Connecticut, called “the Constitution State,” is well known for firsts. It was the setting for the country’s first music school, the first public library, and the first Webster dictionary. Before you file paperwork, you should pick a name for your business. Connecticut, like all states, has rules you must follow. The name must be available in the state, which means you will need to do a business search.
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How to check business name availability in Connecticut
One of the challenges of picking a name for your business is to create one that is distinctive and unique. This is the most important aspect because your name must be distinguishable from all other businesses in Connecticut. Here is how to check to see if the name you want is available.
1. Go to the state’s business services website
Connecticut has an online search page where you can begin your search for different business names.
2. Type the name you want
These can also be keywords if you don’t have an exact name picked.
3. Use the advance tool
This tool shows you if the exact name matches your selection. It can be helpful to see if there are any businesses in the state with your exact name.
4. Hit search
The tool will bring up a list of businesses with names that include your keywords or name selection. You may want to adjust your words or alter your name choice and search again until you get a unique name.
5. Consider reserving a name
After running a Connecticut business name search, you have two options: You can reserve a name or you can register the name. You should reserve the name if you aren’t planning to set up the business immediately.
Connecticut allows business owners to reserve a name for 120 days for $60.
To do so, you’ll fill out a quick form and provide the payment.
Again, you don’t need to reserve a name if you plan to officially set up your business with the state of Connecticut, but if you’re just doing some homework and plan to set up your business later, reserve the name now so it’s not taken when you’re ready.
6. Check domain name availability
We created a tool that makes it easy.
How to name your Connecticut business
Now that you know a little more about the business landscape in the state, it’s time to start generating a list of names for your business. To do so, follow these steps:
1. Write down basic details about your business
Start by creating a verbal picture of your business. Think about what your business will offer and who it will serve. Will you sell a specific product or service? Who’s going to buy it? Jot down a few details about your company as a starting point.
Next, start creating a list of adjectives that describe your business. Think in terms of keywords. What keywords would your customer use to find the product or service that you offer? Write them down.
2. Stay away from initials and hard-to-say words
There are plenty of businesses that include initials, like A&J Plumbing, but consider upping your game with something a bit more creative and descriptive.
The same goes for names that are hard to say. If your last name is Stackowaski, for example, it’s not conducive to a business name because it’s too hard to pronounce.
3. Don’t pigeon-hole your business
Be careful not to select a name that limits your company’s potential growth. Think about where your business will be in five, ten, even twenty years, and take that into consideration when creating a name.
A company named Bob’s Bargain Books, for example, is a good name, but what if they plan to sell vintage records and cassettes down the road? The name only refers to books, so when vintage music is added people won’t associate it with the store.
4. Consider using a name generator
At this point, you probably have a list of a few ideas. Rather than brainstorm a bunch of different combinations, why not try a name generator? You simply enter a few of the adjectives that you came up with into the search bar and you’ll get a list of possible names.
Name generators can take some of the hassles out of creating a name. Most name generators will only show you available names too, which is helpful.
Check out some of Namechk’s name generators below:
What kind of business structure is right for your Connecticut company?
As you research available business names in Connecticut, you’ll also want to think about what kind of business you want to establish. There are a handful of options to choose from, but some of the most common are Sole proprietorship and LLC.
- A sole proprietorship is ideal for small businesses with no employees that want to test their business out. There’s virtually no paperwork to set up this kind of business, which is a plus. However, a sole proprietorship is not a separate business entity, which means you’re financially and legally responsible for any problems that might arise.
- An LLC, or limited liability company, provides a certain amount of liability protection. Your personal assets and your business are separate with this business structure, which means if the business is sued or goes bankrupt, you will not be forced to use your personal cash reserves to bail the business out.
Steps to register your Connecticut business
Ready to set up your business in CT? Here’s what you do:
1. File your Articles of Organization
Visit the Connecticut Secretary of State website and fill out the Articles of Organization. To fill this out, you’ll need to have an available business name, address, and contact information.
2. Name a registered agent
You’ll also need to name a registered agent. A registered agent is the point-person for your company who will receive important documents like tax notices or legal documents.
A registered agent must be trustworthy and be available during regular business hours when documents are delivered. The business owner can serve as the registered agent in Connecticut, or another person or company can be named.
