You may be wondering which state you need to file your business entity under. We’re here to help!
When you initially register your business, it is registered within the state you primarily do business. However, there may be instances where you are actually doing business in another state, but what instances require you to actually register your business in that state?
Does your LLC or corporation have a physical presence in that state – do you operate a retail store or office there? Do you often conduct in-person meetings in that state? Does a significant portion of your businesses revenue come from that state? Do any of your employees work in that state? Did you apply for a business license in that state? These are just a small sampling of questions that would determine whether to register your business in that state. Here are just a few examples or common situations that would require a foreign (out of state) qualification (license):
- You incorporated your business in California but later moved to Nevada where you also have begun to see clients. Not only would you need to remain qualified in California (where you still do business), but you would also need a license to operate in Nevada and assist those clients there.
- You incorporated your business in California but later took on a business partner who resides and does business in Colorado. You would also need to qualify in Colorado.
- You incorporated your restaurant in California but want to open a second location in Oregon. You would still need to qualify in Oregon.
Every situation is unique so it is important to work with a company that knows the ins-and-outs of the industry. Each state has their own requirements so working with a service company such as Professional Filing & Search Services, Inc. (PFSS) is of the utmost importance. We ensure you are in compliance with state regulations and provide an efficient platform to complete these licensing requirements as quickly and smoothly as possible. Mistakes can happen when individuals without the proper knowledge of state qualifications attempt to file paperwork with various state agencies. Costly errors when expanding your business are avoidable if you use a reputable service provider such as ours. Let us counsel you on whether you need a foreign qualification for your business. We are here to help you succeed!
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