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The Redomestication Process in a Nutshell
1. Enter your biz name HERE.
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Takes less than five minutes.
Submit payment securely online then sit back and relax.
2. We prepare the legal docs.
Our dually-licensed attorney+CPA prepares the legal documents and sends them to you via DocuSign.
You sign. We take it from there.
3. We submit the legal filings to the states.
We monitor the status closely, respond to inquiries from their offices, and send you weekly updates.
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4. Approved! ✅
We send you a checklist of go-forward obligations and simple steps for your tax pro to follow.
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Redomestication, also known as redomiciling, refers to the lesser-known legal process of transferring or moving the "home state" of an existing Corporation, partnership, or LLC, from Arizona to a new state. It means keeping your existing company name, credit, and federal employer identification number (FEIN) without wasting time and money creating a new business entity, applying for foreign registration, or moving assets between companies.
— Prof. Chad D. Cummings, Esq., CPA
| Our Law Firm | Other Law Firms | LegalZoom® / RocketLawyer® | DIY | |
|---|---|---|---|---|
| Licensed Attorney | ✅ Yes | ⚠️ Varies | ❌ No | ❌ No |
| Licensed CPA | ✅ Yes | ❌ No | ❌ No | ❌ No |
| Owes you fiduciary duties under the law | ✅ Yes | ✅ Yes | ❌ No* | N/A |
| Experience | ✅ 500+ | ⚠️ Varies | ❌ None* | ❌ None |
| Success Rate | ✅ 100% | ⚠️ Varies | ❌ Zero* | ❓ Who knows? |
| Money-Back Guararantee | ✅ 120% | ❌️ None | ❌ None* | N/A |
| Timeline | 🚀 1-3 months | ⚠️ 6 months+ | 🔥 Months to fix | 🔥 Months to fix |
| Expedite Option | ✅ Yes | ⚠️ Varies | ❌ None | ⚠️ Varies |
| Weekly Updates | ✅ No charge | 💰️ At charge | ❌ None | ❌ None |
| Legal Fees | ✅ Flat-fee | ⚠️ Varies | 🔥 Very high to fix | 🔥 Very high to fix |
| *It is illegal in all states to practice law without a license, and only a licensed attorney can render legal advice to or prepare custom legal documents for clients. LegalZoom®, RocketLawyer®, and similar services are not attorneys nor law firms and cannot perform redomestications. | ||||
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The easiest way to move a business out of Arizona is to change its “home state” without changing the business
When a business owner asks for the easiest way to move a business out of Arizona, the goal is rarely “paperwork for paperwork’s sake.” The goal is to exit Arizona’s ongoing filing obligations and tax exposure while preserving the company’s day-to-day continuity—its contracts, its banking profile, its vendor relationships, and the federal employer identification number (FEIN) that anchors payroll and federal tax reporting.
For many established entities, the cleanest legal pathway is redomestication (also referred to as redomiciling), a statutory conversion that moves the company’s legal domicile from Arizona to a new state while keeping the same entity intact. This is precisely why, for a company that has materially relocated operations, redomestication is frequently the easiest way to move a business out of Arizona with minimal disruption and maximum administrative efficiency.
To evaluate whether redomestication is the easiest way to move your business out of Arizona in your specific circumstances, review the process details and requirements here: the easiest way to move my business out of Arizona through redomestication.
Why leaving Arizona’s tax environment and compliance footprint can materially improve outcomes
From an attorney and CPA perspective, “moving” a company is not merely a change of mailing address. Arizona ties compliance obligations to nexus-related facts, entity domicile, and the nature of ongoing activities. If a company continues to be legally domiciled in Arizona, it can remain subject to Arizona-level filings, renewal requirements, and administrative exposure even after operations have shifted elsewhere. Business owners often underestimate the ongoing cost of dual compliance until the second year of duplicate reports, registered agent fees, and state correspondence arrives.
When the company’s real-world operations have exited Arizona, redomestication can be the easiest way to move the business out of Arizona because it aligns the legal “home state” with the company’s operational reality. That alignment is not a superficial benefit; it strengthens corporate governance, simplifies recordkeeping, and reduces the probability that a third party—such as a lender, buyer, or government agency—questions where the company is actually organized and regulated.
For businesses seeking to reduce ongoing exposure to Arizona’s compliance footprint, the easiest way to move a business out of Arizona is often redomestication, because the entity may cease being an Arizona domestic entity after approval, rather than remaining perpetually tethered through foreign registration strategies.
Redomestication preserves what owners value most: FEIN, contracts, and (usually) the company name
Business owners typically fear that “relocating” means starting over. That assumption is understandable, but it is frequently incorrect. A properly handled redomestication is designed to preserve the company’s legal continuity, which is why it is commonly the easiest way to move a business out of Arizona without triggering operational chaos. In practical terms, continuity means the company generally retains its existing FEIN, avoiding the cascading payroll, banking, and vendor updates that often follow the creation of a new entity.
