How To Form A Company In New Jersey

With our 5-step method, forming a company in New Jersey is simple. A company may be formed by submitting formation paperwork with your state and forming a board of directors.

We’ll teach you how to form your own company in New Jersey.

It is simple to establish a corporation in New Jersey.

In New Jersey, you may form a company by submitting the Certificate of Incorporation, drafting corporate bylaws, and naming your first director (s).

To get started, follow the steps in our How to Start a Corporation in New Jersey article below:

Step 1: Give Your New Jersey Corporation a Name

Step 2: Select a Registered Agent.

Hold an Organizational Meeting in Step 3

Step 4: Submit your Certificate of Incorporation.

Step 5: Obtain an EIN

Step 6: Submit Form NJ-REG

Step 1: Give Your New Jersey Corporation a Name

The first step in forming a company is to choose a business name. You must choose a distinct name that conforms with New Jersey corporate naming regulations.

1. New Jersey naming conventions:

One of the following terms or abbreviations must appear in your name: corporation, company, incorporated, corp., co. inc., or ltd (or words or abbreviations of like meaning in a different language).

Your name must be distinct from any other businesses in your state. This lists reserved names in New Jersey.

You must get permission to add any of the following banned terms in the name of your corporation:

olympiad, olympia, olympian, altius fortius, olympic, olympus, realtor, trust, United States Olympic Committee, urban renewal insurance, zip code, and USPS

Your company’s name cannot indicate that it was formed for a purpose other than the one specified in its Certificate of Incorporation.

2. Is my business name accessible in New Jersey?

Your New Jersey corporate name must be distinct and distinct from other New Jersey business names. To see whether your selected business name is available, use the New Jersey Division of Revenue & Enterprise Services Business Name Search.

3. Is the URL accessible?

Before forming your New Jersey company, check to see whether an appropriate URL for your preferred business name is accessible. Even if you don’t intend to create a company website right immediately, we recommend purchasing a web domain right away to avoid other companies from obtaining it.

Step 2: Select a Registered Agent in New Jersey.

When you form your company with the Division of Revenue & Enterprise Services, you must choose a New Jersey registered agent.

What exactly is a Registered Agent? A registered agent is a person or organisation chosen by an LLC or corporation to accept service of process, government communications, and compliance paperwork on behalf of a company.

Who Is Eligible to Be a Registered Agent? An person, a corporate organisation, or a professional registered agent service may serve as your registered agent. Any organisation or individual may act as your New Jersey registered agent as long as they:

is at least 18 years old

has a physical address in the state where business is done

is accessible during regular business hours (in person).

Step 3 Hold an Organizational Meeting

Before filing the Certificate of Incorporation formally in Step 4, you must conduct an organisational meeting to perform the following tasks:

Complete and sign the Certificate of Incorporation.

Establish and approve bylaws

Choose your first director (s)

Determine your ownership structure.

Fill out an Incorporator’s Statement.

Establish and Approve Corporate Bylaws

Bylaws are the rules that regulate and control how your organisation is governed and operated. Consider the bylaws to be your corporation’s constitution. It clarifies the norms and priorities for all parties involved.

The bylaws of a company will augment any regulations established by the federal government or the state.

Include the following in your bylaws:

The governance of the company, including the roles of directors and officials

Meeting processes, voting procedures, and the election of executives or directors

How will records be preserved and managed?

How will disagreements be resolved?

How will bylaws be added/modified in the future?

The annual shareholder meeting date

Contract Negotiation Techniques

Fiduciary responsibilities to the company (i.e. acting in the best interests of the corporation)

What is a quorum for voting purposes?

What exactly is a quorum? A quorum is the minimal number of members who must be present at a meeting in order for the meeting’s actions, including any votes, to be legitimate.

Appoint the First Directors

A minimum of one director must be appointed to monitor your New Jersey business until the first shareholder meeting.

A corporate director is in charge of operational bylaw adoption, modification, and repeal, as well as the election, monitoring, and removal of officers.

Following the incorporation of the company, the incorporator(s) — or initial director(s), if listed on the formation papers — shall convene an organisational meeting. During this inaugural meeting, either the incorporator(s) or the initial director(s) will elect the board of directors.

Selecting a Share Structure and Strategy

A share of stock is a corporation’s unit of ownership. Each share of stock reflects a proportion of the company’s ownership. If a business issues one share of stock, the shareholder (stock owner) owns 100% of the corporation.

Shares may be divided into classes. Each class, known as a share class, has unique rights and advantages. There may be several classes, and each class can have an unlimited number of shares.

The Certificate of Incorporation in New Jersey permits you to specify whether the company will issue more than one approved share class or series.

Indicate your corporation’s allowed share classes and the quantity of shares in each class in the “Other Provisions” section of the online company creation site.

NOTE: We suggest that you begin with a large number of authorised shares. Many lawyers advocate for a million dollars. Starting with a large number allows you to issue shares as required without incurring legal expenses to enhance your original permitted share size.

Make and implement an Incorporator’s Statement

The incorporator(s) shall sign and preserve an Incorporator’s Statement with the full names and addresses of all initial directors in the corporate records book.

The first director(s) named in this agreement will serve until the board of directors is chosen at the first shareholder meeting. It should be kept with the rest of your company’s records.

Step 4: Submit the Certificate of Incorporation to the State of New Jersey.

To form a company in New Jersey, you must submit the New Jersey Certificate of Incorporation. The Certificate of Incorporation is the formal document that establishes your New Jersey company. You may submit the form to the Division of Revenue and Enterprise Services online. The price for filing is $125.

This paper will address the fundamentals of your company, such as:

Statement of mission and corporate name

Name and street address of the corporate registered agent

The number of authorised shares that a company may issue.

Initial corporate director’s name(s) and address(es) (s)

The incorporator’s name(s) and address(es) (s)

The Certificate of Incorporation in New Jersey permits you to specify whether the company will issue more than one approved share class or series.

Indicate your corporation’s allowed share classes and the quantity of shares in each class in the “Other Provisions” section of the online company creation site.

 Step 5 Get an EIN for Your New Jersey Corporation

What exactly is an EIN? The federal government uses an Employer Identification Number (EIN) or Federal Tax Identification Number (FTIN) to identify a company organisation. It is effectively the company’s social security number.

Why do I need an EIN? An EIN is necessary for the following activities:

To establish a commercial bank account for the firm

In terms of federal and state taxation

To recruit workers for the firm

How can I get an EIN? After founding the firm, the business owner obtains an EIN from the IRS (free of charge). This may be done online or in the mail.

Registration

For tax reasons, all New Jersey firms must register their operations. This may be accomplished by submitting Form NJ-REG to the New Jersey Department of Treasury online.

You will need your state business identification ID number and your federal EIN before submitting this form. The form must be submitted within 60 days following the submission of your Certificate of Organization.