To: New York State Legislature, Assembly Corporations, Authorities and Commissions Committee, and Governor Kathy Hochul

From: Small business owners, founders, advocates, and supporters across New York and the United States

New York State requires every new LLC to publish a formation notice in two local newspapers for six consecutive weeks and to file proof of publication in order to comply with current statutory requirements.

This requirement, under Section 206 of the New York Limited Liability Company Law, creates a significant and unnecessary financial burden on small business owners.

The cost of compliance is not standardized.
It varies dramatically depending on location.

In some downstate counties, founders may pay well over $1,000.
In other parts of the state, the same requirement may cost only a few hundred dollars.

For many New Yorkers, especially in communities already facing economic barriers, this requirement reinforces inequality in who gets to start a business.

Meanwhile, the New York Department of State already lists newly formed businesses online for free in its public database, accessible in real time to anyone.

If the government is already providing public notice online at no cost, why are small business owners still being forced to pay private newspapers for the same purpose?

Same law. Same requirement. Same six weeks.
The only difference is your address.

This is not a government fee.

These payments go directly to private newspapers, many of which continue to benefit from the continuation of this requirement.

The publication requirement no longer appears to serve a meaningful public purpose in the digital age.

What this law actually does:

• Places a disproportionate financial burden on small businesses and first-time founders
• Applies to LLCs, but not corporations, impacting those with the least startup capital
• Creates wide cost disparities across counties for the exact same requirement
• Funnels mandatory payments to a small group of designated newspapers
• Adds a barrier to entry in one of the most expensive states in which to start a business

What we know:

• The vast majority of states do not require this type of publication
• The requirement has been widely criticized as outdated, costly, and unnecessary
• Modern public notice is already achieved through digital access to state records
• Legislative efforts to repeal or reform this law have been introduced but remain stalled

For many founders, this cost is not minor.

It is rent.
It is groceries.
It is startup capital that could be used to actually build a business.

For some, it is the difference between starting and never starting at all.

Our request:

We call on the New York State Legislature to repeal or substantially reform Section 206 of the New York Limited Liability Company Law.

New York should be a place where people are encouraged to build — not charged simply for trying.

Whether you are a New York business owner, an entrepreneur in another state, a supporter of small business equity, or simply believe outdated laws should not block opportunity, your support matters.

Take action.
Sign this petition.
Share it.

Help remove this outdated barrier for the next generation of entrepreneurs.

Make New York work for the people building it.