Is it necessary for an internet-based company to register as a foreign corporation in New York if the LLC is in Delaware?

Question

For launching a web-based C2C platform we were wondering where we should incorporate. If the biggest part of the team is operating out of NY, do we have to register there as well?

Answers: 1 public & 0 private

Andrew green
Lawyer

If your internet-based company is registered as a Delaware LLC, yet you have major operations in the state of New York, you will be required to register as a foreign entity. The benefit of this process is that you will then be able transact business New York, where your company was not formed. The downside of not doing is that you may be putting the protection of your company at risk.

Just to let you know, New York will require (1) an application from your company for authority forms; (2) a certificate of good standing from Delaware; (3) a filing fee; and (4) a registered agent in New York for the purpose of receiving any legal documents or service of process from the state.

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