When your corporation is suspended, your company can’t do any legal business at all until this is rectified. This can cost your business valuable time and a lot of money.
My professional team can typically get your corporation reinstated in as little as 7 weekdays.
Our experienced state attorney will reach out to the California state offices and tax departments to find out the steps your California corporation needs to take to be reactivated and typically have the answer in a single day.
Then in just 3 business days (typically), I’ll have the corporation’s documents and tax returns prepared and ready for you to sign, while our attorney addresses the legal matters.
Why Is Your California Corporation Suspended?
Whether your California corporation is active or not, it has to annually file a tax return with the Franchise Tax Board – and pay at least $800 a year.
If the corporation misses the deadline or fails to file, there may be penalties as much as $700 plus interest. These can lead either the FTB or Californian Secretary of State to suspend your corporation.
The FTB can also charge additional monthly delinquent penalties of 5%, with a monthly maximum of 25%, plus additional interest charges starting from the date of the deadline.
Furthermore, if your California corporation fails to provide information to the FTB within a certain timeframe, or comply with other requests, the FTB can also charge additional penalties up to $2,000.
How A Suspension Impacts Your Business
While suspended, your corporation can’t operate or do any business. In other words, no business transactions including (but not limited to): bank account deposits, withdrawal and transfers, asset transfers, loans, or sales. Any kind of transaction relating to your corporation’s business is illegal.
This also has big legal implications. While your California Corporation is suspended, it’s unable to defend any legal actions, court cases or lawsuits. Even a response to litigation already in process is illegal.
You might even lose the rights to your corporation’s name – while suspended, you have no right to protect it and other corporations can form or use it.
Get Your Californian Corporation Reinstated – FAST
For $500 and in a single business day, we can determine precisely what action needs to be taken and the total cost of getting your corporation reinstated.
If you’re in collections or your corporation is a C-Corp, this process may need to be duplicated. Also, until the FTB determines your net profit, it will be unable to calculate the total cost of your penalties and interest charges.
However, once this step is complete, I’ll be able to finalize your tax returns. This will be charged at a flat rate that will depend on how many tax returns are needed.
Common Issues In Reinstating a Suspended Californian Corporation
Your corporation’s name is now being used by another person or corporation. While suspended, another corporation has formed and is using your entity’s name.
The effort and time needed to fully revive a suspended corporation. If not handled correctly, this can take months. Our expert team can typically get your corporation revived in just 5 work days – if not sooner.
How Much Will It Cost in Total to Revive a Suspended Corporation?
For just $500, we can determine what’s required and draw up the necessary paperwork to get your suspended corporation fully reinstated in 2 business days.
However, please note, full reviving your California corporation may vary in cost as it depends on how many tax returns are needed. State tax returns typically start at $250 each. Then to have your suspended California corporation fully reinstated usually costs about $2,500 - $5,000 and takes another 1 to 3 work days.