What is a Certificate of Good Standing?
A certificate of good standing is issued by a state to verify a business is legally registered, up-to-date on filings and fees, and permitted to operate in that state. Corporations and LLCs must register with their state to obtain it. You typically need to renew it yearly.
You may need a certificate of good standing when entering contracts, opening a bank account, or doing business in another state since it shows your business is legitimate. For UK businesses, it is called a certificate of existence and requested from Companies House.
Getting a Certificate of Good Standing
To get a certificate of good standing, you must ensure your business complies with your state’s requirements. Each state has its own rules. You can request one from your state’s Secretary of State office or equivalent agency that maintains business records.
The cost varies by state, usually $10-$50. Some states issue certificates immediately online while others take a few days or weeks. The certificate is typically valid for 60-90 days but depends on the business.
How to Obtain a Certificate of Good Standing in the USA
A certificate of good standing proves a business is legally registered and able to operate in a state. Corporations and LLCs must legally register with their state to receive it.
Issued by the state, it verifies you are a legally registered entity, up to date on all filings and fees, and permitted to do business in your state.
You may need it when you want to do business in another state, open a bank account or enter contracts since it shows your business is legitimate.
You typically need to renew it yearly, more often if significant business changes.