Why Do You Need An Alabama Reinstatement For Your LLC or Corporation?
When a company loses its good standing, it may face noncompliance fines and lose the benefits that come with its entity type. Alabama reinstatement will help restore this so that the organization will be able to conduct its operations legally and without worry.
What Is Needed To File For Reinstatement?
If a company falls into bad standing status, its business operations and credibility may be affected. In some cases, the state also ends up administratively dissolving the company. The Alabama reinstatement process will allow the business entity to correct its mistakes and return to good standing with the state.
The process varies depending on the state where you formed your company. The common requirements include the submission of formal reinstatement paperwork and payment of the corresponding filing fee. You will also need to address all past due reports and fees
While this is true for most states, Alabama has different regulations. Its Secretary of State does not administratively dissolve business entities. If your company fails to file annual reports, the Collection Services Division of the Department of Revenue may take you to court.
How Much Will It Cost To Reinstate?
LLC – A limited liability company (LLC) cannot reinstate since there is no administrative dissolution in Alabama. If your LLC wishes to do business again after voluntary dissolution, you will have to go through the formation process. Doing this will cost at least $100.
Corporation – The state does not have an involuntary dissolution of corporations. The only way to dissolve is through voluntary filing. If you wish to operate again after the dissolution takes effect, you will have to form a new business entity. You will need to prepare at least $100.
How Long Will This Process Take?
LLC – If your LLC chooses to file for voluntary dissolution, the state will give you 120 days to revoke the Articles of Dissolution that you submitted. After that period, your dissolution will be permanent. Other businesses will also be able to use your company name. So, if you want to start doing business again, you will have to form a new LLC. For this process, the state will take about 1-2 working days.
Corporation – Once your corporation submits for voluntary dissolution, it will have around 120 days to revoke its Articles of Dissolution. Otherwise, it will permanently be closed. The company name will also be available for use by another business. In case you want to do business again, you have to file formation documents. The state will take 1-2 business days to process the paperwork for this.
What Cannot Be Changed On The Forms?
Alabama no longer dissolves business entities administratively. So, Alabama reinstatement is not possible. Use the appropriate form for the specific change that you want to make. You can check this with the Secretary of State.
What If My Company’s Name Is In Use When I Need To Reinstate?
LLC –You will no longer have the right over the name after dissolution. Therefore, another entity can use it. You will need to use a new one if you want to do business again.
Corporation – Your corporation revokes its right on the company name once the dissolution takes effect. So, you will need a new name that follows the state guidelines if you want to conduct business operations again.
How Can DoMyLLC Assist With Streamlining?
Alabama reinstatement is not possible. However, there are other processes that you may have to go through to complete certain transactions. Doing any of these may be a bit overwhelming for a business owner. You may find yourself in need of professional help. If that is the case, it may be best to leave the filing and handling of the process to a team of experts like DoMyLLC. Our team includes personalized solutions and live support. You can expect a service that is suitable for your specific needs. Contact us now and find out how we can make the process hassle-free for your Alabama company.
Alabama Reinstatement FAQs
Can You Change Your Registered Agent On The Reinstatement?
There is no reinstatement process in Alabama. If you want to change your company’s registered agent, you will have to submit a completed Statement of Change of Registered Agent.
How Many Annual Reports Can Your Company Fail To Submit Before The State Prohibits Reinstatement?
If your company fails to submit an annual report, the Collection Services Division of the Department of Revenue may take the case to court even before you miss the second filing.
How Long Can Your Company Be Inactive With The State Before It Has To Start Over As A New Business Entity?
You cannot reinstate a business in Alabama. So, you will have to start a new entity once it gets dissolved.