Foreign qualification with the Secretary of State in Arizona refers to the process by which a business entity formed in another state or country seeks permission to conduct business in Arizona. This involves registering with the Secretary of State and fulfilling certain legal requirements to ensure compliance with local regulations.
There are 2 different ways to foreign qualify in Arizona depending on your legal entity type and tax classification. Follow the guide below to help you register with the Secretary of State in Arizona or use Mosey to do it.
Use Mosey to register with the Secretary of State in Arizona.
Avoid the hassle of doing it yourself and use Mosey to automate foreign qualification, annual reports, and registered agent service.
Arizona Foreign Qualification for LLC
Before "doing business" in Arizona, a foreign limited liability company must be granted the authority to do so. Arizona does not provide a clear definition of what "doing business" means, but they do outline a list of activities that do not qualify.
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Register on Arizona's eCorp Website
Make an account on the ecorp.azcc.gov website.
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Register a Statutory Agent
File the Statutory Agent Acceptance (Form M002) to register your statutory agent with the Arizona Corporation Commission. During registration an email will be sent to your statutory agent, who must accept within seven days of filing.
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Obtain Incorporation Documents
At the time of filing, a foreign limited liability company must also provide a copy of their Articles of Incorporation, any amendments to the Articles of Incorporation, and a certificate of existence or a document of similar import authorized by the Secretary of State. These must be certified copies dated no more than 60 days ago.
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File Application for Authority to Transact Business
Log into the eCorp website and click on "Online Services" followed by "File as a Foreign Entity" to start the online application process for the Authority to Transact Business (Form L025).
Arizona Foreign Qualification for C Corporation
Before "doing business" in Arizona, a foreign corporation must be granted the authority to do so. Arizona does not provide a clear definition of what "doing business" means, but they do outline a list of activities that do not qualify.
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Register on Arizona's eCorp Website
Make an account on the ecorp.azcc.gov website.
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File Certificate of Disclosure
Foreign corporations must file Certificate of Disclosure (Form C003). Log into the eCorp website to complete this step.
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Register a Statutory Agent
File the Statutory Agent Acceptance (Form M002) to register your statutory agent with the Arizona Corporation Commission. During registration an email will be sent to your statutory agent, who must accept within seven days of filing.
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Obtain Incorporation Documents
At the time of filing, a foreign corporation must also provide a copy of their Articles of Incorporation, any amendments to the Articles of Incorporation, and a certificate of existence or a document of similar import authorized by the Secretary of State. These must be certified copies dated no more than 60 days ago.
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File Application for Authority to Transact Business
Log into the eCorp website and click on "Online Services" followed by "File as a Foreign Entity" to start the online application process for the Authority to Transact Business (Form C018).
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Publish Application for Authority
Within 60 days of approval, you must publish a copy of your Application for Authority in an Arizona publication. The specific requirements regarding the publication will be detailed in the application for authority approval letter that the corporation will receive from the Arizona Corporation Commission.
What else do I need to know?
Once you are registered with the Secretary of State, you may have additional requirements to maintain your "good standing" in the state. Failing to do so can result in fines, back taxes, and forfeiting certain priveleges within the state.
Maintaining a Registered Agent
Most states require that you have a registered agent that can receive important mail from the Secretary of State should they need to contact you. There are many commercial options available or you can use Mosey to be your registered agent and keep your information private in Arizona.
Annual Reports and Taxes
In addition to maintaining a registered agent, most states require you to file a report annually. Registration can also trigger state taxes such as a franchise tax or income tax. You can use Mosey to identify these additional requirements to maintain good standing in Arizona.
