Starting a business in North Dakota is a thrilling and rewarding experience, but registering your business might seem a bit daunting, especially if you’re new to entrepreneurship. Don’t worry, though! With the right guidance and resources, you can make the registration process much simpler.
In this article, we’ve compiled a step-by-step guide to help you navigate business registration in North Dakota. You’ll find helpful tips and resources to smooth out the process. Whether launching a brand-new venture or formalizing one already underway, this guide will walk you through seven easy steps.
We understand that registering a business in North Dakota can present some challenges. That’s why we’ve also gathered a list of top services, like Northwest Registered Agent, to support you every step of the way. So, let’s get started and dive into the details of registering your business in North Dakota!
>> North Dakota Business Registration – Northwest Registered Agent >>
Featured Partner
Northwest Registered Agent
Start with an LLC
for $39 + state fee
Priority Support Team
24/7
Form an LLC online
Fast And Easy
How to Register Your Business in North Dakota in 7 Simple Steps
Registering your business in North Dakota is effortless if you have a well-defined strategy. Follow these seven straightforward actions to register your business in North Dakota quickly and set it on the road to prosperity.
Step 1: Choose Your Business Structure
When registering a business in North Dakota, the most suitable business structure for your venture and growth goals depends on its nature.
Previously, we explored the options for incorporated and unincorporated businesses in North Dakota. Now, let’s delve into these choices and their operational aspects.
It’s important to note that if you choose a structure that requires incorporation, like the ones mentioned below, you must register your business with the North Dakota Secretary of State.
Sole Proprietorship
Sole Proprietorship is the most basic form of business structure. In this arrangement, the owner and the business are considered one entity in the eyes of the law.
This means that any debts or liabilities incurred by the business are ultimately the responsibility of its owner. Setting up a Sole Proprietorship is a relatively simple process with minimal legal and administrative obligations. While registering your Sole Proprietorship with the state isn’t mandatory, obtaining local permits or business licenses may be necessary.
General Partnership
A General Partnership is a business co-owned by multiple individuals who collectively share profits and losses. Each partner assumes personal accountability for the company’s debts and legal commitments.
While registering a General Partnership isn’t mandatory in North Dakota, submitting a “North Dakota Assumed Name Certificate” (DBA) in your business’s county might be necessary. This ensures compliance with local regulations and establishes your business identity.
Limited Partnership (LP)
In North Dakota, a Limited Partnership comprises one or more general partners who are accountable for overseeing the company and have unrestricted personal responsibility. It also includes one or more limited partners who contribute capital but have restricted liability. To create an LP in North Dakota, you must submit a “Certificate of Limited Partnership” to the Secretary of State in North Dakota.
Limited Liability Company (LLC)
A Limited Liability Company (LLC) is a versatile business framework that merges the liability protection offered by a Corporation with the tax advantages and ease of operation associated with a partnership.
When establishing an LLC in North Dakota, the “Articles of Organization Limited Liability Company” must be submitted to the North Dakota Secretary of State, and an Operating Agreement outlining the company’s management and ownership structure must be drafted.
Corporation
In North Dakota, there exist two categories of Corporations: one that offers limited liability protection and is a separate legal entity from its shareholders.
- C-Corporations
- S-Corporations
To form a company in North Dakota, the first step is to submit either the “Articles of Incorporation For-Profit Corporation” or the “Articles of Incorporation Nonprofit Corporation” to the North Dakota Secretary of State, depending on whether your business is for-profit or nonprofit.
Corporations have additional requirements such as drafting bylaws, issuing shares, and holding regular meetings with board members and shareholders.
Choosing a business structure that best suits your needs is essential. Consider factors like liability protection, taxation implications, and management requirements. If you need help making this decision, seeking guidance from a legal professional or someone experienced in the field would be wise.
>> North Dakota Business Registration – Northwest Registered Agent >>
Step 2: Select a Unique Business Name
You must follow specific regulations when naming your registered business in North Dakota. You have three methods to choose from: registering a legal entity name, obtaining a trademark, or registering a legal name and operating under a different one. It’s essential to familiarize yourself with the specific requirements North Dakota sets.
The approach you take in naming your business will depend on your entity’s unique needs and circumstances, similar to the process of incorporating it.
