Looking for a cost-effective way to move your business to a new state?
Statutory domestication is usually the most cost-effective way to move an LLC or corporation to another state. We provide several options to ensure a smooth transition at a reasonable cost. Our analysis tool evaluates the laws of both states, checks whether domestication is available, and provides a no-obligation price quote.
Statutory domestication (called “conversion” in some states) is usually the simplest and most cost-effective way to move an existing business entity from one state to another. The cost of a domestication breaks down into three components: labor costs, state filing fees, and (in some cases) registered agent fees. Each component is discussed below.
Labor Costs for a State-to-State Business Move
Domestication is more labor-intensive than forming a new entity. The process requires analysis of two sets of state law, preparation of a coordinated set of legal documents designed to comply with both states’ requirements, filing those documents with both state agencies, and communicating with both agencies and the business owners throughout the process.
Labor costs are the most variable component. A provider unfamiliar with the domestication process may not be able to predict the overall cost with any accuracy. Because of this unpredictability, many attorneys bill on an hourly basis for domestication work.
Flat-Fee Pricing for LLC and Corporate Domestication
We use a flat-fee billing structure that includes an up-front price quote for all services necessary to transfer the business to a new state. You can get an automated, no-obligation price quote through our LLC Domestication Analyzer.
State Filing Fees for Domestication
Both filing offices (typically the Secretary of State in each state) charge fees for examining and filing the domestication documents. Because documents must be filed in two states, both sets of filing fees must be considered.
Attorney Practice Note: The documents filed with state agencies require, as a legal prerequisite, the preparation and authorization of a plan of domestication. These filing documents notify the state of the domestication once the plan and related documents are already in place. They are not standalone forms.
The filing fee for each state can be determined in advance by examining the fee schedules that each state’s filing office publishes. The following chart provides examples of filing fees charged by some of the most common domestication states. Corporation filing fees differ from LLC filing fees in most states.
Filing Fees for Entities Transferring INTO a State
| State | Fee | Includes |
|---|---|---|
| California | $70.00 | Articles of Organization – Conversion (Form LLC-1A) ($70.00) and Statement of Information ($0.00) |
| Florida | $150.00 | Articles of Conversion ($25.00) and Articles of Organization ($125.00) |
| Texas | $600.00 | Certificate of Conversion ($300.00) and Certificate of Formation ($300.00) |
Filing Fees for Entities Transferring OUT OF a State
| State | Fee | Includes |
|---|---|---|
| California | $30.00 | Certificate of Conversion (CONV-1A) ($30.00) |
| Florida | $25.00 | Articles of Conversion ($25.00) |
| Texas | $300.00 | Certificate of Conversion ($300.00) |
Calculating Total State Filing Fees
Total fees are the sum of the new state’s filing fees and the old state’s filing fees. For example, an LLC moving from California to Texas would pay $630.00 ($600.00 to the Texas Secretary of State and $30.00 to the California Secretary of State).
These costs are just one part of planning your LLC move. Our comprehensive guide to LLC movement covers the full process, timeline, alternatives, and state-specific requirements.
Registered Agent Fees During a State-to-State Move
Nearly every state requires a business entity to maintain a registered agent for service of process. When domesticating into a new state, the business must designate a registered agent in the new state. If a business owner or manager lives in the new state and is willing to list a personal or business address in the public records, that person may serve as the registered agent. In most cases, a corporate registered agent is a better choice. Corporate registered agent services typically cost around $125.00 per year.