Certificate of Good Standing
Need to be cleared to operate in a state? Once a business has been qualified in a foreign jurisdiction, a state other than the one is was formed in, sometimes it must obtain a Certificate of Good Standing (COGS). This state-issued document says the entity has been cleared to do business. A COGS may also be needed for these reasons
When you’re trying to obtain finances for your entity
Banks may request one for certain transactions
Potential Business partners or investors may request one
What is a Certificate of Good Standing?
A certificate of good standing is a state-issued document which shows that an LLC or corporation has met the statutory requirements and is cleared to do business in that specific state.
Requirements for a Certificate of Good Standing to Be Issued
A certificate of good standing shows that your company is compliant in several areas, including:
- Annual reports have been filed
- All applicable franchise taxes have been paid
- All applicable state fees have been paid
These three requirements must be met before a certificate of good standing is awarded.
When do you need a Certificate of Good Standing?
Who Requires a Certificate of Good Standing
If you want to register to do business in a different state than the one you’re incorporated in, you will likely need a certificate of good standing to do so. This shows the state you’re attempting to do business in that you are a legitimate company that has met your state’s requirements, and that all required fees and taxes have been paid.
Other entities that may require a certificate of good standing, or COGS, include:
- Lenders – when trying to obtain financing
- Banks – for opening accounts and other transactions
- Potential partners and investors may wish to see your COGS
- Legal entities – when trying to obtain or renew licenses and permits
By failing to file an annual report or filing it late, or failing to pay applicable taxes and fees, your company may fall out of good standing, thus hampering your ability to conduct simple business transactions like opening bank accounts, obtaining financing, or applying for a license or permit.
Failing to obtain the paperwork required for corporate business operation, including relevant certificates, may carry legal fines and penalties as well. It’s critical that your company secure a certificate of good standing as soon as possible.
Customized Support Tailored For You
That’s where DoMyLLC can help. Our team of experts is here to help by providing support in obtaining a COGS from any of the 50 states.
- 100% satisfaction guarantee
- Competitive pricing
- Price-match guarantee
- Live support either online or by phone
Hassle Free Process
Because every state’s standards for meeting the requirements for good standing are slightly different, meeting those requirements can prove a significant challenge. DoMyLLC offers a simple, two-step process for obtaining the necessary documents.
Just place your order and verify that the submitted forms are correct and signed. Our experienced team handles the rest. Once the certificate has been obtained, we’ll send you the paperwork through email as well as FedEx.
Call 888-366-9552 to speak with a DoMyLLC associate, or