WHO Issues Certificate of Good Standing?

Overview of Certificate of Good Standing

A certificate of good standing is issued by the Secretary of State confirming that a business entity is duly registered and complies with state rules to operate its business.

Importance and Uses

  • It verifies a company is legally formed and compliant with state requirements.
  • Required for opening a bank account, getting loans, leasing commercial space, or moving a business.
  • Typically renewed yearly or after significant business changes.

Obtaining a Certificate of Good Standing

To get a certificate of good standing, a company must be registered as a legal entity in the state, in good standing with corporate rules, current on tax filings, and fully compliant.

Other Names and State Specifics

  • Also known as a certificate of existence, status certificate, or authorization.
  • Different requirements and names in various states.
  • Sole proprietorships generally do not require one.

How to Get a Certificate of Good Standing

In the USA, the certificate proves a business is legally registered and able to operate. It may also be called a certificate of existence or letter of good standing.

Alabama Specifics

  • It is called a Certificate of Compliance in Alabama.
  • Required for several purposes such as opening a bank account, applying for loans, or moving a business.

Georgia Specifics

  • In Georgia, certified copies of formation documents can be ordered from the Secretary of State.

Conclusion

While not mandatory for all businesses, a certificate of good standing is essential for specific activities and proves a business’s legitimacy and compliance with state regulations.

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