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How to Move an LLC to Another State

Moving an LLC to another state typically entails filing for foreign qualification in the new state, while maintaining the original LLC in the home state, which allows the business to operate legally in both locations.

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Last Updated: March 16, 2026

Editor’s note: At this time, ZenBusiness doesn’t assist with domestication or dissolution of LLCs.

Many entrepreneurs enjoy a lot of benefits when they start their own business, and one of those perks is that they can choose where they want to work. Some might even start an LLC in one state and then decide to move to another later on. Thankfully, business owners have options for moving their LLC: they can choose to transfer their LLC from one state to another, establish a foreign business entity, dissolve the current LLC and start a new one in the new state, or merge two existing LLCs in different states.

Sounds a bit complicated, right? This article walks through the different options that LLC owners have to move their business to another state.

Moving an LLC to a New State

An LLC (limited liability company) can be taxed as a corporation, partnership, or sole proprietorship in any state. Because the states have varying personal income and corporate income tax rates, it’s prudent to consult with an accountant to help avoid any potential tax consequences and manage annual reports when moving the business.

The domestication/conversion process is a seamless transition of an LLC’s existing business accounts, credit rating, tax ID information, and previous business relationships from the old state to a new state. In order to establish a permanent business address and business license through the domestication process, business owners must complete the following steps:

Step 1: Acquire a Certificate of Good Standing (Certificate of Status)

The first step to move an LLC to a new state is visiting the Secretary of State’s office in the old state and obtaining a Certificate of Good Standing for the LLC. A Certificate of Good Standing is a one-page document that provides proof of the business entity’s status and lawful compliance. It’s a bit like a stamp of approval from the home state.

Step 2: Apply for domestication

Next, the business owner will need to draft a domestication plan. The owner of a single-member LLC can draft and approve their own plan for domestication, while multi-member LLCs must receive approval from every owner. The Articles of Domestication, Certificate of Good Standing, and Articles of Dissolution (not yet filed with the old state) must be filed with the Secretary of State or other state agency in the new state.

Step 3: Dissolve the business in the old state

After receiving approval for domestication in the new state, the final step is to dissolve the business in the old state. After filing the Articles of Dissolution with the old state, the approved documentation should be sent to the new state to submit proof of closure.

Other Ways to Transfer an LLC to Another State

Register it as a foreign LLC

Foreign registration allows business owners to obtain business licenses and a permanent business address to operate in other states while maintaining residency in the state where their business was originally formed. By registering as a foreign entity, business owners can use the same EIN (Employer Identification Number) and bank accounts, but will pay additional taxes and fees depending on the state laws where they reside.

To register as a foreign entity, a business owner must submit a copy of their original state’s Articles of Organization alongside a Certificate of Authority from their new state. These documents must be submitted to the state agency in charge of business filings to determine that the criteria are met for foreign qualification. The LLC will also be required to maintain separate registered agents for each state where the business operates.

Dissolve an LLC

If a business owner is unable to domesticate their business and they don’t want to conduct business as a foreign entity in the new state, they have the option to dissolve their LLC in their old state and then register their LLC in their new state. Dissolution is the official legal process of closing a business. Typically, business owners need to file Articles of Dissolution with the Secretary of State or other state agency to document the distribution of assets, liabilities, and debts in order to legally dissolve their business. Read more in this dissolution definition guide.

In addition to filing forms with the state, the other steps in dissolving a business include winding down business, selling remaining inventory, notifying creditors, paying off debts, and liquidating any remaining assets. Due to the complicated nature of dissolving a business, it’s wise to use a business attorney to ensure legal guidelines are followed.

Merge LLCs

Most states allow an old LLC to be merged with a new LLC so that the company’s assets and liabilities can be transferred rather than dissolved. While this can be a cost-effective way to move business operations, federal and state tax laws in each state need to be considered. It’s also wise to consult with a tax advisor before proceeding with a merger.

To merge an old LLC with a new one, the owner will typically need to draft Articles of Merger and file them with the Secretary of State or the appropriate state agency in the state. Once the Articles of Merger form is filed, the LLC in the old state dissolves, and its assets and liabilities are merged with those of the LLC in the new state.

Try ZenBusiness

While ZenBusiness can’t help business owners transfer their LLCs to another state, they can help entrepreneurs launch a new LLC. They offer LLC formation services and plenty of other products to help meet lots of different business needs. With help from ZenBusiness’s team of experts, any entrepreneur can start an LLC today for $0 plus state fees. ZenBusiness provides information, live support, and a step-by-step process to form an LLC in any state today. Skip the stress and guesswork and let them do the work.

Disclaimer: The content on this page is for information purposes only and does not constitute legal, tax, or accounting advice. For specific questions about any of these topics, seek the counsel of a licensed professional.

Transfer LLC to Another State – FAQs

  • Yes, it’s possible to move an LLC from California to another state. LLCs in California pay an $800 minimum annual franchise tax regardless of how much business is conducted in or out of state. If someone no longer needs to operate their business within the state of California, it could be cost-effective to go through the domestication process in the new state, or dissolve the LLC and form a new LLC in the new state.

    Interested in other state options? See below to get started:
    How to Transfer LLC Ownership in Alaska
    How to Transfer LLC Ownership in Alabama
    How to Transfer LLC Ownership in Louisiana
    How to Transfer LLC Ownership in Illinois
    How to Transfer LLC Ownership in Florida
    How to Transfer LLC Ownership in Vermont

  • There is no limit to how many LLCs a person can have as long as they are distinctly separate businesses. As long as the correct LLC filing and fees are processed for each LLC in each state, having multiple LLCs in multiple states is possible. When operating multiple LLCs in multiple states, the cost of appointing registered agents for each state, state taxes, LLC registration fees, and the varying legal requirements to operate a business within each state must be considered to make a wise choice for the business.

  • California had free LLC formations previously, but the cost for LLC formation in California is now $70, while Colorado is offering LLC formation for only $50. Outside of temporary price breaks, Kentucky usually has the lowest state filing fee of $40 compared to the highest filing fee of $520 for Massachusetts. Although LLC formation costs are significantly cheaper in some states, other factors, such as maintenance costs and annual taxes, should be considered as well when starting an LLC.

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