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I have a single-member LLC and do programming contract work for clients. My LLC is incorporated in North Carolina, where I used to live, but I am currently and for the foreseeable future living in California.

Is it okay for me to maintain North Carolina as the state of incorporation without paying the Foreign Entity Registration bit for California? It seems a bit of a weird case to me for remote workers vs. a brick-and-mortar store.

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As described in "Doing Business in CA? Be Sure to Register", the test for whether your foreign LLC needs to qualify (register) in CA is whether the LLC is "entering into repeated and successive transactions of its business in" CA.

So if your LLC regularly enters into transactions with customers, suppliers, business partners, etc. that are located in CA, then it needs to qualify in CA.

Disclaimer: This information does not constitute legal advice and does not establish an attorney-client relationship.

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Hey Dana, thanks for the note, I was reading your blog earlier today about this very thing. In my case, I have no clients, etc. in CA. The only thing in CA is me and my computer. – JohnZ Nov 26 '12 at 23:16

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