Moving My LLC to Another State: Complete Guide to Relocation, Domestication, and Re-Formation

Moving My LLC to Another State: Complete Guide to Relocation, Domestication, and Re-Formation



If you’re relocating to a new state—or expanding your business across state lines—you may be wondering:

How do I move my LLC to another state?

There isn’t a one-size-fits-all approach. The right method depends on your current state laws, your new state’s requirements, and whether you want to keep the same legal entity or start fresh.

This guide explains all the ways to move an LLC to another state, the pros and cons of each method, common costs, and when each option makes the most sense.

Can You Move an LLC to Another State?

Yes. LLCs can move to another state using one of these four methods:

  1. Statutory Conversion / Domestication (best, if available)

  2. Registering as a Foreign LLC

  3. Forming a New LLC in the New State

  4. Dissolving the Old LLC and Creating a New One

Each option works differently, has different tax implications, and requires different levels of administrative work.

Option 1: Domestication (Statutory Conversion) – Best When Allowed

Domestication—also called statutory conversion—is the process of changing your LLC’s home state without creating a new entity.

Not all states allow this.

Some states that do allow domestication include:

  • Texas

  • Florida

  • Wyoming

  • Nevada

  • Colorado

  • Delaware

  • Arizona
    …and many others.

Key Benefits of Domestication

✔ Keeps the same EIN
✔ Keeps the same bank accounts
✔ Keeps contracts, leases, permits, assets
✔ No need to dissolve the original LLC
✔ Seamless transition from one state to another

How Domestication Works

  1. Check if both states allow domestication

  2. File a Plan of Domestication

  3. File Articles of Domestication in the new state

  4. File a certificate of conversion (or similar document) in the old state

  5. Update records, licenses, and IRS if needed

Best For:

Businesses that want to keep the same LLC but permanently relocate.

Option 2: Register as a Foreign LLC – Best If Operating in Two States

If your business will operate in both states—or you want to keep your current LLC active—you can register your existing LLC as a Foreign LLC in the new state.

Example:

Your LLC was formed in New York, but you now live and operate in Florida.
You can register your New York LLC as a foreign entity in Florida.

Benefits

✔ Simple and fast
✔ Keeps the original LLC
✔ No need to dissolve anything
✔ Good for multistate operations

Downside

❌ You must maintain compliance in both states (fees, reports, taxes).

Best For:

Businesses that want to operate legally in multiple states.

Option 3: Form a New LLC in the New State – Most Common Alternative

Another approach is to simply start a new LLC in the new state.

Then you can:

  • Keep the old LLC active, or

  • Dissolve the old LLC later

Benefits

✔ Clean slate
✔ Easy to set up
✔ No need to rely on domestication laws

Downside

❌ Requires transferring assets, contracts, bank accounts
❌ New EIN may be needed
❌ Not the same legal entity

Best For:

Businesses that want a fresh structure or whose states do not allow domestication.

Option 4: Dissolve the Old LLC and Form a New One – Last Resort

This is the most time-consuming approach and is usually only used when:

  • The original state has expensive fees or taxes

  • Owners want to restructure the business

  • There is no need to keep the old entity

Downside

❌ More paperwork
❌ IRS notifications
❌ Reopening all accounts
❌ Transferring contracts

Best For:

LLCs that want a complete restart or are in non-domestication states.

How to Choose the Best Method to Move Your LLC

Use this quick guide:

SituationBest Method
You want to permanently relocate your businessDomestication
You will operate in both statesForeign registration
Your state doesn’t allow domesticationNew LLC (with or without dissolution)
You want a completely fresh startNew LLC + dissolve the old one
You want to avoid administrative burdensDomestication

Cost to Move an LLC to Another State

Costs vary by method and state.

Typical Cost Ranges

  • Domestication: $100 – $400 (per state filing)

  • Foreign Registration: $50 – $300

  • Forming a New LLC: $40 – $500 depending on state

  • Dissolution Fees: $0 – $100

Other possible costs:

  • Registered agent fees

  • Filing service fees

  • Legal or accounting costs

Tax Implications When Moving an LLC to Another State

EIN

If you domesticate → you keep the same EIN
If you form a new LLC → you may need a new EIN

State Taxes

You may owe:

If you operate in both states, you may have nexus in both.

Federal Taxes

No major change unless:

  • Your tax classification changes

  • Your ownership structure changes

What You Need to Update After Moving Your LLC

Regardless of the method, update:

✔ IRS (Form 8822-B for address change)
✔ Registered agent
✔ Operating agreement
✔ Bank accounts
✔ Licenses and permits
✔ Vendor and contract records
✔ Marketing materials and website
✔ Payroll and employee records

Does Moving an LLC Affect Your Business Name?

Usually no—domestication preserves your LLC name.

However, if the name is unavailable in the new state, you may need a DBA or a slight variation.

Should You Move Your LLC or Just Start Fresh?

Move your LLC if:

✔ You have assets, contracts, or intellectual property
✔ You want the same EIN and history
✔ You want a smooth legal transition
✔ Your new state allows domestication

Start fresh if:

✔ Your old state has high fees
✔ You want to fix ownership or structure issues
✔ You want simpler compliance
✔ Your business is new or has few assets

Final Thoughts: How to Move Your LLC to Another State

You can move your LLC using four main methods:

  1. Domestication (best)

  2. Foreign registration

  3. New LLC formation

  4. Dissolution + new LLC

The right choice depends on your goals, state laws, and how “clean” you want the transition to be.

Moving your LLC correctly ensures:

  • Legal compliance

  • Tax accuracy

  • Business continuity

  • Protection of your assets and contracts

Get Free Consultation with FormLLC

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