Recent Answers to Certificate of Good Standing Law Questions

Robert P.

Answered Jun 24, 2025

A certificate of good standing is simply a due diligence item the lender will require showing your business entity is in "good standing" with the state in which the business was formed. "Good standing" means the business is operational and has paid its taxes (franchise taxes, etc) and is up to date on all annual fees, etc. To get the certificate, you can log on to your state of formation's secretary of state website (usually under the section entitled "business services") and you can purchase a certificate of good standing for a minimal fee.

Damien B.

Answered Feb 10, 2025

In New York, a business's Certificate of Good Standing certifies that it is adequately registered and active in doing business in the state. A business owner may obtain a Certificate of Status, also referred to as a Certificate of Good Standing or Certificate of Existence, evidencing the existence of a corporation or other business entity by submitting a request to the New York State Department of State, Division of Corporations.

Melissa G.

Answered Sep 10, 2024

A certificate of good standing shows that your business has complied with all of the applicable laws and regulations for the state in which the business operates (e.g., all required reports have been filed like the annual report; the business has paid all taxes and fees; the business has met any necessary licensing and regulatory requirements, etc.). and that the business is legally authorized to operate in a state. It is important to have so that the business can show potential partners, investors, or lenders that your business has taken the necessary steps to ensure its legal status in the state.