Launching a business this year? The early months will shape more than your bottom line. From how you pay yourself to how you’re taxed, your first few decisions have a ripple effect. And while it’s easy to focus on sales, branding, or your first hire, compliance is what keeps your business running smoothly in the background.

Here’s a clear checklist for what to handle in your first 90 days, especially if you’re building a business in New York.

1. Choose and File Your Business Entity

Your entity structure determines your liability, tax treatment, and even how investors view you. Most small businesses in New York choose from these:

• Sole proprietorship: Fast and cheap to start, but no legal separation between you and your business.
• LLC: Offers liability protection and flexibility, especially for solo founders or partnerships.
• S corp or C corp: Typically for businesses that plan to raise capital or scale quickly.

If you’re forming an LLC in New York, you’ll also need to publish formation notices in two newspapers for six weeks. It’s an old rule, but it still applies. And skipping it can create complications down the line.

2. Get Your EIN from the IRS

An Employer Identification Number (EIN) is required to open a business bank account, hire employees, or file business taxes. You can apply for free through the IRS online portal.

Even sole proprietors with no employees often benefit from having one—it adds professionalism and avoids using your personal Social Security Number.

3. Register for NY State and Local Taxes

If you’ll be hiring employees or selling taxable products or services in New York, you’ll need to register with the NYS Department of Taxation and Finance. That might include:

• Sales tax (for physical or digital products)
• Withholding tax (if you’ll run payroll)
• Unemployment insurance (for any W-2 staff)

You can knock all of this out through the Business Express NY portal. If you’re unsure whether you need to register, it’s better to check now than to be caught unregistered after revenue starts coming in.

4. Open a Business Bank Account

Keeping your business and personal finances separate isn’t just good form—it protects your liability shield and makes taxes easier.

To open a business account, you’ll typically need your EIN, business formation docs, and operating agreement (if applicable). If you plan to take digital payments or apply for loans later, having a business account from the start makes those steps easier.

5. Understand What You Owe—and When

Taxes hit fast in your first year. Here’s what to be aware of:

• Estimated taxes: If you expect to owe $1,000 or more in federal taxes for the year, you’ll likely need to make quarterly payments. These are due April 15, June 15, September 15, and January 15.
• Self-employment tax: If you’re a sole proprietor or single-member LLC, you’ll be responsible for both the employer and employee side of Social Security and Medicare taxes.
• Annual filings: LLCs may need to file a federal return (usually a Schedule C or Form 1065), and New York State returns like Form IT-204 or IT-203-B.

These deadlines can sneak up on new business owners. A simple tax calendar or recurring reminder can help, or better yet, talk to an accountant early.

6. Set Up Basic Bookkeeping

Tracking income and expenses from day one makes tax season far less painful. You don’t need to over-engineer it—just choose a bookkeeping method you’ll actually keep up with. That could be:

• A spreadsheet
• QuickBooks or Wave
• A monthly service through your accountant

Clean records help you understand your cash flow, back up deductions, and avoid expensive mistakes. Even if your business is small today, bookkeeping habits compound.

7. Don’t Overlook Local Requirements

Depending on your location or industry, you may need:

• City permits or business licenses
• Health department clearance (for food, fitness, or childcare businesses)
• Professional certifications (for legal, medical, or financial services)

NYC, for instance, requires certain businesses to file with local agencies in addition to the state. It’s worth a quick call to your county clerk or small business office to double-check.

Start Smart

When you handle the compliance piece early, everything else—from hiring to funding to filing taxes—gets easier. You’ll avoid late fees, protect your assets, and gain peace of mind knowing your business is built on solid ground.

Starting a business in 2026? Let’s make sure it’s built to last. The Holtz Group can help with formation, filings, bookkeeping, and beyond.