What is a Certificate of Good Standing
A Good Standing Certificate (Also referred to as the Corporate Certificate of Status or Corporate Certificate of Existence) is an official certificate from your Secretary of State that you are a legally incorporated or a foreign corporation registered entity and fully compliant with all state laws of incorporation to conduct business within that State.
Requirements to receive a Certificate of Good Standing
• Your entity must be registered with your State as a Domestic or Foreign Corporation or LLC/LLP
• Your entity must have filed all annual reporting as required by the State in a timely fashion
• Your entity must have paid all State mandated registration fees and taxes in a timely fashion
Why would you need a Certificate of Good Standing
In the course of business you may need to prove that your Company is a legal entity registered with your home State and in Good Standing. Listed below are a few of the major reasons:
• Banks and lending institutions require new accounts to provide a current Certificate
• State "Foreign Corporation" applications require a Certificate from your home State
• Government agencies will required the Certificate to do business with them