When a company neglects the necessary steps of maintaining its good standing with the state, it risks the process of being administratively dissolved by the state.
C Corporations, S Corporations, Limited Liability Companies and other entity types have to deal with ongoing state regulations, like yearly annual reports, related filing fees, franchise fees and other state taxes.
Reinstatement is the process of returning an inactive or non-compliant company back to good standing within a state.
The avoidance of your companies being in bad standing for too long, risks administrative dissolution or revocation by the state. This should be avoided, because when a state revokes a company’s corporate or LLC status, the protections afforded to the entity type, such as a corporation or limited liability company protection for the owners disappears, leaving the owners at risk for losses.
Reinstatement requires a company to resolve outstanding compliance concerns and submit compulsory forms and fees to the state. RCA helps you through the process of being reinstated by:
Reinstating your business allows you to maintain your company’s original records and historical background, it also regains the benefits and protections provided to both the corporation or limited liability company and its owners. Additionally, when your business has been reinstated, you’ll be able enter into new contracts and continue running your operations without worrying that your business maybe shuttered due to imposed fees and uncertain regulatory status.
After you’ve taken the necessary steps to reinstate your business back to good standing with the state. You should maintain a long standing relationship with a competent registered agent service provider, with tools to keep you notified of upcoming compliance events for your business in its state of formation and if applicable, in the state/s of qualification, so that you may avoid falling out of good standing again.
We’ll handle all of your reinstatement paperwork, to return your company back to Good Standing and compliance with your state. And if you wish, we can also obtain a Certificate of Good Standing.