What is a foreign qualification?
A. Corporations and limited liability companies (LLCs) transacting business in a state or states outside of their state of formation are often required to foreign qualify in those states. A corporation or LLC is considered to be domestic only in the state where it was formed. In all other states, your company is regarded as a foreign corporation or LLC. The process of foreign qualification notifies the other state(s) that a foreign corporation or LLC is transacting business there.
