Importance of Compliance for Business Good Standing
Keeping your business in good standing requires filing paperwork and paying fees. To stay compliant, file annual reports and tax returns, pay fees and taxes, and maintain licenses. If not, you may face penalties. Check if your business is active by contacting the Secretary of State or Department of Revenue.
Understanding Good Standing Status
What does "good standing" mean? It means complying with state rules based on your legal structure. For example, file annual reports and pay state fees. If you let paperwork or payments lapse, you lose good standing status. Regaining compliance takes effort.
Consequences of Losing Good Standing
Losing good standing brings consequences like fines, revoked licenses, or lost operating rights. Check what your state requires regarding business compliance. Pay attention to rules for your company structure and location. Weigh the cost of compliance against penalties for non-compliance. Streamline record-keeping and set reminders for filings and fee deadlines. Make compliance part of your regular routines.