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How to transfer an LLC to another state

9 min read
Kaleigh Johnson
Map of the United States with three large, colorful arrows showing movement between different states, illustrating the concept of how to transfer an LLC to another state

If your business is growing or your life is taking you somewhere new, you may be wondering how to transfer an LLC to another state. Moving your LLC to a new state isn’t as simple as changing your address; it involves a few key legal and administrative steps to stay compliant and protect your business structure. If you’re unfamiliar with this business structure, you can learn more about what is an LLC.

Let’s explore everything you need to know to transfer your LLC to another state so that you can embark on your new beginning with confidence.

Options for moving an LLC to another state 

When you’re ready to move your business, you’ve got a few paths you can take. Each option comes with its own pros, cons, and filing requirements, so understanding your choices upfront can help you avoid delays or costly mistakes. The most common ways to move your LLC to a new state are:

  • Continue your existing LLC and register as a foreign LLC in the new state
  • Domesticate your LLC
  • Dissolve your existing LLC and form a new one in the new state
  • Merge the old LLC with a newly formed LLC in the new state

Let’s examine each method in more detail below. If you’re starting from scratch, you can also check out our guide on starting an LLC.

Foreign LLC registration

A collection of paperwork, including IRS tax forms, a pen, a lined notebook, and envelopes, arranged on a white wooden surface, illustrating the documents and steps needed to transfer an LLC to another state.

If you want to keep your original LLC active while expanding or relocating, registering as a foreign LLC is often the most straightforward option. This option is popular among businesses that operate across state lines or want to maintain continuity in their home state.

What is a foreign LLC? 

A foreign LLC is simply a business that was formed in one state and now operates in another. The word “foreign” doesn’t mean international — it’s a legal term used by states to refer to out-of-state entities. For example, if your LLC was formed in Nevada but you’re now conducting business in Oregon, Oregon will consider your LLC “foreign.”

How to register as a foreign LLC 

To register your LLC as a foreign entity, you’ll typically need to:

  • File a Certificate of Authority (or equivalent) with the new state’s business division
  • Submit a Certificate of Good Standing from your original state
  • Pay a registration fee (costs vary by state)
  • Appoint a registered agent in the new state

You may also need to register for state taxes or obtain additional licenses depending on your industry. For a full breakdown, read our guide on how to register your business in any U.S. state.

Pros and cons of registering as a foreign LLC 

Pros:

  • You don’t have to shut down your existing LLC
  • Maintains business continuity and brand recognition
  • Helpful for companies expanding into multiple states

Cons:

  • You’ll need to stay compliant in both the original and new state
  • Can lead to higher administrative costs due to dual filings and tax obligations

LLC domestication 

If your goal is to fully move your LLC to a new state rather than operate across multiple states, domestication might be your best option. It allows you to transfer your LLC’s legal home from one state to another, so you only operate in the new state moving forward.

What is LLC domestication? 

LLC domestication (also called LLC conversion) is a legal process that changes the state in which your business is officially formed. Your LLC retains its original identity, including its EIN, bank accounts, and contracts, but becomes governed by the laws of the new state instead of the old one.

Not all states allow LLC domestication. The table below lists the U.S. states that currently allow you to transfer an LLC to a new state using this method, as well as their eligibility requirements.

StateEligibility requirements
AlaskaBoth states must authorize domestication/conversion
Formal plan of domestication
Must be in good standing
ArizonaMember-approved domestication plan
Must be in good standing
CaliforniaConversion plan
Articles of Conversion
Certificate of Good Standing
ColoradoConversion plan
Both states must support conversion/domestication
ConnecticutFormal domestication plan
Statement of Domestication
D.C.Formal domestication plan
Statement of Domestication
Domestication/conversion must be supported by both states
FloridaArticles of Conversion
Formal conversion plan
Certificate of Good Standing
IdahoAdheres to Uniform LLC Act (ULLCA)
IllinoisFormal domestication plan
Domestication/conversion must be supported by both states
IndianaAdheres to Uniform LLC Act (ULLCA)
Formal conversion plan
Must be in good standing
IowaAdheres to Uniform LLC Act (ULLCA)
Formal conversion plan
LLC must be current on all filings
KansasFiled domestication agreement
Must maintain good standing
LouisianaCertificate of Conversion
Approved conversion plan
MaineFormal conversion plan
Certificate of Good Standing
MassachusettsFormal domestication plan
Articles of Domestication
Must be in good standing
MichiganPlan of conversion
Compliance in both states
MinnesotaAdheres to Uniform LLC Act (ULLCA)
Formal domestication plan
Must be in good standing
Domestication/conversion must be supported by both states
MississippiFormal domestication plan
Adheres to Uniform LLC Act (ULLCA)
Must be in good standing
NebraskaFormal domestication plan
Must be in good standing
NevadaArticles of Conversion
Member-approved conversion plan
New HampshireFormal domestication plan
Domestication/conversion must be supported by both states
New JerseyArticles of Domestication
Must be in good standing
North CarolinaArticles of Conversion
North DakotaFormal domestication plan
Member approval
Adheres to Uniform LLC Act (ULLCA)
Must be in good standing
OhioDeclaration of Conversion
State compliance
OregonArticles of Conversion
Certificate of Good Standing
PennsylvaniaFormal domestication plan
Must be in good standing
South CarolinaPlan of conversion
Articles of Conversion
South DakotaFormal domestication plan
Member approval
Adheres to Uniform LLC Act (ULLCA)
TexasCertificate of Conversion
Plan of conversion
State authorization
UtahFormal domestication plan
Adheres to Uniform LLC Act (ULLCA)
VermontFormal domestication plan
Must be in good standing
VirginiaFormal domestication plan
Adheres to Uniform LLC Act (ULLCA)
Member approvalMust be in good standing
WashingtonArticles of Conversion
Plan of conversion
WisconsinAdheres to Uniform LLC Act (ULLCA)
Articles of Domestication
Must be in good standing
WyomingAdheres to Uniform LLC Act (ULLCA)
Formal domestication plan
Filing with both states required

