Tennessee Foreign Qualification

Why You Need To Do It – It’s important to foreign qualify so your business can maintain compliance. If an LLC or corporation has any plans on doing business in Tennessee, it will have to foreign qualify. This includes everything from opening a new storefront to just having a single representative working in the state.

When Should You Do It? – The sooner, the better. Once you finalize your decision to start operations in Tennessee, you should begin the process of foreign qualification. Generally, you will need to receive Tennessee foreign qualification if your company falls under any of the following criteria:

• Has a physical presence in Tennessee
• Buying a property there
• Have remote employees
• Accepts orders in Tennessee
• Owns a bank account in Tennessee

There are several steps that a business must take in order to obtain Tennessee foreign qualification. These include the following.

1. Obtain Certificates – Tennessee requires that you file an Application for a Certificate of Authority in order to foreign qualify. The name of the form is the same for both an LLC and Corporation but the forms are different. You can download these forms from the Secretary of State website. Aside from this form, you will also need to submit a Certificate of Existence. You can obtain this certificate from the company’s home state. If you plan on rendering professional services in Tennessee, you will have to file a certified copy of the foreign corporation’s charter with appropriate licensing authorities. Some counties may also require the publication of the filing.

2. Collect And Submit Information – You will have to provide a wide range of information related to your business.

LLC

• LLC name
• An assumed or fictitious name, if applicable
• Name of the home state
• The original date of LLC formation
• Date when you will start transacting in Tennessee
• Description of business activity
• Name and address of the registered agent
• The month when your fiscal year closes
• The effective date of the certificate
• The management structure
• Number of LLC members
• Duration of the LLC
• Principal office street address
• Mailing address
• Whether the members are personally liable for the LLC’s debts and obligations
• An authorized signature

Corporation

• Corporation name
• An assumed or fictitious name, if applicable
• Name of the home state
• The original date you formed the corporation
• Duration of the corporation
• Description of business activity
• Date when you will start transacting in Tennessee
• Name and address of the registered agent
• The month when your fiscal year closes
• Principal office street address
• Mailing address
• Names and business addresses of current officers and directors
• An authorized signature

3. Appoint Registered Agent – Your registered agent is responsible for handling all of the foreign qualification paperwork and much of your compliance as well. Most businesses turn to a third party provider like DoMyLLC for this so they can simplify their daily operations.

4. File The Application – Once you complete the forms, file them with the Secretary of State by mail or walk-in. There is a filing fee of $50 per member, with a minimum of $300 and a maximum of $3,000 for an LLC. The filing fee for a Corporation is $600.

5. Ongoing Maintenance – Businesses must file an annual report with the secretary of state each year to maintain compliance. This is due by the first day of the fourth month after the end of the fiscal year, which for most businesses means by April 1. The filing fee for corporations is $20 while LLCs must pay $50 per member up to a $300 maximum.

Business leaders have a lot of information to manage and tasks to deal with. We take the process of foreign registration off your shoulders so you don’t have to do the work, leaving you free to focus on other aspects of your business. We provide:

•     Dedicated account managers
•     Full filing and registration service
•     Name availability check
•     Unlimited support when you need us

If you’re planning on opening your business’ doors in Tennessee, contact us to simplify the Tennessee foreign qualification process and ensure that you get the best results possible.

Related Articles

• When to Foreign Qualify a Business
• When do you Need a Certificate of Good Standing?
• Business Tax Overview
• Searching Corporate Names
• Annual Report Due Dates and Fees

Business Filing Services

• Obtain a Certificate of Good Standing
• File a DBA
• Form an LLC
• Form a Corporation
• Foreign Withdrawal