You may follow all three routes to ensure your business name remains exclusive. Alternatively, you can choose just one of the options. While not mandatory, using the same name across all registration methods makes sense.
Now let’s explore each naming option available in North Dakota:
Legal Entity Name
Businesses operating in North Dakota must register a unique legal entity name as the company’s official identification. It’s crucial that the chosen name is distinct and doesn’t overlap with any other business name.
In North Dakota, specific regulations govern using suffixes such as LLC, LP, or Corp in company names. It’s important that the name accurately represents the type of business being registered. Businesses can use the online database provided by the North Dakota Secretary of State to check if a desired name is available.
Trademark
In North Dakota, businesses rely on trademarks to safeguard their unique names or logos and protect them nationally. Conducting a thorough search in the USPTO database is crucial to ensure that your name or logo isn’t already registered.
Once your trademark is registered, it provides exclusive rights and prevents others from using the same or similar name or logo for similar products or services.
This registration offers comprehensive protection across the nation. However, obtaining a trademark doesn’t automatically grant unrestricted usage of the name or logo in every circumstance.
Doing Business As (DBA)
In North Dakota, you can register your business using an official name while operating under a different one. This is referred to as a Doing Business As (DBA) name.
To establish a DBA, you must submit an Assumed Name Certificate (DBA) to the county clerk’s office where your business is located. Despite being subject to federal trademark laws, a DBA doesn’t need to be unique at the state level.
By familiarizing yourself with these naming options and considering them, you can successfully register your business name in North Dakota and safeguard your brand identity.
>> North Dakota Business Registration – Northwest Registered Agent >>
Step 3: Consider Taxes and Other Costs in North Dakota
These are the potential taxes a North Dakota LLC might be obligated to pay.
- North Dakota Income Tax: LLCs in North Dakota must pay North Dakota income tax on the profit they earn. The tax rate ranges from 2.0% to 5.0%, increasing gradually based on the income earned by the LLC
- North Dakota Sales Tax: If you’re operating an LLC in North Dakota and you sell physical goods within the state, it’s likely that you will be required to collect sales tax. The current sales tax rate in North Dakota stands at 5.5%
- North Dakota Use Tax: LLCs based in North Dakota that buy physical items from other states and use them within the state might be required to pay use tax. The rate of use tax is equal to the rate of sales tax
- North Dakota Property Tax: LLCs in North Dakota that possess real estate in the state might be required to remit property taxes. The rate of these taxes is determined by the evaluated worth of the property
- North Dakota Unemployment Insurance: LLCs based in North Dakota that employ individuals must contribute to unemployment insurance taxes. The tax rate for unemployment insurance is set at 1.2% of the initial $9,000 in wages disbursed to each employee
- North Dakota Workers’ Compensation: LLCs in North Dakota that employ individuals might need to cover the costs of workers’ compensation insurance. The premium rate for this type of insurance is determined by factors such as the company’s industry and employee count
North Dakota LLCs may be subject to various taxes, including federal income tax, sales tax, and unemployment insurance taxes. The specific taxes that apply to a particular North Dakota LLC will vary based on the company’s unique details.
You should seek advice from a tax advisor to determine which taxes your LLC handles. Entrepreneurs in North Dakota can simplify their registration process by utilizing online services like Northwest Registered Agent.
Northwest Registered Agent allows business owners to complete paperwork with the Secretary of State, obtain an Employer Identification Number (EIN), and establish an operating agreement. Ongoing compliance help is also available through Northwest Registered Agent to help businesses maintain a favorable standing with the state.
>> Register Your Business With Northwest Registered Agent >>
Step 4: Register and Acquire Licenses and Permits in North Dakota
To register your business in North Dakota within the confines of the law, you must obtain several licenses and permits.
The following is a summary of the licenses and permits that may be required:
Tax Registration
- Sales and Use Tax Permit: To sell goods in North Dakota, you must obtain a sales and use tax permit from the North Dakota Office of the State Tax Commissioner (STC). Registration can be completed via the North Dakota Taxpayer Access Point.
- Employer Withholding Tax: If you plan on having staff members in North Dakota, you must also enroll with the STC for employer withholding tax.
Employer Identification Number (EIN)
If your company employs people or has a separate tax status, it must acquire a federal Employer Identification Number (EIN) from the IRS. Even if it isn’t required, having an EIN can be advantageous for banking matters and when interacting with other businesses.
