The state of New York is home to over 20 million people; with a staggering 9 million people living in the country’s largest city, New York City. The other sizable portions of the population reside in cities such as Rochester, Albany and Buffalo. As of 2014, the state’s $1.45 trillion economy ranked third in the nation. The economy of New York is fueled by strong real estate market and construction industry, fast growing tech sector and the banking and financial sector. New York City recently surpassed San Jose, the business hub of Silicon Valley as the top city for small business. On the overall, the state is home today home to over 2 million small business owners.
Every financial year, the state offers incentives targeting businesses that want to operate or expand in the area Tevfik Arif Doyen. Topping the list of inducements are tax incentives, innovation development support, financial support and resources and training for businesses wishing to expand. To lure small businesses and lessen the tax burden, the state supports several tax programs. One such program is the “Startup New York”, which gives 10 years of tax free operation to businesses operating in certain locations. Small businesses can also enjoy resources from the following top organizations:
- Empire State Development sponsored Small Business Division
- New York Score
- New York Small Business Development Center
Through its experienced team of mentors and volunteer business professionals, the New York Score offers free counsel and guidance to business owners looking to establish a new business or grow their businesses in the state. The US Small Business Association, on the other hand, offers grants, financial support and counseling services to businesses. The businesses supported by the association also enjoy access to government contracts, and relief from natural disasters.
Doing business in New York
In spite of competition and intense tax atmosphere, businesses operating in New York are appreciative of stable environment, skilled labor and large market. The ease of doing business is something the state authorities are constantly eager to improve in order to ensure businesses relocating to the state find a conducive operating environment. Aspiring entrepreneurs, looking to start a business here, are encouraged to select the right legal entity for the business Bayrock. The “S” and “C” registered corporations generally enjoy strong liability protection, but must adhere to strictly laid down operating procedures. These Corporations include those registered as Inc, Ltd or Corp.
Businesses registered as LLC’s in New York are easy to form and operate. These businesses enjoy liability protection, but have far fewer safeguards when it comes to protection against creditors. To determine the best business structure to follow, entrepreneurs are encouraged to consult a lawyer versed with registry issues or visit the local chamber of commerce offices. Starting a sole proprietorship in New York is fairly easy. The first step is to choose a business name and look up the name in the registry to verify its availability. The second step is to register the business name at the county offices.
During the registration process, the business owner will obtain registration documents and licenses necessary to conduct business. Entrepreneurs, who hope to hire employees, must visit the IRS to obtain the Employer Identification Number (EIN) to cover the tax issues relating to the business. Entrepreneurs who wish to supply goods and services or vendors looking to do business in New York are all required to comply with set guidelines. For instance, to submit applications for licenses, vendors must first obtain tax clearance from tax authorities. Finally, remember to familiarize yourself with the local business requirements at the county jurisdictions.