Can I Move My Business To Florida?

Data from the U.S. Census shows that over the last decade, Florida has seen an increase in population of almost 15 percent. With this increase in residents comes an increase in businesses, as many will choose to move their enterprises to their new home state instead of starting fresh. There are positives and negatives to doing so, but the process of relocating your company does require several steps that must be done correctly. A knowledgeable attorney can help.

Several Possible Structures

Florida is generally a positive environment in which to grow your business, particularly due to its favorable tax structure – the state has no income tax on individuals, and only very modest taxes on corporations. This means that whether your business is structured as a pass-through enterprise or as a corporation, your tax burden will likely be lighter than it would be in other states. Between the tax codes and the large pool of talent to choose from, many business owners find Florida’s climate very favorable.

There are three options for someone moving to Florida who owns a business, and any one of the three may be best for you. A person may try to operate their business as a ‘foreign’ entity, which requires naming a Florida agent and obtaining the appropriate licenses to transact business within the state, but allows a corporation to remain registered in its previous home state. They may attempt a ‘conversion,’ which essentially re-incorporates a business under Florida’s laws. Alternatively, they may choose to simply create a brand-new company on the ashes of the old.

Conversion vs Creation

A ‘conversion’ of a foreign business is generally the most common option for business owners relocating to Florida, and it can be done while retaining the current company’s structure and public records, so that little to no interruption of business is necessary. You must ensure that your former home state will recognize the conversion, and if it will, then Articles of Conversion must be filed (which in turn include new Articles of Incorporation for your business in Florida). Once the Articles are accepted, you can then dissolve the business entity existing in your former home state.

If a person is ready and willing to make a fresh start, however, they may simply choose to start a new business, officially incorporated in Florida. This can be a time-consuming process, given that all the relevant licenses and permits must be obtained before opening your doors, as well as establishing your tax burdens and your obligations to both the Internal Revenue Service (IRS) and Florida officials. However, it can be a rewarding one for a brand-new business owner or someone who wants to begin again.

Call A Seminole, FL Business Law Attorney

If you are looking to move your business to Florida, you have several avenues to pursue to achieve that goal. A Florida business law attorney from the Hunt Law Group can help, advising you on the process so that you can get your enterprise up and running as quickly as possible. Call our office today at (727) 471-0444 to schedule a consultation.

Source:

census.gov/library/visualizations/2021/dec/2020-percent-change-map.html