Certificate of Good Standing: What It Is, When You Need It, and How to Get One

What Is a Certificate of Good Standing?

A Certificate of Good Standing (also known as a Certificate of Existence, Certificate of Status, or Certificate of Compliance in some states) is an official document issued by a state government confirming that your business entity is properly registered and in compliance with all state requirements. It verifies that your entity has filed all required reports, paid all fees and taxes, and is authorized to conduct business in that state.

Think of it as a clean bill of health for your business. It tells the world that your company is legitimate, active, and current on its obligations.

When Do You Need a Certificate of Good Standing?

There are several common scenarios where you will be asked to produce this document:

Opening a business bank account - Many banks require a Certificate of Good Standing, especially if your entity was formed in a different state

Applying for business loans or lines of credit - Lenders use this document to verify your business is active and compliant

Foreign qualifying in another state - When you register to do business in a new state, that state typically requires a Certificate of Good Standing from your home state

Renewing business licenses or permits - Some local governments require proof of good standing before issuing or renewing licenses

Entering into contracts - Other businesses or government agencies may request this document before signing agreements

Selling the business or bringing on investors - Due diligence processes almost always require current good standing documentation

How to Obtain a Certificate of Good Standing

Step 1: Ensure Your Entity Is Compliant

Before requesting a certificate, make sure your business has filed all annual reports, paid all franchise taxes, and has a current registered agent on file. If anything is overdue, you will need to resolve it first.

Step 2: Request from the Secretary of State

You can typically order a Certificate of Good Standing through your state's Secretary of State website, by mail, or in person. Most states offer both standard and expedited processing.

Step 3: Pay the Fee

Fees range from as little as $5 in some states to $50 or more in others. Expedited processing usually costs an additional fee.

Step 4: Receive Your Certificate

Standard processing takes anywhere from a few days to two weeks. Expedited options can deliver your certificate within 24 hours or even the same day in some states.

How Long Is a Certificate of Good Standing Valid?

Most Certificates of Good Standing do not have a formal expiration date, but most parties that request one will want it to be recent. A certificate that is 30 to 90 days old is generally considered current. For bank applications and real estate transactions, you should plan to obtain a fresh certificate rather than relying on one from several months ago.

What If Your Entity Is Not in Good Standing?

If your entity has fallen out of good standing due to missed filings or unpaid fees, you will need to resolve those issues before a certificate can be issued. This may involve filing delinquent annual reports, paying late fees and penalties, or updating your registered agent information. Check our state guides for specific reinstatement requirements.

How CLS Can Help

CLS can obtain Certificates of Good Standing on your behalf in any state. We handle the request, manage any compliance issues that need to be resolved first, and deliver the certificate to you quickly. If you need certificates across multiple states, we can coordinate all requests simultaneously. Contact us to get started or visit our order page for pricing details.