Regulatory Licenses and Permits
- Health and Safety: To comply with regulations, it may be necessary for your business to acquire health and safety permits, depending on your operations
- Environment: Certain companies might necessitate permits for safeguarding the environment, managing waste, or controlling pollution
- Building and Construction: If you’re engaged in the construction or remodeling industry, you may require certain licenses or permits that pertain to building codes and regulations
- Specific Industries or Services: Some sectors or occupations, like eateries, medical centers, transport providers, or professional firms, might cause specific licenses or permits particular to their industry
You can consult the Licensing Information section on the official state website to obtain regulatory licenses and permits issued by the state. This section will give you detailed information about the agencies responsible for granting licenses and permits relevant to your business operations.
Research and adhere to all federal, state, and local regulations to ensure your business operates within legal boundaries and avoids any potential penalties or fines.
>> Register Your Business With Northwest Registered Agent >>
Step 5: Open a Bank Account for Your Business in North Dakota
Once you have acquired your Employer Identification Number (EIN), you may start opening a business bank account in North Dakota.
Establish a separate business bank account to comply with the regulations governing Limited Liability Partnerships (LLPs), Limited Liability Companies (LLCs), and Corporations. However, sole proprietors and unincorporated partnerships aren’t required to maintain distinct personal and business accounts.
Setting up a business account in North Dakota is straightforward. It involves visiting your local bank and completing the required paperwork. It’s advisable to compare rates and benefits different banks offer before selecting a specific provider.
Whether you’re operating as a sole proprietor or an unincorporated partnership in North Dakota, having a dedicated business bank account is wise as it ensures a clear separation between your personal finances and those related to your business activities.
Should you decide to incorporate your business in the future, this will save you from encountering significant difficulties.
>> Consider Northwest Registered Agent >>
Step 6: Protect Your Intellectual Property in North Dakota
In North Dakota, if you have a business, it’s crucial to safeguard your valuable Intellectual Property (IP). This includes protecting your business name and logo from being copied and used by others.
Depending on whether you deal with goods or services, you may also want to secure the design of your products or any creative works like writings, designs, or music that you produce.
Different approaches are available to achieve this in North Dakota. Starting these processes early on is beneficial as it helps prevent unauthorized IP use.
Trademark
In the state of North Dakota, a trademark is a recognizable emblem, expression, term, or blueprint that sets apart a specific product or service from others on the market.
To ensure proper legal protection, trademarks must be officially registered with the United States Patent and Trademark Office (USPTO). The registration procedure typically takes anywhere from four to six months to finalize. Once successfully registered, the trademark becomes safeguarded nationally, and legal action can be pursued against unauthorized use.
Businesses operating in North Dakota can safeguard their trademarks by registering them with the USPTO. This protects their brand identity and reputation and grants them legal recourse if their trademark is used without permission.
Copyright
North Dakota upholds copyright law to safeguard original works like literature, music, art, and other creative expressions. This includes written content, software, web material, movies, audio recordings, images, etc.
Once a new creation is made in North Dakota, the creator automatically receives copyright protection. As the exclusive owner of rights to distribute or reproduce Intellectual Property and create derivative works or sell them commercially, you possess legal authority over how your work is used.
Registering your copyright with the U.S. Copyright Office offers extra legal protection and serves as evidence of ownership. By registering your copyright in North Dakota, you can shield your work from infringement while also having the means to enforce your rights through court if necessary.
Patent
If you develop a new product or piece of machinery in North Dakota, obtain a patent for it. A patent gives the owner exclusive rights to the item and prevents others from producing, selling, or bringing in the patented item for a specified period.
Obtaining a patent is complex and can take up to five years to finish. Therefore, start the process early if you have an original invention that needs protection. Patent applications are sent to the United States Patent and Trademark Office (USPTO).
Protecting your Intellectual Property in North Dakota can safeguard your brand, products, and creations. This ensures that your business stays ahead of the competition and remains successful.
>> Visit Northwest Registered Agent >>
Step 7: Set Up Your Payment Infrastructure in North Dakota
To ensure that your business registered in North Dakota is fully prepared to cater to customers once you’re registered, it’s crucial to establish a payment system that’s seamless and convenient.