Continuity also matters for contracts. Many commercial agreements restrict assignment or require consent if the contracting party changes. If you dissolve an Arizona entity and form a replacement entity in a new state, you can inadvertently create an “assignment” issue across customer agreements, vendor terms, leases, and licensing contracts. By contrast, when the same legal entity continues after redomestication, the company is generally positioned to continue operating under its existing contractual framework, rather than renegotiating from scratch.
Finally, brand continuity is a real asset. In most cases, redomestication allows the company to keep its name, which preserves goodwill and avoids the marketing and search costs associated with forced rebranding. For owners focused on the easiest way to move their business out of Arizona while keeping identity intact, moving your business out of Arizona via redomestication is frequently the most direct mechanism available.
Why redomestication is superior to foreign registration when the business has truly left Arizona
Foreign registration can be appropriate in limited circumstances, but it is often misunderstood. If the company registers as a foreign entity in a new state while remaining an Arizona domestic entity, the company can create a lasting dual structure: Arizona remains the “home state,” and the new state becomes an additional compliance jurisdiction. From a compliance and cost standpoint, that is frequently the opposite of what owners mean when they ask for the easiest way to move a business out of Arizona.
Foreign registration tends to preserve Arizona’s administrative gravity. The company may still need to maintain Arizona renewal filings and address Arizona notices, and it can remain exposed to Arizona-related disputes about governance and domicile. In due diligence settings—such as financing, a sale, or bringing on investors—dual compliance can invite uncomfortable questions: Why is the entity still domiciled in Arizona if management and operations have moved? Are there unresolved Arizona obligations? Have all Arizona requirements been properly maintained?
For an established enterprise that has permanently shifted operations, redomestication can be the easiest way to move a business out of Arizona because it is designed to end, rather than perpetuate, that dual structure. For details on the statutory approach and the practical steps, see the easiest way to move my business out of Arizona without maintaining dual registrations.
Why mergers and dissolutions are frequently the most expensive “solutions” to a simple objective
Mergers and dissolutions are often proposed by well-meaning advisors who are unfamiliar with redomestication or who default to more traditional transactions. However, a merger can introduce unnecessary complexity: new entities must be formed, merger documentation must be prepared and approved, and the transaction can trigger third-party consent issues, internal governance burdens, and avoidable legal fees. When the business owner’s objective is simply to relocate the company’s domicile, a merger is often an overbuilt machine for a straightforward outcome.
Dissolution is even riskier as a strategy for relocation. Dissolving an Arizona entity does not merely “turn off” the company; it can disrupt contractual continuity, complicate debt and licensing matters, and trigger tax and reporting consequences that the owner did not anticipate. One of the most persistent misconceptions is that dissolving and starting over is the easiest way to move a business out of Arizona. In practice, dissolution is frequently the most disruptive approach because it forces the owner to rebuild legal identity, banking relationships, and compliance histories.
If your objective is continuity—keeping the same FEIN, maintaining contracts, and minimizing operational disruption—then the easiest way to move a business out of Arizona is commonly not a merger or dissolution, but rather redomestication. To proceed with the streamlined statutory pathway, use the easiest way to move a business out of Arizona by redomesticating.
Common procedural pitfalls that make “do it yourself” relocation far more costly than expected
State-to-state conversion is technical. The filings must be coordinated so the entity does not inadvertently fall out of good standing, duplicate itself, or create a gap that affects authority to transact. Another frequent issue involves governance approvals: the entity’s operating agreement, bylaws, shareholder agreements, or partnership documents may require member, manager, director, or shareholder actions that must be properly documented. When these approvals are improvised or omitted, problems tend to surface later—often during an audit, financing event, or sale.
Similarly, businesses often underestimate the importance of aligning registered agent arrangements, principal office disclosures, and state-specific reporting during the transition. Even when a filing is accepted, a sloppy transition can cause bank compliance delays, vendor onboarding interruptions, or prevent issuance of certificates of good standing when they are urgently needed. The easiest way to move a business out of Arizona is not merely “getting an approval letter”; it is completing the transition in a manner that preserves corporate hygiene and future-proof documentation.
Professional guidance is particularly important where the entity has multiple owners, regulated activities, material contracts, or employees. In those cases, the easiest way to move your business out of Arizona is the method that reduces downstream legal friction, not the method that merely reduces upfront effort. For the firm’s structured approach, see the easiest way to move my business out of Arizona using a guided redomestication process.
Practical example: how continuity protects operations during an Arizona exit
Consider a service company that has operated for years in Arizona, built business credit, holds recurring customer contracts, and runs payroll under a long-standing FEIN. If the owner dissolves and forms a new entity elsewhere, the “new” company may need new bank underwriting, revised vendor profiles, new merchant processing onboarding, and contract amendments to address counterparty concerns. Those frictions are not hypothetical; they are common and costly.
By contrast, when redomestication is available and properly executed, the entity typically continues as the same business for federal purposes and for most operational relationships. The company can continue invoicing, paying employees, and honoring existing contractual commitments without the “identity reset” that comes with forming a new entity. That is precisely why, for many established companies, redomestication is the easiest way to move a business out of Arizona while maintaining normal operations.
