Good Standing Certificate Online: A certificate of good standing is crucial for every business. Besides showing compliance to state tax and financial rules, it confirms that you have been in continuous existence in the state and have no illegal operations. It is crucial for private entities, partnerships, and limited liability companies.
Depending on the state, the certificate is sometimes called the certificate of authorization, existence, or status. Every state has varying ways and requirements needed to get the certificate. Here are some of the fastest means to get the certification.
From the secretary of state
The state secretary is responsible for issuing the certificate of good standing. You do not have to worry whether you are a foreign business operating in the state. A foreign business can be one from another state, country, or continent. As long as you have the proper documentation, you can apply for it from the secretary of state’s office. You must also meet these requirements to get the certificate:
Register as a legal entity in the state
Whether you are a foreign or non-foreign business, you must register as one of the businesses operating in the state where you want to apply for the certificate. Toget certificate of good standing, you must have all the relevant licenses and business permits indicating your registration as a foreign entity operating in the state.
Tax filing and obligations
You must have duly signed certificates and reports showing you filed and paid taxes to the state. Paying your taxes to a state signifies that you operate in the state and your business complies with the state rules.
Businesses can also get the certificate through renewal. Suppose you registered your business in the state then stopped your operations; you can still get one when you decide to resume the operations. You do not have to apply for a new one. All certificates of good standing have expiration dates, and you are supposed to renew them upon expiry. One is supposed to renew them on the exact date, but if you choose to renew them at a future date, you have to pay the relevant renewal and delay fees.
Businesses can operate for a while without having a certificate. It is not like a business or occupational license which a business must obtain before conducting any legal business in the state. Despite not being that critical, it has some benefits to the business.
Having a certificate of good standing legitimizes your business operation in the state. You do not need a certificate of incorporation or registration. It proves you are compliant with the state rules and regulations.
Getting other certificates
You need it for other certifications. When you expand to another state, you will need the certificate to register in that state. It will also prove your compliance with the state rules, hence fastening registration approval and other certifications.
It is key to improving business reputation. It shows your compliance and patriotism to the state and local community hence boosting your competitive edge.
From the department of commerce
In some states like Alaska and Hawaii, the certificate must be obtained from the relevant offices within the state department of commerce. In Alaska, businesses can file for certification from the commerce, community, and economic development department. You can get the certificate from Hawaii’s business registration division, commerce, and consumer affairs department. These agencies within the state commerce departments are also responsible for regulating other business activities, such as monitoring tax compliance and adherence to other state corporate regulations and business conduct.
From corporation division and related offices
In some states, the corporation division is in charge of issuing the certification of good standing. The departmental head acts on behalf of the secretary of state. They approve the issuance of the certificate as long as you comply with the relevant rules and regulations. This is applicable in Delaware, Massachusetts, Arizona, Michigan, Utah, and Virginia. Ensure you apply to the correct department within the corporation division.
From the department of financial institutions or revenue division
If you are operating in New Jersey, you can obtain the certification from the revenue and enterprise services division found in the treasury department. In Wisconsin, you can get the certificate from the department of financial institutions, and in Maryland, you can get it from the department of assessments and taxation.
Get your certification online.
Most states have online websites through which businesses can apply for the certification. Once you log on to the websites, you will provide other relevant documentation to support your application and pay the processing fee. Then you will request the certificates, which will only be approved after the business records are checked, confirmed to be relevant, up to date, and compliant with the state rules. The certification will then be mailed, or you can print it from the site.
The Bottom Line
The certificate of good standing is crucial to every business, whether foreign or local. Filling it proves loyalty to state rules, boosts business reputation and can help in acquiring a certificate of operations to expand to other states. Any entity must comply with the laws and regulations for application and must follow the due process and file through the relevant offices. Failure to abide by these rules could lead to refusal of certification.