How to domesticate your LLC 

LLC domestication can be tricky because, in many cases, both your new state and your current state must allow it. The steps you have to take will vary by state, but they usually include:

  • Filing a Certificate of Domestication (or Articles of Conversion) with the new state
  • Filing a plan of conversion or similar paperwork with your original state
  • Paying state-specific fees
  • Updating your operating agreement, tax registrations, and licenses as needed

Pros and cons of domesticating your LLC 

Pros:

  • Keeps your LLC’s history, EIN, contracts, and licenses intact
  • Eliminates the need to maintain compliance in two states
  • Cleanest legal transition for businesses that plan to operate in just one state

Cons:

  • Not all states allow it
  • Can involve more paperwork and legal support than forming a new LLC

LLC dissolution 

In some cases, it makes more sense to close your existing LLC and start fresh in a new state. While this means ending your current business entity, it gives you a clean break and can simplify your obligations going forward. This option is often used when business owners are no longer operating in the original state at all.

What is LLC dissolution? 

Dissolution is the formal closure of your LLC in the state where it was formed. It involves submitting the right paperwork, resolving debts, and wrapping up your business’s affairs. Once completed, your LLC is no longer recognized as a legal entity in that state.

How to dissolve an LLC 

Every state has unique LLC dissolution processes, but most of them require you to:

  • File Articles of Dissolution with the Secretary of State or similar office
  • Pay any outstanding taxes, fees, or penalties
  • Close tax accounts, cancel business licenses, and notify stakeholders
  • Distribute any remaining assets among members

Before you dissolve, make sure your new business name is protected in the new state. Check out our guide on how to legally protect your business name for more information.

Pros and cons of dissolving your LLC to open a new one 

Pros:

  • You can start fresh with a new legal entity
  • No need to manage compliance in two states

Cons:

  • You lose your business’s legal continuity and history
  • May involve canceling and reapplying for contracts, licenses, and tax IDs

LLC merging 

A set of railroad tracks splitting into two directions between rocky cliffs, symbolizing making a decision or choosing a new path, such as the process to transfer an LLC to another state.

Merging your LLC with a newly formed one in another state is another strategy for moving your business. This approach combines your existing business into a new LLC formed in your destination state. It’s a more complex process, but it can help preserve your business’s history and assets.

What is LLC merging? 

An LLC merger involves creating a new LLC in a new state and then legally combining your current LLC with it. The result is a single surviving LLC in your new state while the old one is absorbed and then dissolved. LLC mergers are not allowed in every state, so it’s crucial to check the applicable laws and regulations before deciding how to move forward.

How to merge LLCs 

The states that allow LLC mergers all have their own processes and guidelines. However, it typically involves:

  • Forming a new LLC in your new state
  • Creating a merger agreement that outlines how assets, liabilities, and members will be handled
  • Filing the Articles of Merger in both states
  • Updating contracts, tax registrations, and licenses to reflect the new LLC

Pros and cons of merging LLCs 

Pros:

  • May allow you to keep your business’s history and existing contracts
  • Can streamline asset transfers into the new entity

Cons:

  • Can be legally complex and time-consuming
  • May require legal support to complete the merger properly
  • May require you to choose a new LLC name

Considerations for transferring your LLC 

Transferring your LLC to another state affects your legal standing, tax obligations, and day-to-day operations. Taking the time to understand what’s involved can help you avoid missteps and stay compliant during the transition.

Every state has different laws for how to transfer an LLC, and some don’t allow certain methods like domestication at all. You’ll need to follow the rules of both your original and new state. If you’re expanding instead of moving, you may need to register as a foreign LLC. 

If you’ve trademarked your LLC name or domain, make sure you know what rules apply to transfer - if you need more information, here are trademarks explained. Always double-check each state’s requirements before you begin to avoid delays or rejections.