A certificate of good standing is a record that attests to an organization’s legitimacy and adherence to state laws. This document is frequently referred to in Georgia as a “certificate of existence” or “certificate of authorization.” However, is it necessary to run a business in Georgia?
No, a certificate of good standing is not necessary to run a business in Georgia, to put it briefly. However, there are a number of circumstances in which a company can require a certificate of existence. For instance, a company may be required to present a certificate of existence from Georgia in order to register to conduct business in another state. A certificate of existence may also be required by some lenders and investors as evidence of the stability and soundness of a business.
So, how can you acquire an existence certificate in Georgia? The procedure is rather easy to follow. The Georgia Secretary of State’s office will provide a certificate of existence upon request from business owners. The certificate will be despatched to the company’s registered address within a couple of business days after paying the $10 service charge.
It’s significant to remember that a certificate of existence has a finite shelf life. A certificate of existence in Georgia is effective for a year following the date of issuing. Businesses will then need to apply for a fresh certificate of existence if they need to show that they are legitimate.
In conclusion, even if a certificate of existence is not always necessary to run a business in Georgia, it might be in some circumstances. A certificate of existence can be purchased for $10 from the Georgia Secretary of State’s office by business owners. The certificate is good for a year after it is issued. It’s always wise to seek legal advice if you’re unsure whether your company needs a certificate of existence.
When a limited liability company (LLC) is created, the state of Georgia receives the articles of formation. These documents include details about the company, including its name, address, and members’ names.
Contrarily, a certificate of existence (also known as a certificate of good standing) is a document issued by the state of Georgia that attests to a business’s right to conduct business there and compliance with all applicable laws. It serves as evidence that the business is in good standing with the government.
The primary distinction between articles of organization and a certificate of existence is thus that the former is submitted when a company is formed, whereas the latter is acquired afterwards as evidence of the firm’s good standing.