State Law: Forming a Partnership

Choose your state from the list below for state-specific information on forming a partnership:

Forming a Partnership in California

Here is an outline of the steps you need to follow in order to form a partnership in California. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to file a Fictitious Business Name Statement in the county in which your primary place of business is located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you will be paying at least $100 to an employee or employees (who are not partners) in a quarter, you are subject to employment taxes and must register for a California employer account number within 15 days of paying that $100. You can register for employment taxes and get an account number online using the Employment Development Department's website. You must pay these taxes quarterly. For more information on being an employer, including tax information, see the California Employer's Guide.

Whenever you hire an employee in California, you must inform both the IRS and the State of California. The IRS details all of the necessary steps, including verifying work eligibility and withholding allowances certificates, on its page entitled Hiring Employees. You can find information for the state level in the California Employer's Guide and on the website for California's New Hire Reporting Program.

If you have any employees in California, you must carry workers' compensation insurance. The Division of Workers' Compensation administers this program.

There may be other informational returns that you will have to file annually or semi-annually with either the IRS or the State. For more information, check out the IRS Guide To Information Returns and California Franchise Tax Board's Information Returns page.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You probably will need a Tax ID number (EIN) and either a copy of the partnership agreement or the business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Florida

Here is an outline of the steps you need to follow in order to form a partnership in Florida. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to apply for permission to use a "fictitious business name" with the Florida Department of State. You can file a Fictitious Name Registration Form by mail, or you can submit it online. There is a $50 fee to file.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

Register for Florida business taxes online using the Florida Department of Revenue Online Registration service. The State has compiled a Start-Up Kit for New Business Owners that includes tax forms and brochures for each type of tax for which you will be responsible.

Whenever you hire an employee in Florida, you must inform both the IRS and the State of Florida. You can find details of all the necessary steps including verifying work eligibility and withholding allowances on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the Florida New Hire Reporting Center.

If you have four or more employees in Florida, you must carry workers' compensation insurance.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Georgia

Here is an outline of the steps you need to follow in order to form a partnership in Georgia. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to register the name as a "fictitious" or "assumed" business name. In Georgia, you do this by registering with the Clerk of Superior Court of the county where your business is principally located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

Register for Georgia business taxes using the Georgia Department of Revenue website. The Department of Revenue website has detailed instructions on the different taxes and the registration process.

Whenever you hire an employee in Georgia, you must inform both the IRS and the State of Georgia. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information about reporting new hires at the Georgia New Hire Reporting Website.

If you have three or more employees in Georgia, you must carry workers' compensation insurance.

As a business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Illinois

Here is an outline of the steps you need to follow in order to form a partnership in Illinois. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to register the name as a "fictitious" or "assumed" business name. In Illinois, you do this by applying for permission to use an "assumed name" with the county clerk's office in the county where your principal place of business will be located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have an employee or employees in Illinois (other than you and your partners), you must register with the Illinois Department of Employment Security. You can find additional information on the Tax Registration Page of the Illinois Business Portal.

All new business owners must register for business taxes with the Illinois Department of Revenue. For details, see the the Tax Registration Page of the Illinois Business Portal.

Whenever you hire an employee in Illinois, you must inform both the IRS and the State of Illinois. The IRS details all of the necessary steps to complete, including verifying work eligibility and withholding allowances certificates, on its page entitled Hiring Employees. You can find information on what to do on the state level on the New Hire Reporting section of the Illinois Business Portal.

If you have one or more employees in Illinois, you must carry workers' compensation insurance. You may choose to obtain workers' compensation insurance for yourself, but you do not need to. (If you have a workers' compensation policy for your employees, you must contact your insurance company if you DO NOT want to be covered.)

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

Partnerships must pay property replacement tax at a rate of 1.5% of net income by filing this form annually.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Indiana

Here is an outline of the steps you need to follow in order to form a partnership in Indiana. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to register an "assumed business name" with the county recorder in the county of your primary place of business.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have any employees in Indiana (other than yourself and your partners), register for employment/withholding taxes online using the BT-1 Business Tax Application. The Department of Revenue provides instructions on the registration process.

Whenever you hire an employee in Indiana, you must inform both the IRS and the State of Indiana. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the Indiana New Hire Reporting Center website.

