Certificate of Good Standing - FAQ
- What is a Certificate of Good Standing?
- Why do I need a Certificate of Good Standing?
- Who issues a Certificate of Good Standing?
- What are the requirements to receive a Certificate of Good Standing?
- How long is a Certificate of Good Standing valid?
- Why is a Certificate of Good Standing needed for a Foreign Qualification?
- Can a Foreign Corporation get a Certificate of Good Standing?
- What if my State will not issue me a Certificate of Good Standing?
- Can a Sole Proprietorship or DBA entity get a Certificate of Good Standing?
What is a Certificate of Good Standing?
A Good Standing Certificate (Also referred to as the Corporate Certificate of Status or Corporate Certificate of Existence) is an official certification from your State that you are a legally registered entity and fully compliant with all state laws of incorporation.
Why do I need a Certificate of Good Standing?
In the course of business you may need to prove that your Company is a legal entity registered with the State and in Good Standing.
Who issues a Certificate of Good Standing?
Certificates of Good Standing are issued by the State agency that is responsible for registering Corporations. Usually the Secretary of State office or the State Treasuries Office in your State.
What are the requirements to receive a Certificate of Good Standing?
Your Company must be legally Incorporated or registered as a Foreign Corporation in the State and must be in compliance with all statutory reporting requirements mandated by the State.
How long is a Certificate of Good Standing valid?
There is no expiration date on the certificate – the validity of the in terms of age will be determined by the organization that has requested it. For example your bank may request a Certificate of Good Standing that is less than 30 days old.
Why is a Certificate of Good Standing needed for a Foreign Qualification?
A Good Standing Certificate shows a foreign State Secretary of state that you are in Good Standing with your home State Secretary of State.
Can a “Foreign Corporation” get a Certificate of Good Standing?
Most States will issue a Certificate of Good Standing to a Foreign Corporation that has been granted Authority to do business in that State as a Foreign Corporation and is in Good Standing.
What if my State will not issue me a Certificate of Good Standing?
Most likely you have not complied with the reporting or tax payment requirements of the State. Contact your State agency and they will inform what you need to do to get in to compliance. Once you have rectified the deficiency they will issue you a Certificate.
Can a Sole Proprietorship or DBA entity get a Certificate of Good Standing?
No – These types of entity are not registered by the State so they have no basis to issue a Good Standing Certificate.