Have a question? We have answers.
WHAT IS IT?
A Good Standing Certificate is exactly what it sounds like—a certificate that proves your entity is in good standing in the eyes of the business gods, and is therefore authorized to do business in your state. To be in good standing, you generally need to be up-to-date with your state’s tax and/or annual report requirements.
Good Standing Certificates are available for most business entities that are filed at a state level. Different states call them different things: Letter of Good Standing, Certificate of Status, Certificate of Existence…but generally, if you just refer to it as a “good standing,” everyone will know what you’re talking about.
Depending on the state, a good standing may be extra fancy and have a shiny gold seal or it may look like a generic computer print-out, but no matter what it looks like, it’s a super-official document that will let people know that you're in compliance with the state.
WHY DO YOU NEED IT?
You aren’t officially required to have a Good Standing Certificate, but it’s commonly required by third parties you’ll deal with during the course of business. You may need to provide proof that your business is in good standing with your state when…
• Opening a bank account
• Applying for a loan
• Securing Investors
• Opening accounts with vendors
• Obtaining/renewing some licenses and permits
• Conducting business in a different state
Many of these scenarios come up when a business is just starting out, so it may be especially helpful to order one after you incorporate.
HOW DO YOU GET IT?
IncBig can obtain your Good Standing Certificate for just $49 plus state fees. The turnaround time varies by state, but in most cases, you can get your certificate within 2 weeks—and often within just a couple of business days. Once we have it, we'll upload a copy to your account for immediate use.
- Jenn K.