If you have employees in Indiana, you must carry workers' compensation insurance. You may choose to purchase it for yourself, but you do not have to do so.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

The Indiana Department of Revenue has a useful booklet on other partnership tax obligations.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Massachusetts

Here is an outline of the steps you need to follow in order to form a partnership in Massachusetts. You should also read the general section on forming a partnership for information that is applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to obtain a "dba certificate" at the city or town hall in the area where the business will be located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have an employee or employees in California (other than you and your partners), you will need to register for Massachusetts withholding-payroll taxes using the Massachusetts Department of Revenue business registration page. If you have questions about business taxes, the Massachusetts Department of Revenue has many publications that should be able to answer your questions. The Guide to Employer Tax Obligations is especially useful.

Whenever you hire an employee in Massachusetts, you must inform both the IRS and the Commonwealth of Massachusetts. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the Massachusetts New Hire Reporting Center website.

If you have employees in Massachusetts, you must carry workers' compensation insurance. The Department of Industrial Accidents administers this program.

As a business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Michigan

Here is an outline of the steps you need to follow in order to form a partnership in Michigan. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to file an assumed name form with the county clerk in the county (or counties) where you will be doing business.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have any employees in Michigan (other than yourself and your partners), you need to register for Michigan business taxes using the Business Tax e-Registration website. There, you will find forms and instructions for all business taxes. You can find more information on this process in the Michigan Business Taxes Registration Booklet.

Whenever you hire an employee in Michigan, you must inform both the IRS and the State of Michigan. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the Michigan New Hire Reporting Center website.

If you have three or more employees in Michigan or have employed anyone for at least thirty-five hours per week for thirteen or more weeks, you must carry workers' compensation insurance. If you are not required to have worker's compensation and you choose not to do so, you must get a certificate of exemption from the Insurance Division. More information is available in An Overview of Workers' Compensation in Michigan.

As a business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in New Jersey

Here is an outline of the steps you need to follow in order to form a partnership in New Jersey. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to register the business name with the county clerk in the county in which your business is located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

All new businesses must register with the New Jersey Division of Revenue using the Business Registration Application. Upon registering, you will receive the forms, returns, instructions, and other information needed to comply with New Jersey law.

Whenever you hire an employee in New Jersey, you must inform both the IRS and the State of New Jersey. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information about reporting new hires at the New Jersey New Hire Reporting Directory.

If you have any employees in New Jersey other than you and your partners, you must carry workers' compensation insurance. More information is available in An Employer's Guide to Workers' Compensation in New Jersey. You may choose to obtain insurance for yourself, but are not required to do so.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in New York

Here is an outline of the steps you need to follow in order to form a partnership in New York. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to file a Certificate of Assumed Name with the county clerk of the county where your business is located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have an employee or employees in New York (other than you and your partners), you need register for New York employment taxes. You can learn more about and register for employment taxes at the New York State Department of Taxation and Finance's Business Taxpayer Home Page. An especially useful publication on that site is the Employer's Guide to Unemployment Insurance, Wage Reporting, and Withholding Tax.

Another useful publication for new business owners is the New York State Tax Guide for New Businesses.

Whenever you hire an employee in New York, you must inform both the IRS and the State of New York. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the New York New Hire Home Page.

If you have employees in New York, you must carry workers' compensation insurance.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

If your business is located or does any business in New York City, you may be subject to the NYC Unincorporated Business Tax. This tax mainly applies if you have at least $75,000 in gross revenues or $35,000 in profits. For more information, see New York City Taxes.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in North Carolina

Here is an outline of the steps you need to follow in order to form a partnership in North Carolina. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to apply for permission to use an "assumed business name" with the office of the register of deeds in the county where your business is located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have any employees in North Carolina (other than yourself and your partners), you need to register for NC employment taxes at any of the taxpayer service centers located throughout the state. The Department of Revenue has a directory of taxpayer service centers that will guide you to the most convenient location.

Whenever you hire an employee in North Carolina, you must inform both the IRS and the State of North Carolina. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the North Carolina New Hire Reporting website.

