN and must file Form NJ-REG to register for state taxes and, if applicable, as an employer.
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