Foreign registration into the states where your business has nexus is a must for compliance. Most businesses will only have nexus in their home state and only need to comply with your state’s laws. If you have nexus (a presence) in another state other than the one you have registered your legal entity, that requires your entity to foreign qualify/register in another state. Common situations are when you have an office or employee in another state.
Another example is if you are an Amazon FBA (Fulfilled by Amazon) seller, this creates sales tax nexus for sales tax purposes in over 30 states and, in some states, creates income tax nexus, which requires a state tax return and foreign qualification if your entity is investing in real estate or tax deeds, in other states that are another example where foreign qualification will come into play.
Here are our services that are required to properly foreign qualify or register to do business in another state:
- Check Your Entity Name for Availability in the State of Registration. If the name is not available, we will notify you to develop similar options to register within the state.
- Obtain a Certificate of Good Standing from Your State of Domicile (Formation). In many situations, the Certificate of Good Standing may not be dated less than 90 days prior; some states only 30 days.
- Registered Agent Service for 12 months. Each state requires a registered agent service as the point of contact for service of process if the company is ever sued (hopefully not). We work with our partner company to provide this service in states outside of Nevada.
- Complete the Forms to Foreign Register/Qualify. The forms will be completed and ready for you to review and complete if only a few basic questions are required.
- Request Additional Documents to Register. Your incorporating documents are required, and, in some cases, additional documents.
- File Your Forms and Documents with the Secretary of State. All your filed forms will be sent to you to sign online via a secure service. We will send them to the state with a check (you would pay the state fees separately) or file online when available.
- Follow-up Reminders with Next Steps in Each State. You will have additional steps in each state, from an initial report or annual report, and we will send you an overview. For example, California has a statement of information due and franchise tax fees, which are separate.
Our foreign registration service will help you get into compliance with the states required and help on an annual basis with both your annual registered agent fee and your state report that is required to be filed. – LEARN MORE