If you have three or more or employees other than you and your partners, you are required to carry workers' compensation insurance. The North Carolina Industrial Commission administers the program. Its website has a useful FAQ.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Ohio

Here is an outline of the steps you need to follow in order to form a partnership in Ohio. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to file Form 534 with the Ohio Secretary of State. The filing fee is $50. On the same form, you may register your business name as a "trade name," which provides protection against other businesses using the name in Ohio. Additionally, you should check with your county or city clerk's office to see if there is a local fictitious name registration requirement.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have any employees in Ohio (other than yourself and your partners), you need to register for Ohio employment taxes using the Ohio Business Gateway.

Whenever you hire an employee in Ohio, you must inform both the IRS and the State of Ohio. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the Ohio New Hire Reporting Center.

If you have an employee or employees in Ohio, you need to obtain workers’ compensation coverage or be granted the privilege of self-insurance for liabilities. The Ohio Bureau of Worker's Compensation administers the program.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Pennsylvania

Here is an outline of the steps you need to follow in order to form a partnership in Pennsylvania. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

You can use the Search for a Business Entity page to check the availability of your desired name in Pennsylvania. The Name Availabilities page on the Pennsylvania Department of State's website has additional information.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to file a Application for Registration of Fictitious Name with the Pennsylvania Department of State. The filing fee is $70. You can either register your fictitious name online using the Online Business Registration Interview interface or download the appropriate form and mail it into the Department of State.

Pennsylvania also requires that you publish an advertisement in two newspapers in the county where your business is located, stating that you have filed or intend to file a fictitious business name registration application. The advertisement must contain the following information:

The fictitious name;

The address, including street and number, if any, of the principal office or place of business of the business to be carried on under or through the fictitious name;

The name and address, including street and number, if any, of the person filing the registration; and

A statement that an application for registration of a fictitious name is to be or was filed "under 54 Pa.C.S. (relating to names)."

One of the newspapers must be a legal periodical or newspaper. If there is no legal periodical or newspaper published in the county, then two newspapers of general circulations are sufficient. If there is only one newspaper of general circulation in a county, advertisement in that newspaper is sufficient. The Department of State has a list of legal newspapers. Proof of satisfaction of the advertising requirement should not be submitted to the Department of State, but the partnership should retain proof in its business records.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have an employee or employees in Pennsylvania (other than yourself and your partners), you need to register for Pennsylvania employment taxes through the Online PA-100 interface or the Online Business Registration Interview interface.

Whenever you hire an employee in Pennsylvania, you must inform both the IRS and the Commonwealth of Pennsylvania. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information on reporting new hires at the Pennsylvania New Hire Reporting website.

If you have an employee or employees in Pennsylvania, you are required to carry workers' compensation insurance. The Pennsylvania Department of Labor & Industry administers the program.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Texas

Here is an outline of the steps you need to follow in order to form a partnership in Texas. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to register it as an "assumed business name" with the county clerk in the county where your business is located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have an employee or employees in Texas (other than yourself and your partners), you are subject to Texas employment taxes. You can register online using the Texas Employer Portal. For more information on being an employer in Texas, request a copy of the Employer Handbook.

Whenever you hire an employee in Texas, you must inform both the IRS and the State of Texas. You can find details of all the necessary steps including verifying work eligibility and withholding allowances on the Hiring Employees section of the IRS website. You can find state-level information about reporting new hires at the Texas Employer Portal.

Texas employers can choose whether or not to provide workers' compensation coverage to their employees. The Texas Department of Insurance, Division of Workers' Compensation administers the program.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in the District of Columbia

Here is an outline of the steps you need to follow in order to form a partnership in the District of Columbia. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to apply for permission to use a "trade name". The cost to register a trade name is $50.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

The District of Columbia issues what is known as a Basic Business License (BBL) to new local businesses. The Department of Consumer and Regulatory Affairs website has a helpful Basic Business License Information page, which includes an online interface to help you determine whether you need a BBL.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

Register for District of Columbia business taxes using the FR-500 Combined Business Tax Registration service. This service will tell you what taxes you will be responsible for (including income and employment taxes), guide you to what forms you will need to file, and tell you when they must be filed.

