Looking to move your business to Florida? Our state has always had a certain appeal, but the Sunshine State has become especially attractive to business owners and entrepreneurs from around the country in recent years for numerous reasons. Florida has no personal income tax requirements for its residents, and all branches of our government have a strong pro-business record as well, just to name a few. Thankfully, there are multiple avenues available to businesses looking to move to Florida from another state, which we will explore below.

How to Move Your Business to Florida

In general, there are four options that you need to know about if you’re looking to relocate your business to Florida. Each has its own upsides and downsides that you should speak to a Florida attorney about before making any final calls.

Foreign Qualification or Registration
Domestication or Conversion
Merging with a Florida Entity
Dissolving and Reincorporating in Florida

Foreign Qualification or Registering in Florida

Most of the methods for moving a business to Florida involve changing its formation state. One way to expand your operations into Florida without making that change is to file for a “foreign qualification.” Any business working outside of its formation state is known as a “foreign entity.” In order to legally transact business in Florida as a foreign entity, you’ll need to register with the State of Florida’s Division of Corporations.

It’s important to know that, when electing to go this route, your business will need to comply with all laws and regulations in Florida, its formation state, and any other jurisdictions where it has successfully filed a foreign qualification. In Florida, this includes maintaining a Registered Agent based in the Sunshine State and reporting an Annual Report with its associated filing fee.

Domestication or Conversion

Domestications and conversions are our firm’s preferred method for bringing a foreign business to Florida when the option is available. One of the things that makes Florida great for businesses is that we have an established process for turning foreign entities into Florida entities. While the terminology in your own state may differ, these processes are called Conversions when referring to LLCs and Domestications when referring to Corporations in Florida.

Moving your business to Florida through Domestication or Conversion is particularly beneficial because it allows you to change your business into a Florida entity while retaining important aspects such as its original EIN, property rights, and more. There’s no need to form another business, pause operations, or otherwise interrupt your business’s continuity. In most cases you will even be able to use the same name for your business as you did in your original state, assuming that it isn’t already in use by a Florida entity.

Merger

Another of our preferred methods for relocating a business to Florida is by using a merger. This is an especially good option for companies from states like California and New York that don’t allow domestic businesses to directly convert or domesticate into foreign entities. When taking this approach, you will first need to form a Florida entity that will later “absorb” your original business. Much like Domestication or Conversion, this transfers all the assets, property, and liabilities to the merged Florida entity while also changing your state of formation.

Dissolve and Start Again

If the above options don’t seem to meet your need, then it might be best to dissolve your old business and start fresh in your new home state. However, prepare for something of a hassle. Reformation means that you will need to obtain a new tax ID number and establish new business accounts in addition to possibly losing your previous credit. Assets will need to be transferred to the new Florida operation by way of contracts, and there will likely be significant tax repercussions and reporting obligations to comply with as well.

This is one of the more complicated — and expensive — options available for those interested in moving a business to Florida. Enlisting the help of a local business lawyer is highly advised.

Other Concerns

No matter what option you decide on, it’s important to carefully follow the rules, regulations, laws, and statutory procedures set forth by both Florida and your business’s original formation state. Don’t forget to register with state and local taxing authorities in your new state. You also need to ensure that you have the proper business licenses and permits for the area.

Should I Use FL Patel Law PLLC to Move My Business to Florida?

We certainly think so — and we have the experience to back that confidence up, too. We’ve worked with Clients to bring businesses from countless industries across the country to the Sunshine State by way of Domestications, Conversions, and Mergers. Our attorney has created a streamlined and proven process for each that you can trust to get your business where you want to go.

Article last updated on November 23, 2021.

Interested in turning your out-of-state business into a Florida business? Don’t risk breaking your business’s stride — get assistance from an experienced business conversion attorney by calling (727) 279-5037, or if you are ready to convert, check out our service page.

How to Move Your Business to Florida