Who Can Issue Certificate of Good Standing?

Certificate of Good Standing Overview

• A certificate of good standing proves a business is legally registered and able to operate in a state. It may also be called a certificate of existence or a letter of good standing.
• Issued by the state, it verifies that a business entity is compliant with all filings, fees, and business requirements. LLCs and corporations must register with the state to obtain it.

Importance and Uses

• You may need a certificate of good standing for various reasons, including opening a business bank account, applying for a business loan, leasing commercial space, or moving your business out of state.
• It shows that your business is legitimate and compliant with state laws, making it easier to conduct business activities.

Obtaining a Certificate of Good Standing

• To obtain a certificate of good standing in Alabama, you need to apply to the Alabama secretary of state’s office and submit an application for a certificate of authority along with certificates from your home state.
• The South Dakota Secretary of State allows both online and mail-in requests for a certificate of good standing with corresponding filing fees.

Additional Information

• A certificate of good standing is often referred to as a certificate of existence, status certificate, or certificate of authorization.
• While not mandatory for sole proprietorships, corporations and LLCs may require a certificate of good standing in certain states.

Other Terms and Considerations

• In Alabama, a certificate of good standing is known as a certificate of compliance with a specific fee for the certificate of cancellation.
• Companies in Georgia can order certified copies of official formation documents from the Secretary of State.