West Virginia Foreign Qualification
Any business that currently exists in another state that wishes to operate in West Virginia must go through the process of foreign qualification. This ensures that you remain fully compliant while conducting business in the state, and it’s important for every business to understand the basics of foreign qualification.
What is Foreign Qualification?
Foreign qualification is the process of registering a business to operate in a state other than the one it was formed in. When a business I initially formed, it is done so under the rules and regulations of the state it exists in. This means that additional steps must be taken to ensure that it maintains full compliance within the other state – West Virginia in this scenario.
Why Does A Company Need Foreign Qualification?
Why You Need To Do It – Any business that exists outside of West Virginia that wishes to begin operations within the state must foreign qualify. This applies if they will have any kind of physical presence in the state, from a store to just having a single employee serving as a representative for the business.
When Should You Do It? – As soon as a company makes the decision to start operations in West Virginia,it should begin the process of foreign qualification in order to ensure you avoid all potential delays or issues. Generally, you will need to receive West Virginia foreign qualification if your company falls under any of the following criteria:
- Has a physical presence in West Virginia
- Buying a property there
- Have remote employees
- Accepts orders in West Virginia
- Owns a bank account in West Virginia
What Happens If Your Entity Does Not Foreign Qualify?
Failure to foreign qualify means that your business will be unable to bring forth any kind of lawsuit in the West Virginia court system. Your business may also face various fees and fines include fees related to failing to pay taxes properly, which can bring forth serious tax penalties.
Steps To Obtain Foreign Qualification
Businesses must follow several basic steps in order to obtain their West Virginia foreign qualification. These steps include the following.
1. Obtain Certificates – You must obtain a Certificate of Existence from your company’s home state. You will also file an Application for a Certificate of Authority for either your Corporation or LLC. Both forms have the same name but each form is different. The application may be downloaded from the West Virginia Secretary of State website.
2. Collect And Submit Information – The forms will request a variety of information.
LLC
- LLC name
- Name of the home state
- Verify if you will be using the name from your home state or a DBA name
- List if the business is a regular LLC, Series LLC, or Professional LLC
- Principal office address and mailing address
- Physical address of the initial designated office in West Virginia and mailing address, if any
- Agent of process
- The email address where the LLC can receive business correspondence
- The website address of the business
- Proposed purpose of the corporation in West Virginia
- Management structure
- Names and addresses of the members and/or managers
- List if members are liable for the company’s debts and obligations
Corporation
- Corporation name as in the home state
- Name of the home state
- Date of formation and duration
- NAIC number, if an insurance company
- Principal office address and mailing address
- Verify if you will be using the name from your home state or a DBA name
- Physical address of the initial designated office in West Virginia and mailing address, if any
- Agent of process
- The email address where the corporation can receive business correspondence
- The website address of the business
- Proposed purpose of the corporation in West Virginia
- Names and addresses of officers and directors
3. Appoint Registered Agent – Your registered agent is responsible for handling the process of foreign qualification as well as receiving document related to it and your overall compliance. Most businesses turn to a third party organization such as DoMyLLC for this to simplify their overall workload.
4. File The Application – Once you complete the form, file it with the secretary of state along with the $150 filing fee for LLCs and $100 for Corporations. You can file by mail or online.
5. Ongoing Maintenance – In order to maintain full operating compliance, businesses are required to file an annual report with the West Virginia Secretary of State. The fee is $25 and the report is due by June 30th of each year.
What Is the Difference Between Foreign Qualification And Incorporating?
Incorporation creates a totally new business entity. Foreign qualification does not create a new company. Instead, it only allows LLCs and corporations to legally operate in a state other than their home state.
How DoMyLLC Can Assist With Streamlining The Process
We provide full filing services for businesses. This allows business leaders to focus on other aspects of managing their business. We offer:
- Name availability check
- Full filing and registration service
- Dedicated account managers
- Ongoing, unlimited support
If you’re planning on branching out into West Virginia, our team can help. Contact us today to simplify the West Virginia foreign qualification process in a big way.
West Virginia Foreign Qualification FAQs
You’ll be required to file an Application for a Certificate of Authority as well as a Certificate of Existence or its equivalent.
The filing fee in West Virginia is $150 for LLCs and $100 for Corporations.
Any business that exists outside of West Virginia but that wishes to begin operations within the state can file – and must, in order to stay compliant.
An attorney is not required to file. However, businesses are advised to discuss their plans with their legal counsel to ensure full compliance.
You’ll need to submit basic business information including things like:
- Name of business
- Business address – mailing and physical
- Date of business formation
- Registered agent information
- Date you plan on beginning operations in West Virginia
Then you’ll have to file under a fictitious name and operate under it. This will only apply to West Virginia and will have no impact on your name anywhere else.
West Virginia Business Resources
West Virginia Office of Secretary of State
Phone Number:
(304) 558-8000
Address:
West Virginia Secretary of State
Bldg. 1, Suite 157-K 1900 Kanawha Blvd. East
Charleston, WV 25305-0770