Various payment processing services are available. These services offer user-friendly interfaces and can easily integrate with your website or point-of-sale (POS) system. Well-known options like Square, Stripe, and PayPal provide flexible and customizable solutions according to your business objectives.
With these payment processors, you can accept a wide range of payment methods, including credit cards, debit cards, ACH transfers, and digital wallets such as Apple Pay and Google Pay.
By choosing a reliable payment processing service provider, you can offer your customers the convenience of paying using their preferred methods through a secure platform. This ensures that both parties have a smooth transaction experience.
It’s imperative to guarantee adherence to the sales tax regulations in North Dakota. This requires acquiring a sales and use tax permit from the Office of the Tax Commissioner in North Dakota. This permit will allow you to collect sales tax on items and services subject to taxation.
Once your payment system is set up, your business based in North Dakota will be fully prepared to effectively and securely cater to customers and generate income.
By adhering to these guidelines, you’ll be well on your way toward establishing a legally compliant business in North Dakota.
>> Register Your Business With Northwest Registered Agent >>
Top 6 Business Registration Services for North Dakota Entrepreneurs
Entrepreneurs and small business owners have various options when registering their businesses in North Dakota.
Various registration services are available to meet their specific needs, providing solutions for establishing and maintaining compliance with state and federal regulations. Below are some of the best business registration services tailored for entrepreneurs in North Dakota.
Northwest Registered Agent is a digital platform that provides online business registration services, compliance management, and document filing help. It’s well-known for its high standards of quality and outstanding customer service.
Their main goal is to offer personalized support to help businesses comply with state and federal regulations. Northwest Registered Agent offers a wide range of comprehensive services for LLCs, Corporations, and Nonprofits to meet the unique requirements of entrepreneurs in North Dakota.
>> North Dakota Business Registration – Northwest Registered Agent >>
Tailor Brands is a digital platform that specializes in helping businesses create a polished and unified brand presence. Their offerings encompass an array of branding options, such as designing logos, business cards, and social media assets.
Tailor Brands equips enterprises with diverse design tools and resources to personalize their branded materials. Tailor Brands aids entrepreneurs in North Dakota by crafting visually appealing brand identities that resonate with their target audience.
>> Register Your Business in North Dakota With Tailor Brands >>
BusinessRocket represents a leading-edge digital platform dedicated to delivering essential services for business registration in North Dakota.
Through its intuitive interface and expert help, BusinessRocket simplifies every aspect of the process, spanning from selecting the appropriate business framework to handling all necessary paperwork and obtaining requisite licenses.
This platform tailors solutions to address the unique needs of individual clients, ensuring efficiency, cost-effectiveness, and steadfast compliance with state regulations.
Leveraging intuitive tools and ample resources, BusinessRocket equips entrepreneurs to embark on their ventures and delegated administrative responsibilities to seasoned industry professionals.
ZenBusiness is a specialized online platform that offers services for business registration, registered agent assistance, annual report filing, and more.
They offer cost-effective pricing plans and comprehensive packages with personalized guidance and valuable resources to help businesses stay compliant and drive growth.
With its easy-to-use website, ZenBusiness provides an efficient process to simplify the journey of business registration for entrepreneurs in North Dakota.
>> Register Your Business in North Dakota With ZenBusiness >>
Swyft Filings, a well-known service for business registration, provides efficient and uncomplicated options for forming businesses such as LLCs and incorporations. They deliver personalized help and valuable resources to navigate registration while adhering to state and federal regulations.
Swyft Filings simplifies business registration in North Dakota by offering an intuitive website and affordable pricing choices, catering to entrepreneurs’ needs.
>> Register Your Business in North Dakota With Swyft Filings >>
Bizee is a digital platform that provides speedy and economical services for setting up businesses. They offer various packages, including registered agent services, compliance management, and document filing.
Using their user-friendly and efficient platform, Bizee makes the process of business registration hassle-free for entrepreneurs in North Dakota. They offer ongoing support and resources to help businesses maintain compliance and achieve growth.
Entrepreneurs in North Dakota can explore different business registration services to find the best option that suits their specific needs. This will ensure a seamless and effective registration process while meeting all requirements.
