Filing a Foreign Qualification To Do Business Out of State

Your business is expanding beyond your local region. Or perhaps you are an Internet business with fulfillment centers in multiple locations. This may mean you are doing business in a “foreign” state. What do you do? We have the answers to all your questions regarding what constitutes doing business in another state and how to get the proper paperwork done to be legitimate.

Many confuse foreign qualification with the idea of operating outside the United States. This really has to do with how you perform within the borders of the United States. “Foreign,” in this case, refers to the fact that each state has operating rules that are different from one another; and, in turn, must insist on proper registration to do business in that locale.

Therefore, it is important that when your company is located in or operates within a state other than the place of original incorporation, you are given the proper rights to conduct business there. This actually means you need to obtain a Certificate of Authority.

We can take care of the details. Let Incfile help you file your Foreign Qualification today!

Foreign Qualification Basics

Foreign Qualification

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Typical criteria include but are not limited to:

  • Does the company has a physical presence in the state?
  • Does the entity have employees working within the state?
  • Does the company conduct banking within state?

Requirements to obtain or a Foreign Qualification / Certificate of Authority:

  • Must file appropriate state document and pay the corresponding state fee.
  • Must obtain a Certificate of Good Standing from state of origin to verify status of business formation.

Common Questions About Filing Your Foreign Qualification

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Amendment

Filed if a company requires changes to membership, addresses or company name.

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Dissolution

Used to formally terminate the existence of a entity.

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Fictitious Business Name

Filed if a company requires assumed business/fictitious name.

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