Certificate of Good StandingWhat is it and Do you Need it as a Business Owner?

Written By:
Adiste Mae

The document that establishes your company as a legally authorized entity to conduct business operations while providing evidence that your company is indeed a legitimate venture is known as the certificate of good standing.

Despite the certificate of good standing being needed, a it is not actually something every business has to have.

Let’s learn more so you can determine if one is needed for your business or not.

What is a certificate of good standing?

A certificate of good standing is a document that verifies that a company is correctly registered with the state, has paid all registration fees, has filed every document required, and is allowed by law to carry out activities of their business within the vicinity of the state they are registered with.

In other states, the certificate is known as a certificate of existence or a certificate of status.

It is customary for a this document to have an expiration date which would usually fall under the time when the business would need to renew their registration or when documents that are required to be submitted periodically are due.

A certificate of good standing could also have its expiration date fall under a day when fees such as what is incurred when registering are due.

The certificate normally expires when the calendar year ends or when the laws of the state would require periodic filings or renewal.

A company that was initially formed in a specific state can be issued a certificate of good standing as much as an entity that was formed in another state can but is currently registered within that specific state as a foreign entity.

It should be noted that this certificate is not an occupational or business license which is another requirement a company needs to have for it to be legally capable of conducting its business.

A company can legally operate in the state it registered with even when it does not have a certificate.

Here is an example of for an anonymous business in Arizona:

Who can get a certificate of good standing?

Because of the fact that this certificate is not required from every type of business entity since not every entity is obligated to be registered with the state, there will be certain business entities that would not be able to request it.

Individuals who are conducting their business on a sole proprietorship will not be obligated to register with any state.

Subsequently, there will be no need for sole proprietors to procure a certificate.

On the other end of the spectrum, every state in the US will require all limited liability companies (LLC) and corporations to be registered with them thus, all corporations and limited liability companies can get a certificate of good standing.

Different states will require certain kinds of business entities to register with them while other business entities do not need to, like how a partnership, limited liability partnership (LLP), or a limited partnership may need to register when established in one state but if established in another, no registration is necessary.

If the company you are establishing falls as either an LLP, partnership or limited partnership, the laws of your presiding state will dictate on whether or whether not registration would be required.

Where do I get a certificate of good standing?

The certificate is issued by the state agency where the company has been registered with.

In most cases, the state agency that issues certificates is the secretary of state.

In cases where it is not the office of the secretary of state that issues the document, it is most likely going to be one of its subdivisions that will issue the certificate instead.

The state agency where one could get a certificate of good standing is known by the following names depending on which state it is located in:

•       Department of Commerce, Community and Economic Development – Alaska
•       Arizona Corporation Commission – Arizona
•       Division of Corporations – Delaware
•       Business Registration Division of the Department of Commerce and Consumers Affairs – Hawaii
•       Department of Assessments and Taxation – Maryland
•       Corporations Division of the Secretary of the Commonwealth of Massachusetts – Massachusetts
•       Corporations Division of the Department of Licensing and Regulatory Affairs – Michigan
•       Division of Revenue and Enterprise Services of the Department of the Treasury – New Jersey
•       Division of Corporations and Commercial Code of the Utah Department of Commerce – Utah
•       State Corporation Commission – Virginia
•       Department of Financial Institutions – Wisconsin

In the District of Columbia, the state agency that is in charge of issuing certificates of good standing is known as the Corporations Division of the Department of Consumer and Regulatory Affairs.

Information on how to be issued a certificate of good standing and how much that will cost can be found on the appropriate website of your state agency.

What is needed to get a certificate of good standing?

In most cases, a business entity will only need to be issued a certificate of good standing when it is asked to submit or show one.

Generally speaking, a business will only be asked to procure the certificate under two kinds of scenarios which are:

• The company is asked by an individual or organization with whom that company has a business relationship with for a certificate in relation to business associated matters. This is mostly what happens when a company would want to apply for credit under the name of its business, set up customer payment processing either through credit cards or debit cards, and when the company would like to open a bank account dedicated to its business.
• When applying to register a company as a foreign entity in another state, it is customary for the state to ask the company to obtain and submit a certificate from the state that the company was formed in.

In cases where a business entity is not obligated to register with the state, the business entity will be unable to procure a certificate of good standing though in these cases, the business entity would not need it.

In cases where a business entity has to be registered with the state or is already registered with the state, that business entity will only need to procure a certificate when it is requested to do so.

