Can You Relocate or Convert a Georgia LLC to a Florida LLC?
Updated: January 13, 2023
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Transferring or Converting a Georgia LLC to a Florida LLC
Considering Florida’s reputation as being a business-friendly state, some business owners have been transferring their LLCs from Georgia to Florida. Some business owners might be reluctant to do this, though, because they think it might affect business operations or even cause the company to fail. However, a procedure known as statutory conversion makes it possible to transfer a Georgia LLC to Florida without affecting business operations. To transfer an LLC from one state to another it must be permitted by the laws of both states. Refer to Chapter 605 of the Florida Revised Limited Liability Company Act to see the requirements set forth by Florida law.
What Happens in a Conversion?
When clients ask for help relocating their businesses to Florida, we advise them to use the statutory conversion process. With this method, a Georgia LLC can become a Florida LLC without extensive business changes or from scratch. Even though your business will be operating in a different jurisdiction, the company will remain the same. The LLC will be handled as though Florida had been its initial state of incorporation, and this also applies retroactively. The FEIN, management structure, and ownership rights of the business remain unaltered. Before settling on a name for your LLC, it’s a good idea to run a name availability check to see if it’s already in use by another Florida entity. If it is, it might be necessary to choose a new name before moving forward.
Does Georgia Allow Domestic LLCs to Convert to Florida LLCs?
The statutory conversion procedure described in Section 14-11-906 of the Georgia Code allows LLCs created in Georgia to convert into LLCs in Florida. To accomplish the same goal, corporations must, however, employ a different procedure known as domestication.
(a) A limited liability company may elect to become a foreign limited liability company, a foreign limited partnership, or a foreign corporation, if such a conversion is permitted by the law of the state or jurisdiction under whose law the resulting entity would be formed.
How Do I Convert My Georgia LLC to a Florida LLC?
The process of conversion typically begins with the creation of a conversion plan outlining the relocation of the company. After the Georgia LLC’s owners (also referred to as the LLC’s members) have approved the plan, you must prepare and file the required paperwork by regulatory bodies in both states. Follow the instructions provided by the laws of both states precisely as well, as mistakes made during the statutory conversion can result in anything from interruptions to cutoffs. Hiring a company with experience moving businesses from Georgia to Florida can lessen these risks. Find out more how FL Patel Law, PLLC can help you convert your Georgia LLC to a Florida LLC today, click here.
What are the Effects of Converting my LLC from Georgia to Florida?
Statutory conversion enables the transfer of a Georgia LLC to Florida with little adjustment or disruptions to your company’s operations. The Florida filed Articles of Organization will take precedence and cancel your original formation documents, such as your Georgia LLC’s Articles of Organization. This enables the management structure of the company to remain unaltered. The LLC members’ ownership and property rights will also not change. Any obligations or litigation incurred by the LLC in Georgia will continue unabated, though the name of the converted entity may be used in litigation for the sake of clarity.
Should I Work with a Lawyer to Convert My LLC?
Absolutely. It cannot be overemphasized how helpful an experienced Florida business attorney can be during your Georgia LLC’s conversion. Our firm has partnered with multiple businesses and consultants from across the country – including Georgia – to bring their companies to the state of Florida without interruption or other unwelcome surprises.
Are you prepared to move your Georgia LLC to its new location across that southern border into beautiful sunny Florida? Call us at (727) 279-5037 or visit our flat fee service page to hire an experienced business conversion attorney to prevent your company from closing or ceasing operations over using the wrong attorney.