>> Register Your Business in North Dakota With Bizee >>
Business Registration Laws in North Dakota
The North Dakota Secretary of State regulates business registration laws in North Dakota. If you’re considering registering a business in North Dakota, it’s important to remember the following important aspects:
- Business Entity Types: North Dakota acknowledges various forms of business organizations, such as Sole Proprietorships, General and Limited Partnerships, Limited Liability Companies (LLCs), and both C Corporations and S Corporations.
- Name Reservation: If you plan to register your business in North Dakota, reserve a business name through the North Dakota Secretary of State might be a good idea. This reservation offers temporary protection for your desired name for a specific duration, allowing you sufficient time to finalize the registration procedure.
- Choosing a Business Name: When choosing a name for your business, make sure it’s distinct and not misleadingly similar to any other registered business in North Dakota. The name must adhere to the North Dakota Secretary of State’s guidelines, which include avoiding restricted words or phrases.
- Registering a Business: To register your business in North Dakota officially, you must submit the paperwork to the North Dakota Secretary of State. The documents required will differ based on the type of business structure you select.
For instance, if you opt for an LLC, you must file Articles of Organization, whereas a Corporation must file Articles of Incorporation.
- Registered Agent: In North Dakota, most business entities are required to designate a registered agent.
A registered agent can be an individual or organization authorized to accept legal documents and official communication on behalf of the business. The registered agent must have a physical address located within North Dakota.
- Business Licenses and Permits: Depending on the type of business you run, you may need to acquire extra licenses and permits from local, state, or federal government bodies. Investigating and adhering to the applicable licensing prerequisites unique to your particular industry is crucial.
- Employer Identification Number (EIN): If your company intends to hire staff or establish itself as a Corporation or Partnership, you’ll probably be required to acquire an Employer Identification Number (EIN) from the Internal Revenue Service (IRS). This unique number serves the purpose of tax identification and can conveniently be obtained through the official IRS website.
- State Taxes: Businesses registered in North Dakota are subject to multiple taxes, such as income tax, sales tax, and use tax. it’s crucial to acquaint yourself with the state’s tax laws and obligations to ensure you comply with all the requirements.
Depending on your business operations, you may have to meet additional regulatory obligations. This could involve securing specific permits for certain professions or industries, such as businesses that deal with alcohol or healthcare services. Complying with industry-specific regulations is also essential.
To ensure accurate and current information tailored to your unique business requirements, it’s recommended to seek guidance from a legal or business expert or directly contact the North Dakota Secretary of State’s office. They can provide detailed and up-to-date information relevant to your needs.
>> Register Your Business With Northwest Registered Agent >>
Alternative Business Registration Methods in North Dakota
The conventional approach to business registration in North Dakota entails submitting the required paperwork to the Secretary of State’s office.
There are alternative methods accessible for specific business types or situations. Here are several alternate approaches to registering a business in North Dakota:
Online Registration
The North Dakota Secretary of State offers a convenient online registration portal for specific businesses. Entrepreneurs can easily complete the registration process and submit all necessary forms online, making it a hassle-free option.
Professional Licensing Boards
Suppose you’re embarking on a venture in a field that necessitates licensing, such as healthcare or legal services. In that case, it may be necessary to register or acquire a license from the professional licensing board beside the Secretary of State’s office.
For instance, healthcare practitioners must obtain licensure from either the North Dakota Board of Medical Examiners or the North Dakota Board of Nursing.
Trade Name Registration
If you intend to conduct your business using a name other than your own or the official name of your business entity, you may need to register a trade name. This is also commonly referred to as a “doing business as” (DBA) name.
In North Dakota, trade name registration is typically carried out at the county level. To find out about the specific requirements and procedures, get in touch with the county recorder or clerk’s office in the location where your business is operating.
Limited Liability Company (LLC) Formation
You can establish an LLC in North Dakota by filing your formation documents online via the Secretary of State’s website or by sending them by mail. The online method is usually quicker and more convenient.
Corporation Formation
When registering a business in North Dakota, you can either file online or through the mail. Online filing is preferred due to its efficiency.
It’s crucial to remember that although these alternative methods are accessible, the specific criteria and procedures may differ depending on your business nature.
It’s advisable to refer to the North Dakota Secretary of State’s website or consult with professionals for guidance on following the appropriate registration process for your unique circumstances.
