Doing business in New Jersey can be a complex process, with a variety of rules and regulations to follow. To ensure that local and foreign companies are on an equal footing, a foreign corporation must obtain a certificate of authority. Additionally, obtaining a federal employer identification number (EIN) from the IRS is often necessary for banks to open an account in the company's name, and other companies may require an EIN to process payments. The New Jersey Online Business Training Service provides a simplified way to submit training and authorization certificates for business entities.
It's important to note that the requirements for business permits and licenses vary between local, county, and state governments. All legal entities must file annual reports, and corporations are liable for corporate business tax from the date of formation to the date of dissolution of the corporation. Businesses that have contracts with public agencies in New Jersey, such as local governments, state agencies, universities, school boards, and casinos, will require a business registration certificate. Companies operating out of state must file Form NJ-REG to obtain a business registration certificate.
In addition to understanding the rules and regulations of doing business in New Jersey, it's important to consider your own interests, skills, resources, availability, and the reasons you want to form a company. An insurance agent can help you explore different coverage options, which may include general liability insurance to protect your business against claims related to bodily injury or property damage. Subcontractors and contractors must provide a business registration certificate when doing business in New Jersey. Finally, it's important to understand how liability works when conducting business in New Jersey.
In tax law, “nexus” is a term that defines the degree to which a company has a presence in a state or locality. Whether you can be held personally liable for your company's debts depends on the structure of your company and how it was formed.