My company is properly registered in Virginia but we do business in various other states. Do I need to register my company as a “foreign” entity in those states?

While each state has different rules, there are some general principles that govern the registration of “domestic” Virginia entities in other states. Most every state tests the need to register based on the frequency and the nature of the business transactions occurring in the applicable state. It is not always easy to make a determination, but you can find the rules for each state here:

In most states, you will need to register your Virginia entity as a foreign entity if any of the following are true:

  • You maintain an office in the state.
  • You have employees physically working in the state with regard to business conducted in the state (simply living or working remotely in the state on business not occurring in the state generally does not require registration).
  • You regularly send sales personnel to conduct business in the state.
  • You physically perform a contract in the state (for example, a construction project).

Gross, Romanick, Dean & DeSimone, P.C.
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Suite 410
Fairfax, Virginia 22030

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