How to Register a New Business

The Four Ways a Business Name Gets Registered

Per the SBA, registering a business name can mean up to four different things, and a single business may need more than one: an entity name, registered at the state level, which prevents others in the same state from using it for the same type of entity; a trademark, filed federally with the United States Patent and Trademark Office, which prevents others in the same or a similar industry anywhere in the country from using it; a DBA ("doing business as") or trade name, filed locally or at the state level, which lets a business operate under a name different from its legal or owner name but, by itself, provides no legal protection; and a domain name, registered through a domain registrar for the business's website, which doesn't need to match the legal business name at all.

Choose a Structure, Then File With the State

Before registering, decide on a business structure, since it determines what filing, if any, is required; see our guide on how to choose a business structure for the differences between a sole proprietorship, partnership, LLC, and corporation. An LLC files Articles of Organization and a corporation files Articles of Incorporation with the state's Secretary of State (or equivalent agency). State filing fees vary significantly, from $35 in Montana to $500 in Massachusetts. A sole proprietorship operating under the owner's own legal name typically doesn't file anything to form the business, though a different business name generally still requires a separate DBA filing, with its own fee set by the state or county.

Get an EIN and Any State Tax IDs

Once the state approves formation (or immediately, for a sole proprietorship that needs one), apply for a free EIN directly from the IRS; it's typically issued right away through the online application. An EIN is required to hire employees, open most business bank accounts, and file certain business tax returns, and the IRS is explicit that you should never pay a third-party site for one. Depending on the state, you may also need a separate state tax ID number for state income tax withholding or other state-level tax obligations; check directly with your state's tax agency, since the process varies.

Apply for Licenses and Permits

Most businesses need at least a general business license from their city or county, and many industries require additional licenses, such as health permits for food service or a professional license for a regulated field. If the business sells taxable goods or services, register for a sales tax permit with the state's revenue agency, typically at no cost. Requirements vary by industry and location, so confirm them directly with your city, county, and state licensing boards rather than assuming a single checklist covers every business.

Beneficial Ownership Reporting

The federal Corporate Transparency Act once required most new U.S. companies to report their beneficial owners to FinCEN. As of 2026, per FinCEN's own rule, that reporting requirement applies only to foreign entities that have registered to do business in a U.S. state or tribal jurisdiction; U.S.-formed companies and their owners are currently exempt. Check FinCEN's own site before assuming either way, since this requirement has changed since it first took effect.

Open a Business Bank Account

Once the EIN and formation paperwork (or business license, for a sole proprietorship) are in hand, open a business bank account. Per the SBA, this keeps business funds separate from personal funds, which supports the liability protection an LLC or corporation offers and makes bookkeeping and tax preparation simpler. Banks typically ask for the EIN or Social Security number, the formation documents, and a business license to open the account.

Registering a Name Is Not the Same as Trademarking It

Filing a DBA or forming an LLC with a given name only checks that name against other entities on file in that state; it doesn't stop a business in another state, or in a different industry, from using a similar name, and it doesn't check the USPTO's trademark database. If nationwide brand protection matters, that's a separate federal trademark filing.

Multi-State Businesses Register More Than Once

If the business will operate in a state other than where it was formed, it generally needs to register there too, as a foreign LLC or foreign corporation, with its own filing fee and often its own registered agent requirement. Factor this into your plans from the start if you already know you'll do business in more than one state.

Keep Proof of Every Filing

Save the state's approval of your formation or DBA filing, the IRS's EIN confirmation letter, and every license or permit together from the beginning. Banks, landlords, and clients routinely ask to see these documents, and recreating lost paperwork later is slower than keeping a folder from day one.

Some Industries Have Extra Registration Steps

A business selling alcohol, firearms, or certain other regulated goods, or one in a licensed profession such as healthcare or cosmetology, typically needs a federal or state license beyond the standard formation and local business license steps. Check your specific industry's regulator before assuming the general checklist covers you.

This Is Not Legal or Tax Advice

Which registrations, licenses, and tax IDs a specific business needs depends on its structure, industry, and location. Confirm requirements with your state, county, and city agencies, and talk to a tax professional about your specific situation before filing.