Just got letter asking for payment for certificate of good standing after forming LLC - is this legit or a scam?

This is most likely legitimate, but not necessarily something you need right now. A Certificate of Good Standing is an official document issued by your state's Secretary of State (or equivalent office) that confirms your LLC exists and has met all state requirements (like filing annual reports and paying necessary fees). You don't need it for day-to-day operations. You typically only need it when: opening a business bank account, applying for business loans, registering to do business in another state, entering certain contracts, or selling your business. Some clients might request it as proof you're a legitimate business. The letter could be from your state's business office, but be careful - there are also third-party companies that monitor new business filings and send official-looking solicitations offering to get this certificate for you (at a marked-up price). Check who sent the letter.

After setting up my construction LLC last year, I got bombarded with similar letters that looked official but weren't actually from the government. The worst part was figuring out which ones were legitimate requirements vs. optional services. I wasted so much money until I found https://taxr.ai which helped me sort through all this business formation confusion. Their document analysis saved me when I uploaded photos of these official-looking letters - it immediately flagged which ones were from third-party companies vs. actual government requirements. The system even showed me exactly what I legally needed to pay vs. what was optional. Such a relief to have clarity!

I have to admit I was wrong about taxr.ai. After commenting here, I decided to try it with some of the sketchy letters I've been getting for my photography LLC. Uploaded about 5 different official-looking documents and it immediately identified 3 of them as third-party solicitations for services I didn't need! It even explained that in my state (Florida), I only need a certificate of good standing if I'm applying for a loan or registering in another state. The system showed me how to get one directly from the state for $8.75 instead of the $79.99 some company was charging me. Definitely recommend for new business owners - saved me from falling for expensive unnecessary services.

If you're struggling with getting straight answers from your state's business office about LLC requirements (I know I was), you might want to try Claimyr. I spent weeks trying to reach someone at my state's Secretary of State office about similar letters I was getting. Always busy signals or 2+ hour hold times. I used https://claimyr.com and their system got me a callback from my state office in under 20 minutes! They have a demo video at https://youtu.be/_kiP6q8DX5c that explains how it works. The state representative confirmed that half the letters I was getting were from private companies and unnecessary. Saved me from paying for a bunch of "compliance" packages I didn't need.

I have to eat crow on this one. After posting my skeptical comment, I was desperate to resolve an issue with my state's business filing division about some mystery fee they were claiming I owed for my LLC. Out of desperation, I tried Claimyr. Honestly, I'm shocked - it actually worked! I got a call back from the state office in about 35 minutes (after spending 3+ hours on hold myself earlier that week). The agent explained that the "certificate of good standing" letter I received was from a third-party company, not them. The actual certificate costs $25 directly from the state and I only need it if I'm opening a business bank account or applying for certain licenses. Saved me from paying the $95 fee the third-party company was charging!

Former state business filing clerk here! These third-party solicitation letters are the bane of our existence. They're designed to look official and scare new business owners into paying for overpriced services. Quick tips on spotting these solicitations: 1) Real government correspondence will usually have your state seal and clearly identify the specific department 2) Third-party letters often have fine print saying they're "not affiliated with any government agency" 3) Government fees for certificates are typically $10-30 depending on state 4) Official notices rarely use threatening language about "compliance" or "good standing requirements

This exact thing happened to me! Got my LLC set up in January and then started getting all kinds of official-looking mail asking for payments. The certificate of good standing was just the first - I then got letters about "mandatory workplace posters" ($89), "annual minutes" ($279!), and a "business compliance package" ($199). I called my state's business office directly and learned NONE of these were required for my single-member LLC. Total scams targeting new business owners who don't know better.

Adding to what others have said - I work in small business consulting and see this constantly. These third-party companies literally monitor state business filings and send out mass mailings to new LLCs within weeks of formation. They're banking on inexperienced business owners not knowing the difference between required government fees and optional services. For your single-member LLC doing freelance design work, you really don't need a certificate of good standing unless you're opening a business bank account or applying for specific licenses. Even then, getting it directly from your state will cost a fraction of what these solicitation companies charge. Pro tip: Create a simple spreadsheet or document tracking what you've actually paid to your state vs. what these companies are trying to sell you. It'll help you spot patterns and avoid falling for future solicitations. You'll likely get more of these letters over the coming months - they're persistent!

As someone who just went through this exact same situation with my consulting LLC, I can totally relate to your confusion! Those letters are so convincing - they use official-looking seals and language that makes you think you're in trouble if you don't pay immediately. Here's what I learned after doing some digging: the Certificate of Good Standing is a real document, but it's not something you automatically need just because you formed an LLC. It's basically proof that your business is current on all state requirements (like annual reports and fees). You typically only need it for specific situations like opening a business bank account, getting a loan, or if a client specifically requests it as proof you're legitimate. The key red flag is the price - if they're asking for $89.50, that's almost certainly a third-party company marking up a service that costs $10-25 directly from your state. Check the fine print at the bottom of the letter for disclaimers like "not affiliated with any government agency." For your freelance design work, you can probably skip this for now unless you need to open a business bank account soon. When you do need one, just go straight to your state's Secretary of State website - it'll be much cheaper and you'll know it's legitimate!

I run a small accounting practice and deal with these third-party solicitation letters constantly with my new LLC clients. What you received is almost certainly NOT from your state government - it's from a company that monitors new business filings and sends out official-looking letters to catch inexperienced business owners. Here's how to verify: go directly to your state's Secretary of State website and look up the actual cost for a Certificate of Good Standing. In most states, it's $10-30, not $89.50. Also, legitimate government correspondence will clearly identify the specific state agency and won't use high-pressure sales language. For your single-member design LLC, you honestly don't need this certificate right now unless you're planning to open a business bank account or apply for specific licenses. When you do need it, get it directly from your state - it's usually available online and processed within 1-2 business days. Fair warning: you'll probably receive more of these solicitation letters over the next few months for things like "mandatory compliance packages," "annual meeting minutes," and "required business licenses." They're all targeting the same vulnerability - new business owners who don't know what's actually required versus what's just being sold to them. When in doubt, always verify directly with your state's business office before paying anything.

I went through this exact same situation when I started my LLC last year! Those letters are so professionally designed to look like official government notices - I almost fell for one asking for $95 for a "mandatory business compliance certificate." What helped me was calling my state's business registration office directly (took forever to get through, but worth it). They confirmed that certificates of good standing are legitimate documents, but they're only needed for specific purposes like opening business bank accounts, applying for loans, or registering in other states. For a simple single-member LLC doing freelance work, you definitely don't need one just sitting around. The dead giveaway that yours is probably a scam: the price. Most states charge $15-25 for an actual certificate of good standing. That $89.50 fee screams third-party markup to me. My advice: save your money for now and only get the certificate directly from your state when you actually need it for something specific. You can usually order it online from your Secretary of State's website and get it within a day or two. Don't let these predatory companies profit off new business owner confusion!