Certificates of Good Standing

A Certificate of Good Standing (also known as "Certificate of Existence" or "Certificate of Status") is a certificate issued by a state official as conclusive evidence that a Corporation or Limited Liability Company (LLC) is in existence and is authorized to transact business within that state.

Examples of situations in which you may require a Certificate of Good Standing include:

• To qualify/register as a foreign entity in a state other than your formation state
• To obtain financing
• To sell a business
• To renew a license or licenses
• To enter into many business transactions and contracts

A Certificate of Good Standing must be used by an entity needing to demonstrate that a corporation is in existence (in the case of a domestic corporation) or is authorized to transact business in the state (in the case of a foreign corporation). A Certificate of Good Standing may also be needed in the event that a corporation must certify that the state received all fees, taxes and penalties owed to it by the corporation or LLC and that no articles of dissolution have been filed in the state.

A Certificate of Good Standing may be used to certify that the state received all fees, taxes and penalties owed to it by the corporation and that no articles of dissolution have been filed in the state. A Certificate of Good Standing can serve as conclusive evidence to this effect.