Every local or international company doing business in California must satisfy compliance standards. Among these responsibilities is filing a biennial Statement of Information with the California Secretary of State, which ensures that an organization’s management and address are up to date.
This guide will give you an in-depth overview of the Statement of Information needs for 2024, focusing on limited liability companies (LLCs) that must follow the biennial filing procedure. We’ll also share how Mosey can lend a hand with state compliance.
What Is the California Biennial Statement of Information?
The California Secretary of State requires the California Statement of Information to be filed every two years. LLCs and corporations must turn in this documentation to verify or change the contact information, management, and other facts surrounding their business.
Form LLC-12 is the equivalent form for LLCs. Businesses must accurately retain their records, as this helps preserve a good reputation with the state and prevent fines or suspension.
Who Must File?
Every foreign or California-based LLC must submit a Statement of Information. This requirement applies whether the LLC is listed on state records as active or suspended. The paperwork must be completed 90 days after the LLC is registered in California.
Businesses must submit every two years within a six-month period contingent on their registration date following this first filing. Ignoring the rules may result in fines and suspension of business activities.
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What Are the Filing Deadlines and Windows?
The LLC’s founding or registration month determines the six-month period used in the biennial filing calendar. The filing window starts five months before and runs through the last day of the LLC’s anniversary month.
If an LLC were created in June, for instance, its biennial filing would have to be completed between Jan. 1st and June 30th of the appropriate filing year. The filing periods work as follows:
| Month of Formation | Filing Period |
|---|---|
| January | August-January |
| February | September-February |
| March | October-March |
| April | November-April |
| May | December-May |
| June | January-June |
| July | February-July |
| August | March-August |
| September | April-September |
| October | May-October |
| November | June-November |
| December | July-December |
Companies that miss their filing dates run the risk of losing their good standing with the state and may have to pay late fees.
What Information Is Needed for Filing?
When turning in your Statement of Information, certain data must be entered exactly. This data consists of:
LLC Name
Enter the exact name of the LLC as registered with the California Secretary of State. This ensures your filings show no discrepancies.
Entity Number
Every LLC receives a 12-digit entity number from the state. You can find your entity number on your LLC’s registration document or by using the California Business Search web tool.
Principal Office Address
The complete physical address of the company’s principal office, including street name, number, city, and zip code, is also required. P.O. boxes are unacceptable.
Mailing Address
Should your address differ from your main office, you should also include your postal address. Unlike the physical address, this can be a P.O. Box.
Managers and Members
List the LLC’s managers’ or members’ names and addresses here. Provide the names of every member if no managers are appointed. At least one must be named.
Agent for Service of Process
An LLC must name a corporate agent or person to accept legal documents on behalf of the company. If the agent is registered as a corporate agent with the California Secretary of State, they must have a physical address in California.
Business Activities
Finally, you will need to briefly describe the principal business activity of the LLC.
Maintaining good standing with the California Secretary of State calls for accurate and current information supplied during Statement of Information filing. Completion of this file confirms compliance for your company and maintains your legal standing in California.
How To File the California Statement of Information
When you consider all the online filing options, completing the Statement of Information for your LLC is quick and easy.
Here’s a step-by-step guide to submitting your Form LLC-12:
Visit the California Secretary of State’s Website
The easiest way to file is online at bizfile.sos.ca.gov. This method lets companies obtain instant validation of their file, which is quick and safe.
Complete Form LLC-12
You will also need to enter specifics about your LLC, such as its name, main office address, and management or member contact information. Verify that all material is accurate to prevent delays.
Check Your LLC’s Status
Before you file, make sure your LLC is in good standing with the Secretary of State. The Business Search function on the state website allows you to confirm this.
Should your LLC be suspended or forfeited, you must first address this matter with the California Franchise Tax Board before moving on with your Statement of Information application.
Pay the Filing Fee
The biennial filing fee is $20. Including payment at the time of submission can help prevent your application from being rejected. Additional costs may be charged if you ask for certified copies or make modifications.
Submit the Filing
Send the required documents online once the form is finished and the fee is paid. If you file by mail, send it to the Sacramento office of the Secretary of State along with the filing fee.
Filing the California Statement of Information is simple when approached with attention to detail. Following these guidelines can prevent penalties and keep your business in good standing. That’s true whether you file online or by mail.
File your biennial statement, hassle free.
Automate submission of your California Biennial Statement of Information and never miss an entity compliance deadline.
How To Avoid Penalties and Late Fees
Failing to turn in your Statement of Information by the deadline will cost $250. Furthermore, your LLC’s status can be suspended, which could include loss of legal rights, the inability to sue or defend in court, and trouble obtaining financing or doing business. Here’s how to avoid these issues:
Mark Your Calendar
You should always monitor your biennial filing deadlines. Mosey’s compliance automation can remind companies about upcoming filing seasons, helping them manage their compliance dates.
Stay Up to Date
Regulations change frequently, so it’s important to stay informed. Mosey keeps companies in the loop about any developments affecting their responsibilities and tracks regulatory changes.
Maintaining control over your LLC’s biennial filing dates can help prevent business disruptions and expensive penalties. You can also ensure your company stays compliant by noting important events and remaining current with legislative changes.
What Happens if Your LLC Is Suspended?
Should your LLC neglect to file the Statement of Information on time, the Franchise Tax Board (FTB) may suspend it. A suspended LLC can experience significant difficulties recovering its good standing and cannot lawfully function in California. To revive a suspended LLC, you will need to follow these steps:
Resolve Tax Issues
If you have unpaid taxes, contact the California Franchise Tax Board. The FTB has guidelines for restoring your LLC to full compliance.
File Missing Statements
Once tax problems are fixed, your LLC must turn in any delayed Statements of Information. If needed, the FTB’s website provides directions on how to finish the revivor process.
Suspending your LLC can pose major operational and legal restrictions for your company. Dealing with tax responsibilities early on and submitting past-due Statements of Information can help avoid long-term problems.
How To Manage Compliance With Mosey
For companies operating in multiple states, staying aware of your compliance responsibilities, like the California Statement of Information, can pose a challenge.
With state-specific filings like the biennial Statement of Information, Mosey’s compliance management platform provides an all-in-one solution. Mosey minimizes the possibility of missing important deadlines and paying fines by automating compliance procedures.
With Mosey, businesses benefit from:
- Automated Reminders: Keep yourself informed about upcoming filing dates and legislative changes. Automatically track every requirement that applies to your business as it grows.
- Comprehensive State Compliance: Easily control compliance across all 50 states using clear resources and action plans.
- Centralized Access: Make sure your legal, financial, and HR personnel have centralized access to compliance tasks and key documentation.
Businesses using Mosey can streamline their compliance processes, lighten their administrative load, and focus on growth with our assistance.
Choose Mosey for LLC Compliance
LLCs operating in California must file California’s biennial Statement of Information. By knowing the filing process, deadlines, and required information, businesses can remain compliant and save expensive fines.
Using a tool like Mosey can help your company stay focused on its primary objectives and ensure compliance across several jurisdictions, including California. Book a demo with Mosey today.
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