In many states, an annual or bi-annual report is required. Most of the time this is filed to the Secretary of State in the states the business operates in. This document, usually called “The Statement of Information” is the state’s way of keeping track of entities operating in the state. This is a great way to update the state office on the company’s business activity and any changes to members or management since then. Information in these documents typically includes but is not limited to the following:
- Principal business address
- Officers and Board of Directors
- Authorized and issued shares of stock
- Other information may vary from state to state
Submission of annual reports is required for limited liability companies (LLCs), corporations (C-Corps and S-Corps) and other business entities with the intention of providing state agencies with the most accurate information about the business, reflecting any changes made over the previous year.
Change is inevitable, and as transitions like new locations or management may occur, the document provides a concise way to address any adjustments that have happened over the previous year. The reports also act as a record of the company’s business activities, and timely filing is necessary in order to maintain “good standing” with the state.
Also known as annual reports, annual statements, or statements of information, these documents provide an updated snapshot of the business and can include information such as:
- Name of corporation
- Principal address of the business
- The state in which the corporation was formed
- Current contact information which includes addresses of directors, officers of the corporation or members and officers of the LLC
- Business activities being conducted within the state
- Number of authorized shares (corporations only)
- The full name and contact information of the registered agent
- Capital investments and paid-in capital
- Other critical business information that will vary from state to state
State Annual Report Requirements
Each state has its own filing requirements including deadlines, fees, and where to file the actual paperwork. Typically, businesses will submit annual reports to state agencies such as the Secretary of State, Office of Revenue or Office of Business Affairs.
Not all states’ reports are annual; some are biennial (due every other year) and some states require filing by a specific deadline, regardless if you’ve filed your formation paperwork in the same year. Keep in mind that if you have operations in multiple states, you must file an annual report in each state that you do business.
There are states that allow online submission of the completed paperwork and fees, which can be a much faster process than waiting for a paper filing. However, there are different requirements associated with e-filings, and certain situations may not allow for online filing – for example, in the state of Virginia, e-files will not be accepted for changes made to director or officer information. Knowing these requirements will help reduce the risk of rejection.
The Importance of Filing Annual Reports
Adhering to the guidelines set by your state is crucial to maintaining good standing. Businesses are expected to know and understand the state schedules set by business type including the due dates (some are the anniversary month of formation, others are set dates for all businesses) and the filing fees (can range from as small as $10 and as high as $500).
Following the exact instructions is paramount to a successful filing – forgetting the fees or missing the deadline (even by one day) may result in a rejection of your filing. Additional fees could result, and in severe cases suspension or dissolution of the business may occur. If the latter happens, there will be penalty fees required for reinstatement. Knowing and understanding what would cause the state to reject the filing can act as a “checks and balances” to ensure all of the necessary information is included.
Those penalty fees are also dependent upon the business type, and can include a reinstatement fee as well as additional fees for missed reports. And reinstating the company isn’t as simple as paying the additional fees as most states require re-submission of all the initial formation paperwork.
It is also important to note that some states have a time frame in which you can apply for reinstatement. If that deadline passes, a new entity will need to be formed.
How DoMyLLC Can Help
Enlisting our team of experts means you don’t have to worry about managing the filing time, allowing for mailing delays, or worrying about a rejected filing. Let DoMyLLC help you avoid penalties and reinstatement fees by allowing us to manage the process in two simple steps.
You’ll place the order on our website, and the professionals at DoMyLLC will take care of the rest. We verify the requirements for your specific state, prepare the report based on the information you provide and will either file it directly with the state on your behalf or send it to you to file directly.
Because some state requirements are more complicated than others are, it is our goal to make the annual report filing process as simple as possible.
Hassle Free Process
Not only does DoMyLLC guarantee its services, it makes the client’s job easier by utilizing a simple, two-step process. All you have to do is place your order on our website and let the professionals at DoMyLLC do the rest. We will verify the due date for annual reports in your specific state, prepare the annual report based on information you provide and either file it with the state on your behalf or send it to you to file directly. Our custom processing solution for individual states allows us to help meet the various state rules, regulations and filing timelines for increased document accuracy and decreased work for our clients. Because some state requirements are much more involved than others, we strive to make the annual report filing process as simple and stress free as possible for businesses.
Since our annual report service is renewed yearly, you will never have to worry about when the annual report filing is due again. Ourcompliance department will automatically contact you 1-2 months prior to the deadline to make sure the annual report filing is completed on time
Start the process today by requesting a quote or placing an order online or by contacting a representative at 888-366-9552.