You might decide to name your accountant or co-founder, for example. You can also hire a registered agent service to serve in this role. Northwest Registered Agent, ZenBusiness, and Bizee are a few examples. These companies will receive documents on your behalf and notify you of their arrival.
3. Pay the filing fee
Every state charges a filing fee to file LLC formation documents with the government. In Connecticut, the cost is $120.
4. Wait for approval
Connecticut will review your application and typically provides approvals within seven to ten business days. Once approved, your business is officially set up.
Our picks of the best registered agent services
Connecticut small business facts
You may feel the beautiful countryside of Connecticut is calling you to start a business immediately, but there are some facts about the state’s economy you need to know first. You can find out more through the U.S. Business Administration:
- The state has 350,376 small businesses, making up 99.4 percent of all businesses.
- Small businesses in Connecticut employ 745,085 workers, which makes up 48.5 percent of the entire workforce.
- The unemployment was 7.9 percent, according to April 2020 numbers. That was up from 3.7 percent in 2019. It was below the national unemployment rate of 14.7 percent for the same time period.
- The median income for self-employed people at incorporated firms was $60,584, according to 2018 numbers. Those who are self-employed at unincorporated firms had a median income of $31.786.
- The top industries in Connecticut are healthcare and social assistance, accommodations and food service, manufacturing and retail trade.
FAQs
To further help entrepreneurs, check out these frequently asked questions about starting a business in Connecticut:
Why is it so important to check on business name availability?
Connecticut will not allow two businesses in the state to have the same name. There are many reasons for this, but at its core, it’s to avoid any confusion. For example, if someone plans to sue Bob’s Fruit Stand and there are two of these companies in the state, things can get complicated quickly.
All businesses must have a unique name. And, you can’t just add a hyphen to a name to make it different. Each name must be “distinguishingly different.”
How long does it take to get an LLC approved in Connecticut?
You can get approval for your LLC articles of incorporation as quickly as seven to 10 days but you can’t count on that as a surety. Sometimes, the state has a backlog and fewer employees to work with, so it could take from three to five weeks to process your application.
Do I need to hire a lawyer to set up my LLC?
No, you can set up your LLC in Connecticut on your own. It requires that you fill out some forms, which are available on the Secretary of State’s website. Most forms in Connecticut can be filled out using an online PDF that you can email or mail with a check. Payment must accompany the application for it to be processed.
Is the filing fee a one-time fee?
Yes, the filing fee for the LLC organization is a one-time fee. However, you must pay a regular fee to the state to keep your company in compliance and in good standing. Some states require them annually while others require them every two to three years.
When do I have to file my regular fees after I get the LLC?
Connecticut requires business owners to pay an annual fee. Notifications and forms are sent automatically to the business mailing address on file about a month before they are due. You can file your online report at the Secretary of State website. The report is due on the last day of the anniversary month of your business formation.
How do I verify my LLC is active?
An online search will show your LLC is active and in compliance. You can also request a certificate of good standing from the Secretary of State’s office.
Is there an expiration to an LLC?
Is there an expiration to an LLC?
No, an LLC never expires unless you create it for a specific purpose with an end date for the business entity to expire. As long as you pay the annual fee, you can keep your LLC unending and uninterrupted.
How much does filing an annual report cost in Connecticut?
States have different rates for fees associated with annual reports. In the State of Connecticut, it cost $80 to file an annual report for a domestic LLC or LLP. It cost $150 to file an annual report for a domestic corporation.
How do I file for an LLC with multiple locations?
The State of Connecticut’s laws requires you to file one LLC application that covers all your business locations using one address and only one location.
Can anyone be my registered agent in Connecticut?
Yes, as long as they accept the appointment. The laws of Connecticut state a registered agent must live within the state, be at least 18 years old, or be a business that is registered with the state and has a Connecticut address. Business owners can also serve as their own registered agents.
Your registered agent must sign your formation document to prove they are consenting. The state will not accept your formation document without this signature. A business that serves as a registered agent must have a person who signs on behalf of the business with their printed name and title next to their signature. Those filing online will have an email sent to their registered agent for them to give consent.
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