Are you thinking about doing business in another state?
Be aware, that if you are considering
1. hiring employees
2. opening bank accounts
3. buying or leasing property for business purposes
4. generating more than a minimal amount of income (and such income will be ongoing)
5. engaging in litigation
6. selling through independent contractors
7. carrying on internal corporate affairs
8. maintaining agencies/offices for transfer of securities
in another state, you may be “doing business” in that state and, if so considered, must be authorized to do business there. What constitutes “doing business" varies from state to state.
If you do not file or “qualify” you have no access to the courts. If you are sued, it will be harder to defend the entity in court. Also, you may be subject to fees and penalties.
If you are not certain whether the activities you intend to conduct in another state constitutes “doing business” consult with your attorney or accountant before proceeding.
In addition, there may be tax registrations; and licensing requirements for insurance, mortgage, collection and other businesses.
Speak to a Blumberg customer service representative to find out about the cost and time frame to file an Application for Authority to qualify in another state.
To start the qualification process most states request a Certificate of Good Standing or Corporate Existence from the state of initial formation. Our corporate service representative will obtain it for you. BlumbergExcelsior will also provide you with resident agent services which is required by most states.