LLC Registration As Foreign LLC Is Necessary In Other States

2007-03-08 10:33:40

( Business )



If you have already completed your LLC registration in one state but you wish to operate your business in another state, you will be treated as a foreign entity and, therefore, subject to additional LLC registration formalities and fees.

Without foreign LLC registration in that state, your LLC will have no access to its courts and cannot maintain any action, suit or court proceeding in that state. This would imply that your LLC will lack the ability to enforce its business contracts in the state.

Although you have already completed your limited company registration, you still need to determine if your assumed business name is available for use in that state. You can run your LLC name check for availability through the us company register or the secretary of state.

The requirements for foreign LLC registration in another state are basically similar to those when you register a new company, but with fewer details. Although there are variations from state to state, the requirements generally include:

• The name of the LLC;
• The date and the jurisdiction of organization;
• A description of the business to be transacted within the state;
• The address of the registered office and name of the registered agent within the state;
• A statement that the foreign office validly exists in the jurisdiction of organization; and
• The address of the office in the state of organization or, if different, the principal office.

You should have your lawyer and accountant review the laws and tax regulations of the other state. The LLC law in your LLC’s home state may be different in the foreign jurisdiction, so you would want to avoid conflict-of-law problems. The same goes for taxation and tax filing regulations.

Bear in mind that LLCs do not enjoy the same flexibility as partnerships and corporations in expanding their businesses in other jurisdictions.


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