What is Wyoming Business Domestication?
Wyoming business domestication refers to the act of relocating your business from one state to Wyoming. In recent years, this has become a popular practice as business taxes and annual maintenance fees have increased in states like Nevada. Business owners don’t want to lose the established histories of their current businesses, but don’t want remain in their current state. For businesses wanting to move to Wyoming without losing their date of formation, current structure and history, domesticating in Wyoming is the solution.
Is There a Difference Between Domestication and Continuation in Wyoming?
The major difference between domestication and continuation is that only out-of-state businesses can domesticate in Wyoming. Continuation is a process that allows out-of-state and out-of-country businesses to relocate to Wyoming. The act of continuation requires a few more nuanced steps, including providing the Wyoming Secretary of State with member or shareholder resolutions affirming the continuation, as well as notarized continuance documents and.
The advantage for out-of-state businesses filing continuation paperwork, as opposed to domestication filings, is that these businesses can include amendments to their articles for no additional charge. Domesticating businesses will have to file any amendments separately and pay the appropriate fees. However, domestication filings require less paperwork. Unless you have a lot of amendments to make to your corporation or LLC, you’ll want the domestication filing is simpler process.
Why Move a Business to Wyoming?
The advantages of doing business as a Wyoming entity are many:
No state corporate tax
Although the federal government requires corporations taxed as C-corps to pay a net corporate income tax, Wyoming does not.
No state income tax
Wyoming does not tax the income of its residents. For shareholders and LLC members alike, the lack of a personal income tax could serve as a massive tax savings. Our state receives most of its budgetary income from our natural resources like coal, oil, and metals, and these resources will continue to fill the state coffers for years to come. Plus, the general public will have to approve any tax hikes, and in general, we don’t take kindly to taxes around here, whether their Wyoming business taxes or otherwise. In short, the introduction of state income taxes seems improbable at best.
Low annual maintenance fees
Wyoming has no state business license, but like most states, Wyoming does require every business entity to file an annual report each year. However, these reports are simple, can be filed online, and unless your company keeps more that $250,000 in assets in the state*, the annual report fee is a flat $50. Compared to states like Nevada where you have to pay hundreds of dollars each year just to keep the business active, Wyoming’s approach to doing business just makes sense. (* If your business has more than $250,000 in assets in Wyoming, your annual report fee will be $.0002 per dollar of business assets in Wyoming.)
No estate taxes
For small family businesses that are beginning to consider the transition of the business from one generation to the next, Wyoming could be the perfect solution. In addition to low business taxes for the new generation, Wyoming has no state estate taxes no matter the size of the asset being transferred to the next generation of your family business.
Asset protection and progressive business laws
For years the Wyoming legislature has taken an aggressive stance on doing all it can to promote businesses in our state. The result has been some of the toughest asset protection statutes in the country. Whether you’re concerned with privacy, creditor protections, or taxes, the Wyoming legislature has made good on its promise to put business owners first and shows no signs of stopping.
How to Move Your Business to Wyoming
Before beginning this process on your own, be advised that it requires you to obtain multiple documents and file them in concert with the articles of continuance. This process can be overwhelming and confusing and for those that would prefer to have Wyoming domestication performed by professionals, we offer a domestication service for $595. This includes obtaining all documents and all filings and provides you with a year of the best Wyoming registered agent service, as well as free online tools, document tracking, and fantastic customer service.
If you would like to know the overall process of domesticating a business in Wyoming or want to try it on you own, you can see the steps below for an overview of the process:
Obtain Certified Copies of Business Formation Documents
These are certified copies of your Articles of Organization (LLCs) or Articles of Incorporation (corporations). You can get them from your state’s secretary of state or corporations division. Just run a business name search and there should be the option to get a certified copy (fee required and vary by state). The Wyoming Secretary of State requires these documents to verify your company information.
Get a Certificate of Good Standing
While obtaining the certified copies of your business’ formation documents, download a certificate of good standing. Some states call these certificates of existence or certificates of status. Whatever your current home state calls them, you can typically download them off the secretary of state or corporations division website. They will cost anywhere from $0 to $50. These are used as further verification that your company exists.
Complete Wyoming Articles of Domestication
There is little difference between the actual Articles of Continuance and Articles of Domestication forms, but you’ll have to choose which articles to file. Articles of Continuance require much more verification paperwork and verification; we file Articles of Domestication. If your business is out-of-country, you have to file Articles of Continuance. After choosing your articles, you’ll need to include the following information:
- Company name
- Home state
- Formation date
- Mailing and principal addresses
- Name and address of Wyoming registered agent—if you do not currently have a registered agent in Wyoming, this is the time to hire one. You will also need the registered agent to complete the consent form, if you hire us, we will mail it out immediately after you place a domestication order (if hiring us solely for registered agent service, please call to request the form).
- Corporations will also need to list their corporation’s purpose; the names and addresses of all officers and directors; number of shares the corporation is authorized to issue; and the number of issued shares.
Once the Articles of Domestication have been completed, attach the certified copies of the formation documents, all amendments and the certificate of good standing, and get ready to mail them to the Wyoming Secretary of State
File Documents in Wyoming
Okay. Your Wyoming paperwork is ready to go.
What to Mail to Wyoming:
- Certified copies of formation documents
- Certificate of good standing
- Wyoming Articles of Domestication (include signed registered agent consent form)
- Check or money order for $100 filing fee
Wait for Domestication Approval from Wyoming
When your domestication has been approved in Wyoming, the Secretary of State they will mail you confirmation (if you include an email, they will email you verification). But you are not done yet!
File Dissolution Documents in Your Home State
This is the document that will be filed with your home state’s secretary of state or corporations division to dissolve your business entity there. If you don’t dissolve your company, it will exist in two different places in time, and if movies about time travel have taught us anything, such a situation will end poorly. Seriously, though, you’ll end up in big trouble if you don’t dissolve your company in your old home state, as they are essentially separate companies. Obtain articles of dissolution from your home state. Only after you have received confirmation that your documents have been accepted in Wyoming, should you file articles of dissolution. Send the dissolution articles to your home state. Once you have received confirmation from the state that your corporation or LLC has been dissolved. You’re finally the owner of a business in Wyoming.
Why Hire Us to Move your Business to Wyoming?
If you’ve read the entire page, you know there’s a lot of nuance involved in domesticating a business in Wyoming. We domesticate businesses in Wyoming every day. We know the fastest way to obtain certified copies and certificates of good standing in every state. We know what to file and when, and we can save you the worry of wondering whether or not you filed everything correctly. For $595 total, we’ll domesticate your business to Wyoming and keep you updated every step of the way. Every Wyoming domestication order includes:
- Fast service from Wyoming business specialists
- Same day filings—within one business day we’ll order your certified copies and certificate of good standing and complete your articles of domestication.
- Wyoming registered agent service—we provide clients with secure, online accounts; document tracking; e-document delivery; access to pre-populated state forms; and the best registered agent service in our state
- Secure address—we are one of a few business specialists in Wyoming that own our building, others either rent or have virtual offices
- Fair price—we operate on a high-volume, low-cost business model, as we specialized in doing a few things extremely well
- The best customer service—we’re here to help your business at every turn, call us today to find out why we’re the best