In these cases, the business entity can be issued a certificate of good standing from the state agency where it has been registered with or from the state agency where the business entity conducts business in as a foreign entity.

Certificate of Good Standing by State

Each State will have its own rules for obtaining a certificate of good standing. 

If you are having trouble figuring out the process with your State, you may want to consider hiring a company to do it for you.

Companies like ZenBusiness and Legal Zoom can procure the certificate for you for a pretty nominal fee. 

Not to mention that it will be done correctly. 

If you want to try to get the certificate on your own, here is a quick breakdown by State on how to obtain a certificate of good standing for your business:

Alabama

Fee: $28 for online processing or $25 for mail requests

You can process the certificate online via the Alabama Secretary of State site here. 

Alaska

Fee: $10

Alaska processes their certificates online via the Division of Corporations, Business and Professional Licensing site here. 

There is no processing time, you will be able to obtain your copy immediately via a download from their website upon completion.

Arizona

Fee: $10

Mail the form in or complete via the ACC eCorp site here.

You can pay an expedite fee if you need the certificate right away, otherwise the process takes up to two weeks.

Arkansas

Fee: $25

Visit the Arkansas Secretary of State Website here for simple directions on how to obtain the certificate in Alaska. 

There is no processing time, you will be able to obtain your copy immediately via a download from their website upon completion.

California

Fee: $5

Obtain a certificate in California by completing the Order form from the Secretary of State. 

The form can be completed in person for a turnaround time of around 1 business day or sent via mail with an average of 1 week turnaround time.

Colorado

Fee: $0

Information for obtaining a certificate can be found on the Colorado Secretary of State’s website.

Certificates are available for download immediately after completing the application.

Connecticut

Fee: $50 for standard processing or $100 for expedited processing

You will need to create an account on the CT.gov site and then apply for a Certificate of Legal Existence. 

Delaware 

Fee: $50 – $175 depending on the two types available

Certificates are obtained via the Delaware Division of Corporations by submitting an electronic document request. 

You may also mail a request with check payment and a certificate will be sent to you via first class mail.

Florida

Fee: $5 for LLCs or $8.75 for Corporations

Order your certificate in Florida here from the DOS site. 

Georgia

Fee: $10 for standard processing or $60 for expedited processing

Certificates of existence (another name for the same certificate) can be ordered online through the Georgia Corporations Division.

Look for the business name and request a certificate directly on the site. 

Hawaii

Fee: $7.50

You can request your certificate directly on the Hawaii.gov site here. 

Idaho

Fee: $10

You can obtain the certificate on the Idaho Secretary of State site. They have two types of certificates: Idaho State Bar or Idaho Supreme Court. 

There is no option for expediting the certificate, you will have to wait 7 – 10 days. 

Illinois

Fee: $25

Print your certificate immediately from the Illinois Secretary of State site after completing the information required. 

Indiana

Fee: $26 for online processing, $30 by mail.

In order to obtain a certificate in Indiana, you must create a login on the IN.gov INBiz portal.

If you request the certificate online, it will be available for immediate download.

Iowa 

Fee: $5

Certificates via the Iowa Secretary of State are easy to obtain by following the instructions on the site here. 

You will be able to print your certificate right away.

Kansas 

Fee: $10 for online ordering or $15 by phone or mail

Certificates of good standing are found on the Kansas Secretary of State website.

Kentucky 

Fee: $10

Apply online via the Kentucky Secretary of State website. 

You can also request a certificate via mail or by phone for the same price. 

Request a certificate via Fax for an additional $5.

Louisiana

Fee: $20

Obtain a certificate online via the Louisiana Secretary of State or by written request. 

Maine

Fee: $30

Interactive Corporate Services of Maine is where you can obtain a certificate. Search via the legal business name or your charter number and receive a copy immediately upon completion. 

Maryland

Fee: $20 + eCheck or credit card processing fees

Maryland has a Business Express site where you can request certificates of status. 

Upon completing, you will receive a certified copy.

Massachusetts

Fee: $25 for LLCs and $12 for C-Corps

Get your certificate online from the Massachusetts Secretary of State website. 

Michigan

Fee: $10 for online requests and $12.50 in person

Michigan Department of Licensing and Regulatory Affairs

Minnesota

Fee: $15 for online or $5 for in-person or mail requests

Minnesota Secretary of State’s business filling page is where you can get a certificate of good standing or you can do it in-person or via mail.

Mississippi

Fee: $25 

You can order the document via the Mississippi Secretary of State’s website and download it right away.

