What is the reason that New York LLC’s are required to publish? It seems like an almost impossible requirement to meet. It requires that within the first 120 days (or 4 months) of opening your new business, before you’ve even had time to make any money, you must spend a substantial amount of it to keep your new LLC up and running. The state threatens to take away your business’ right to transact business in the state and even goes so far as to take away the LLC’s right to countersue in the event that legal action has been taken against the business.
It seems that the reason for this requirement dates back to a time before we could just jump online and search for anything we would like to know at any moment. It started out as a way for the state government to make a new business formation a matter of public record, it gave the public notice of the formation of a new business, and where they could make contact should they want to bring legal action against the business. Although it appears to be outdated and no longer necessary, the State Department has not made any changes to the publishing requirement, and it doesn’t seem to be going anywhere anytime soon.
