How Much Does It Cost to Start a Sole Proprietorship in NJ?

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Steps to Start a Sole Proprietorship in New Jersey:

  1. Choose a Unique Business Name: Ensure it is not already in use by another business.

  2. Register Your Business Name:

    • Register with the New Jersey Division of Revenue to protect the name.
    • Register with the county clerk where your business is located to prevent other businesses from using the name. Fees range from $50-54.

  3. Obtain Permits and Licenses: Requirements vary based on your industry.

  4. Get an Employer Identification Number (EIN):

    • Necessary if planning to hire employees.
    • It helps separate personal and business finances.

Hiring Employees and Contractors in a Sole Proprietorship:

  • Hiring Employees:

    • Obtain an EIN from the IRS.

  • Hiring Independent Contractors: No EIN required.

Cost of Registering a Sole Proprietorship in New Jersey:

The registration cost for a sole proprietorship in New Jersey is $50 when registering the business name with the county.

Additional Information:

While there is no state registration required, further steps may be necessary depending on your business activities.

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