My LLC is registered in Philadelphia and I'm looking to expand into NJ. Does anyone know if I can just start operating there or do I need to register as a foreign entity? I'd rather not pay for a second LLC if I don't have to.
Interstate Business
Can a Philadelphia LLC operate a business in New Jersey?
I think you would need to file a Certificate of Authority in NJ to operate as a foreign LLC. We did it when our PA company hired employees in Jersey.
What absecon_dad said. Registering with the NJ Division of Revenue is the first step. The fees weren't terrible but the annual report gets annoying.
Depends on what 'operate' means. If you're just selling online to NJ customers, probably not. If you have a physical office or employees there, yes you need foreign qualification.
I'd recommend calling the NJ Business Action Center. They walke me through the whole foreign LLC filing and didn't try to sell me anything. Make sure you have a registered agent address in NJ too.
Actually the legal term is 'foreign registration' – your PA LLC stays the same entity, you're not doubling up. Just filing paperwork so NJ knows you're there.
Thanks for the clarification. The online selling part is interesting because I do ship to NJ occasionally. Would that alone trigger anything?
Shipping in isn't usually the trigger for registration. It's more about physical presence. But if you're doing a lot of business in NJ you should look at the sales tax rules separately.
One thing I forgot – the registered agent can't be a PO box. Has to be a physical street address in NJ during normal business hours.
I'm a solo consultant with a PA LLC who does some NJ clients. I never registered as foreign because I don't have an office or employees in NJ. My accountant says that's fine. But I don't want to give legal advice.
MonmouthMaven that's a gray area. If you're physically going to client sites in NJ, that Could count as doing business. Some people get away with it for years, but it can bite you if there's a dispute.
Whatever you do, don't just start operating without checking. NJ has a habit of sending notices (and back fees) if they find out later. The foreign registration itself is straightforward – it's the ongoing compliance that gets people.