Missouri

Fee: $10

Online ordering will give you the ability to download your certificate immediately. 

Visite the Missouri Secretary of State website for further instruction. 

Montana

Fee: $5

Applications are processed immediately on the Secretary of State website for Montana. 

Nebraska

Fee: $6.50 for online filing and $10 for mail requests

Search and request certificates via the Nebraska Secretary of State website. 

Nevada

Fee: $50

For an online copy of your certificate in Nevada, you’ll need to create a quick account with the Nevada SilverFlume business portal. 

Otherwise you can request a copy via mail, fax, or email. 

New Hampshire

Fee: $7 for online and $5 in person

New Hampshire businesses needing a certificate can visit the QuickStart database from the Secretary of State. 

New Jersey

Fee: $25 for LLCs, $50 for Corporations, and $10 for nonprofit organizations

Certificates can be obtained through the New Jersey Department of the Treasury here. 

New Mexico

Fee: $25 for LLCs, $50 for Corporations and $10 for nonprofits

Obtain certificates for LLCs, Corporations and nonprofits via the New Mexico Secretary of State’s website here. 

New York

Fee: $25 for standard processing, $50 for expedited processing

There is no online option for obtaining a certificate in New York, you must request in person, via email or through a mail request. 

If you need the certificate within 24 hours, you can pay the additional $25 expedited fee.

North Carolina

Fee: $10 for online certificates, $15 for phone ordering

Simply visit the North Carolina Secretary of State to request a certificate of existence.

If you order the certificate online, it will be available immediately following the transaction.

North Dakota

Fee: $20

There is no online option for obtaining a certificate in North Dakota, you must request them via phone or fax, via email or through a mail request. 

Ohio

Fee: $5 – $25 depending on the version

Obtaining a certificate in Ohio is simple through their online business portal. 

Once you complete the information and make a payment, the document is available for immediate download. 

Oklahoma

Fee: $20

The Oklahoma Secretary of State website has a searchable feature where you can find and download certificates. 

Online filings can obtain a certificate within 24 hours while mail and fax requests take up to 4 business days.

Oregon 

Fee: $10

Certificate of existence are retrieved from the State of Oregon’s business portal.

Certificate requests are generally processed within 3-5 business days.

Pennsylvania

Fee: $40

Certificates can be ordered either online or by mail with the Pennsylvania Department of State. 

If you order the certificate online, it will be available within 2 hours. 

Main-in orders take 7 – 10 business days to process.

Rhode Island

Fee: $22

Certificates are available via mail, phone, or online at the Rhode Island Secretary of State site. 

South Carolina

Fee: $10

Certificates are available immediately online via the South Carolina Secretary of State site. 

South Dakota

Fee: $20 for online requests, $35 for paper filings

Certificates can be found online at the South Dakota Secretary of State website here. 

If you need expedited processing, there is an additional $50 fee. 

Tennessee 

Fee: $20

The order fee for Tennessee is for online or mail certificates. Online certificates can be obtained her at Tennessee Secretary of State site. 

Texas

Fee: $15

Online certificates are available immediately when processed through the Texas Secretary of State. 

Requests made via phone or mail take 2 business days to process.

Utah 

Fee: $12

The Utah Commerce Division of Corporations and Commercial Code provides status certificates online, in person, or via phone or email. 

Online requests are available immediately while the others take 3 – 10 business days to process.

Vermont

Fee: 25

Certificates are available instantly when you complete the online form provided by the Vermont Secretary of State.

Virginia

Fee: $25

Certificates can be obtained online by visiting the Clerk’s Information System.

Once the order is processed, the certificates will be available immediately.

Washington

Fee: $20

Use the online filing system provided by the Washington Secretary of State’s Corporations Division site to obtain a certificate. 

Expedited filing will be an additional $50.

Washington, D.C.

Fee: $50

CorpOnline is Washington D.C.’s portal for obtaining items like certificates. 

You can also request a certificate in person as well. 

West Virginia

Fee: $10

Request a certificate in the state of West Virginia online, in person or by phone or fax. 

Online requests can be made via the Secretary of State site here. 

Wisconsin 

Fee: $10

The Wisconsin Department of Financial Institutions is the easiest and fastest way to get a certificate in this state. 

Otherwise requests can also be made via phone, email or fax, and in person. 

Wyoming

Fee: Free

Certificates are Free in Wyoming and can be downloaded immediately via Wyoming’s Secretary of State website here.