For owners who wish to preserve continuity while exiting Arizona’s legal and compliance environment, the easiest way to move a business out of Arizona and keep the same FEIN and contracts is often the statutory conversion approach described on the redomestication page.
Conclusion: the “easiest way” is the strategy that ends Arizona obligations while preserving the entity
The easiest way to move a business out of Arizona is the approach that meets three business realities at once: (1) it relocates the company’s legal domicile to the desired state, (2) it preserves continuity so operations do not stall, and (3) it reduces the chance of future disputes and administrative surprises. Redomestication is tailored to those objectives because it changes the company’s home state without forcing the owner to rebuild the business from the ground up.
If you are evaluating the easiest way to move your business out of Arizona, do not accept generic advice that defaults to foreign registration, mergers, or dissolution. Those tools may be appropriate in other contexts, but they are frequently misapplied when the actual objective is a clean domicile transfer with continuity. To initiate the statutory conversion process and review the firm’s requirements and timelines, use the easiest way to move my business out of Arizona through redomestication.
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Domestication vs. Foreign Registration vs. Merger vs. Dissolution: A Comparison
Domestication is a distinct legal process from foreign entity registration, merger, or dissolution.
Redomestication™ is generally the most efficient and cost-effective method for relocating a business to a new state, particularly when the company has permanently ceased operations in its original state. It does not involve dissolution. Many people make the mistake of dissolving their company when relying on incomplete or misleading advice.
Unlike foreign entity registration or merger, redomestication™ allows a business to retain its EIN, contracts, credit history, and brand identity—preserving continuity while minimizing tax risks and administrative burdens. It also eliminates the need to maintain dual registrations and tax obligations, potentially saving substantial time and money. By contrast, foreign registration can create ongoing compliance costs in the former state, and mergers often involve unnecessary legal complexity and higher fees.
Domestication is, in many circumstances, far preferable to registering an LLC or corporation as a foreign entity, especially where the LLC or corporation has permanently moved its operations and will not be returning to the prior state in the near future.
Some attorneys, unfortunately, confuse their clients by recommending a foreign entity registration in the new state, or worse, a merger, where a redomestication™ would have accomplished the goals of moving their business to a new state efficiently and effectively.
The top seven benefits of moving your company (LLC, corporation, or partnership) to a new state via redomestication™ to transfer your business include:
- Maintaining your existing federal employer identification number, eliminating the tax headaches of forming a new company or transferring assets between companies (and inadvertently triggering a hefty tax bill from the IRS) when you move your business to a new state;
- Keeping your existing business credit history and track record, safeguarding your reputation with clients, vendors, and creditors when moving your LLC or corporation to a new state;
- Continuing your existing business name (in almost every case), protecting your most important assets when moving your company to a new state: your brand, reputation, and time you have already invested in search engine optimization;
- Maintaining your existing contracts with customers and vendors because moving your business to a new state via redomestication™ does not create a new company: it maintains your existing company, saving you dozens (or even hundreds) of hours re-writing (and re-negotiating) contracts and changing banks;
- Eliminating the need to continue paying registration fees and taxes in your prior state (assuming you have discontinued your operations there and have permanently relocated to a new state), potentially saving you tens of thousands of dollars (or more) in state taxes every quarter when you move your business to a new state;
- Avoiding unnecessary IRS scrutiny because moving your LLC or corporation to a new state via redomestication™ is a tax-free transaction under the Internal Revenue Code; and
- Reducing the amount of time you spend on administrative filings, saving you untold hours annually, by moving your company to a new state.
Before taking the "penny wise and pound foolish" approach of foreign entity registration or spending countless hours and exorbitant legal fees (and possibly taxes) on a merger or merger-gone-wrong to move your company to a new state, ensure you understand your options.
| Redomesticate™ | Foreign Entity | Merge | Dissolve | |
|---|---|---|---|---|
| Need to Continue Paying & Filing Registration Renewals in Former State | ✅ No | ❌ Yes | ⚠️ Varies | ☠️ No, she's dead, Jim. |
| Stop Paying Taxes in the Former State* | ✅ Yes | ❌ No | ⚠️ Varies | ☠️ Tax event.* |
| Initial Complexity | ✅ Low | ⚠️ Varies | ❌ High | ❌ High, when done right. |
| Ongoing Complexity | ✅ Very Low | ❌ High | ❌ High | ☠️ None. All gone. |
| Initial State Filing Costs | ✅ Low | ⚠️ Varies | ❌ High | ⚠️ Varies |
| Timing | ✅ Fast | ⚠️ Varies | ❌ Slow | ⚠️ Varies |
| Legal Fees | ✅ Low | ⚠️ Varies | ❌ $10,000 or more | 🔥 Very high to fix. |
| *While every situation is different and dependent upon tax nexus, redomesticating can be an effective way to reduce or eliminate taxes in a former state in certain circumstances. Ask your CPA for more information. Our firm does not provide tax advice or perform tax work except by separate engagement at an additional charge. | ||||
In most circumstances, redomestication™ (and not a foreign entity registration or costly and complicated merger) is the best route to achieve a change in company domicile to a new state.
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