Whenever you hire an employee in the District of Columbia, you must inform both the IRS and the District of Columbia. The IRS details all of the necessary steps to complete, including verifying work eligibility and withholding allowances certificates, on its page entitled Hiring Employees. Information on what to do on the District level will be detailed when you register for taxes using the FR-500 Combined Business Tax Registration service.

If you have employees in the District of Columbia, you must carry workers' compensation insurance.

There may be other informational returns that you may have to file annually or semi-annually with both the IRS and the District of Columbia. For more information, check out the IRS Guide To Information Returns and the DC Business Resource Center's Report Requirement and Deadline Generator.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Virginia

Here is an outline of the steps you need to follow in order to form a partnership in Virginia. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

2. Register the business name with local, state, and/or federal authorities.

If you will be operating your partnership under a name that is different from your name and that of your partners, then you will need to register the name with the Office of the Clerk of the Circuit Court in the county where your business is located.

Although you are not required to do so, you should consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Obtain any required local licenses.

Please see the general section on forming a partnership for details.

5. Determine what tax and other regulatory obligations your partnership has, and take care of any necessary registrations.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

If you have an employee or employees in Virginia (other than yourself and your partners), you need to apply for a VEC (Virginia Employment Commission) account number. You can do this via the Online Services for Businesses website, which can also register you for other business taxes (if applicable).

Whenever you hire an employee in Virginia, you must inform both the IRS and the State of Virginia. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information at the Virginia New Hire Reporting website.

If you have three or more employees in Virginia, you need to carry workers' compensation insurance. The Virginia Workers' Compensation Commission administers the program.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)

Forming a Partnership in Washington

Here is an outline of the steps you need to follow in order to form a partnership in Washington. You should also read the general section on forming a partnership for information applicable in any state.

1. Choose a business name for your partnership and check for availability.

Please see our section on choosing and checking the availability of a name for your small business, as well as our section on the trademark law aspects of choosing a name.

Consult Access Washington for information on how to check the availability of your desired business name in Washington.

2. File a Master Business Application with the Washington Department of Licensing.

Washington uses a single form for many of the steps needed to start a business. This form is called the Master Business Application.

Before filing out the Master Business Application, get the Business Licensing Guide so that you will fill out the application correctly.

You can file the Master Business Application by printing out the form and mailing it, applying online, or by visiting a business licensing office in person. The filing fee is $20, which is a processing fee of $15, plus $5 to register a trade name.

When you file the Master Business Application, you will receive a state business license and a Unified Business Identifier (UBI) number.

The Master Business Application lets you register a "trade name" for your business, which you need to do if you will operate your partnership under a name other than your name and that of your partners. In addition to this, consider registering your business name as a federal and/or state trademark. Please see the Trademark for Business Naming section for details.

The Master Business Application also lets you create a state employment account, which you need to do if you will have an employee or employees in Washington. You should not set up an employment account unless you plan to employ someone in the next 90 days.

Check your local county or city clerk's office for any additional licensing requirements.

3. Draft and sign a partnership agreement.

Although not legally required, it is strongly suggested that you and your partners sign a partnership agreement laying out the rights and responsibilities of the partners. For details, please see the Partnership Agreements section.

4. Get an Employer Identification Number from the IRS.

Request an Employer Identification Number (EIN) from the IRS. This can be done via its online application. There is no filing fee.

5. Report Any New Hires.

Whenever you hire an employee in Washington, you must inform both the IRS and the State of Washington. You can find details of all the necessary steps, including verifying work eligibility and withholding allowances, on the Hiring Employees section of the IRS website. You can find state-level information about reporting new hires at the Washington New Hire Reporting website.

If you have an employee or employees in Washington, you need to carry workers' compensation insurance. The Washington State Department of Labor & Industry administers the program. Its website has a useful Intro to L&I's Workers' Comp Insurance page.

As a small business owner or employer, there may be other informational returns that you have to file annually or semi-annually with the IRS. For more information, take a look at the IRS Guide To Information Returns.

6. Open a bank account for your business.

It is a good idea to keep your business's finances separate from your personal accounts. A good way to do this early on is by opening a bank account for your business. You will probably need a Tax ID number (EIN) and either a copy of the partnership agreement or a business name filing indicating the partners' names. (Here is one example of the documentation banks ask for.)