Moving your New York or New Jersey business from one state to another creates a host of practical and legal concerns, but it is possible. If the new state is more business-friendly, the move may actually benefit in the long run.
The process of relocating your New York or New Jersey business largely depends on its corporate structure. As with most other business tasks, the sole proprietorship is the most straightforward, while corporations pose the biggest headache.
Sole proprietorships and partnerships: Business owners only need to file a “Doing Business As” (DBA) registration in the new state and terminate the registration in the old state. Depending on the type of business you run, you may also need to obtain licenses and permits before you can become operational in the new state.
Limited liability corporations: Owners of an LLC have several options. The first option is to continue the existing LLC in the new state by registering as a foreign LLC. The second is to liquidate the existing LLC and form a new LLC in the new state. The third choice is to form an LLC in the new state and merge the existing business into it.
Corporations: C and S corps also have several ways to relocate, much like LLCs. However, shareholders must consent to the decision if it involves liquidation, merger or other material changes impacting shareholders. The options include registering as a foreign corporation in the new state; dissolving the old corporation and forming a new one; and reorganizing by merging the existing corporation into a corporation in new state.
Of course, registering in the new state is not the only legal and business concern. Business owners should carefully evaluate the costs of relocating, including moving staff, supplies, inventory and equipment, as well as the potential tax implications. There is also the need to look at the agreements and contracts the business has with its owners, management, employees and third parties, which may be affected by the move. To fully evaluate the range of issues you may face, it is best to consult with an experienced business attorney who can guide you through the process.
Before You Buy: Managing Real Estate and Permitting Risk for BESS Projects in New York and New Jersey
For developers pursuing battery energy storage system (BESS) projects, finding the right property is only the beginning. BESS site selection is as much a legal and transactional exercise as a real estate decision, with risk analysis central to the project’s ultimate success. Key Takeaways The core questions for BESS site selection in New York and […]
What Business Owners Get Wrong Before Meeting a Litigation Attorney
What should you expect when meeting a litigation attorney about a business dispute? You should expect to describe the dispute in your own words, hand over the most important documents, flag any deadlines or immediate threats, and leave with a clearer picture of the problem, what information is still needed, and the likely next steps. […]
Arbitration vs. Litigation vs. Mediation: What New Jersey Businesses Should Know Before Signing a Contract
Arbitration resolves disputes privately before an arbitrator whose decision is usually final, while litigation resolves them in court with full rights of appeal. Whether a business ends up in arbitration or litigation is often decided when it signs the contract, long before any dispute arises. Key Takeaways When facing a contract dispute, carefully consider your […]
Can You Own Part of a New Jersey Business Without a Written Agreement?
Can you own part of a business in New Jersey without a written agreement? Yes, it is possible. Under New Jersey’s Uniform Partnership Act, a partnership can arise when two or more people carry on a business as co-owners for profit, whether or not they ever intended to form one. Ownership doesn’t necessarily depend on […]
Crisis-Proofing Your New Jersey Business: Building a Crisis Response Plan Before You Need One
For New Jersey businesses, crisis preparedness should be viewed as a legal and operational function, not simply an emergency-management exercise. A well-designed crisis response plan can help preserve evidence, protect confidential communications, meet reporting obligations, limit unnecessary exposure, and prevent an already difficult situation from becoming a larger legal problem. Key Takeaways A serious crisis […]
Monmouth County's Next Development Wave: What Developers and Investors Need to Know
Monmouth County is entering a significant new phase of development. For those looking to acquire property or undertake a new project, understanding the market opportunity is only the beginning. The more important question is whether a particular property can actually be developed as contemplated and what approvals, agreements, and other conditions will be required to […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
