Start a Sole Proprietorship in New York
A sole proprietor is a single business owner who has control over every aspect of the company. To become a sole proprietor in New York, a business owner need do little else but obtain the licenses and permits necessary to operate the business. Sole proprietors are synonymous with their businesses, meaning the business and the owner are viewed as one in the same. In New York, they have unlimited liability for debts and liabilities that accumulate while operating the business.
Instructions
1. Select a name for the sole proprietorship. A sole proprietorship in New York will automatically be named after the owner of the business. However, a sole proprietorship may operate under a business name other than the owner's legal name.
2. Check with the county clerk's office where the business is located to ensure the proposed business name is available. Conduct a business name search on the New York Department of State website to ensure that no other corporation, limited liability partnership or limited liability company is currently using your sole proprietorship's proposed name. Look through your local phone book to ensure no other local businesses have a similar name.
3. File a "doing business as," also known as a fictitious business name. A sole proprietorship that wishes to operate under a fictitious business name in New York must file a business certificate with the county clerk's office where the sole proprietorship operates, as stated by the Business website. Provide information such as the proposed business name, length of time the name has been in use and the location of the business. The fee to file a fictitious name in New York varies from county to county.
4. Acquire licenses and permits. The licenses and permits required to operate a sole proprietorship in New York will vary according to the nature of the business. For example, a sole proprietor in New York who provides professional services, such as an electrician, will be required to obtain the proper state-issued occupational license. In addition, sole proprietorships in New York that sell goods will be required to obtain a sales and use tax license from the New York Department of Taxation and Finance. Contact the county clerk's office where the sole proprietorship operates to determine the local licenses and permits needed for the company.