>> Try Northwest Registered Agent Today! >>
Benefits of Registering Your Business in North Dakota
Registering your business in North Dakota offers many advantages. Let’s explore a few of the benefits that come with registering your business in this state:
- Legal Recognition: When you register your business in North Dakota, you’re ensuring that it’s officially acknowledged and operates within the state’s legal system.
This process establishes your business as its own distinct legal entity, which offers protection against liability for the owners and shareholders.
- Limited Liability Protection: One of the key benefits of establishing a Corporation or LLC in North Dakota is the valuable protection it provides against personal liability.
By doing so, owners can safeguard their assets from being held responsible for any debts or liabilities incurred by the business, thereby reducing potential financial risks on an individual level.
- Access to Business Loans and Funding: Businesses registered in North Dakota may have an advantage in obtaining business loans, grants, and funding opportunities.
These resources are made available by the state government, financial institutions, and various organizations. This can provide the essential funds needed to either launch a new business or expand an existing one.
- Tax Benefits: Businesses registered in North Dakota can take advantage of many tax benefits. The state boasts a comparatively low corporate income tax rate and doesn’t levy a personal income tax.
North Dakota offers an array of incentives for businesses, including credits for research and development, credits for angel fund investments, and property tax deductions. These advantages make North Dakota an attractive location for businesses looking to maximize their profitability while minimizing their tax obligations.
- Business-Friendly Environment: North Dakota is recognized for its favorable business conditions and the government’s backing of such ventures. The state actively promotes economic growth, encourages entrepreneurship, and fosters innovation, positioning itself as an appealing destination for companies.
The North Dakota Department of Commerce and various other agencies offer valuable resources, support services, and networking platforms to businesses to aid in their success.
- Skilled Workforce: In North Dakota, there’s a proficient and knowledgeable workforce, specifically in sectors like energy, agriculture, manufacturing, and technology. By registering your business in the state, you can tap into a pool of highly skilled employees who aid in finding and keeping talented workers for your company.
- Infrastructure and Logistics: North Dakota possesses a strong infrastructure and logistics network, encompassing properly maintained roadways, airports, railway systems, and connectivity to prominent transportation corridors.
This can streamline the smooth flow of commodities and services, simplify business activity execution, and expand market reach.
- Quality of Life: North Dakota presents an excellent standard of living characterized by reasonable living expenses, minimal crime levels, and a tight-knit community. It creates a secure and encouraging atmosphere for entrepreneurs and their staff members, making it an appealing destination for residence and employment.
Here are a few advantages of registering your business in North Dakota. Before deciding, it’s crucial to consider your unique business requirements, industry, and long-term objectives.
Seeking guidance from a lawyer or business consultant can assist you in comprehending the legal and financial consequences of registering your business in North Dakota.
Is Business Registration Required in North Dakota?
In North Dakota, businesses typically need to undergo registration procedures with the state. The requirements for registration may vary depending on factors such as business type, industry, and other pertinent considerations.
Some common types of registrations include obtaining a North Dakota Sales and Use Tax Permit, registering a Limited Liability Company (LLC) or Corporation in North Dakota, and acquiring specialized licenses or permits specific to certain sectors.
Conducting extensive research on the particular prerequisites for registering your business in North Dakota is essential to guarantee adherence to regulations and avoid possible legal and financial consequences.
>> Get Started With Northwest Registered Agent >>
How to Register Your Business in North Dakota – Frequently Asked Questions
>> Register Your Business With Northwest Registered Agent >>
Bottom Line on How to Register Your Business in North Dakota
Registering a business in North Dakota means you’ll need to navigate state laws and regulations. To start on the right foot, following the steps and meeting all the requirements is essential. Begin by choosing a business name and legal structure that aligns with the guidelines set by the North Dakota Secretary of State.
Take care of the paperwork and secure any licenses or permits specific to your industry. A service like Northwest Registered Agent can make this process smoother and ensure you’re fully compliant.
Properly registering your business helps you avoid legal and financial issues and sets a strong foundation for long-term success. By prioritizing this crucial step, you’ll ensure your venture is on the right track from day one.
>> Get Started With Northwest Registered Agent >>
Related Articles
- Best LLC Formation Services
- How to Start an LLC in North Dakota
- Cost to Form an LLC in North Dakota
- File a DBA in North Dakota