What is a Foreign LLC in Hawaii – Definition and Filing

If you have an LLC in Hawaii and want to expand your business beyond Hawaii, you must form a foreign LLC. Any business, especially a limited liability company, located in other states, starts its operation in Hawaii, must file a foreign LLC in Hawaii. To do so, every LLC needs to file additional filing documents, along with tax and relevant documents with the Hawaii government.

In this article, you’ll be reading about how to start a foreign LLC in Hawaii. Along with that, the page guides you through the steps involved in managing and maintaining a foreign LLC in Hawaii after you form it.

Forming a Foreign LLC in Hawaii

A foreign LLC does not need to be a company from another country but a business formed under the laws of another state. If you register your LLC in one state and operate your business in Hawaii, you probably need to register your LLC as a foreign entity here. Imagine, if your family owns a sushi restaurant in Alabama and you want to expand the chain somewhere in Texas, you must establish your restaurant in Texas as a foreign entity.

Anyone who has an active and in good standing LLC anywhere (except for Hawaii) and wants to expand their operations in Hawaii can file their LLC as a foreign entity. To start a foreign LLC in Hawaii, you need to register it with the Hawaii Secretary of State. Every state has a different rule for establishing a foreign LLC. Here are the steps to follow in Hawaii for registering a foreign LLC.

Note: These are generic steps to file a foreign LLC in Hawaii. Make sure to check with the State Secretary of State, before you start filing your business. – LLCBuddy Team

Step 1: Get the Certificate of Good Standing From Home State

Before you proceed to register your LLC in Hawaii as a foreign entity, you must get the Certificate of Good Standing issued from your home state SOS. This is an important document to register an LLC in a foreign state.

If your LLC is originally registered in Hawaii, then you must obtain the Certificate of Good Standing from Hawaii Secretary of State. If your LLC is in other states, the name of the same document might be different. Every LLC, registered in any state other than Hawaii must get this document to register a foreign LLC in Hawaii.

Filing Certificate of Good Standing: To purchase the Certificate of Good Standing in Hawaii, Business owners can visit the Business search page -> Buy Certificate of Good Standing to find and purchase the Good Standing Certificate for your business.

Step 2: Choose Hawaii Foreign LLC Name

Obtain a name reservation certificate and submit it with your foreign qualification requirements to the Hawaii Secretary of State. Your LLC’s legal name outside of Hawaii will be listed on the application, along with the name it will use in Hawaii. Take note of the requirements for naming your LLC.

You can use the same name as your domestic LLC name, however, that name should be available in Hawaii to use. Check name availability at Hawaii’s business entity names and reserve your LLC name. There are a bunch of LLC naming guidelines in Hawaii when it comes to forming a foreign LLC. Check the guidelines before you name your business.

Step 3: Select Hawaii Foreign LLC Registered Agent

A registered agent is a person responsible for receiving all official and legal documents on behalf of your company, whether it is located domestically or in a foreign state. For a foreign LLC in Hawaii, you must have a registered agent from Hawaii only. No matter where your domestic LLC is located, you must hire a registered agent from Hawaii for your foreign LLC.

You’ll need a registered agent to form a foreign LLC in Hawaii and take note that the Hawaii Resident Agent must have a local address. Here are the best LLC services on our list that will provide you with registered agents to ease your worries:

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Step 4: File Application for Registration for Hawaii Foreign LLC

The most important step is to send the application for registration with Hawaii SOS. Download the PDF form from the Hawaii Secretary of State website or file it online (whichever method is available). The form must be filled out with the following details:

LLC’s full legal name.
A fictitious name or a DBA (only if your LLC’s legal name is not available); Attach a statement of adoption of the fictitious name signed by all LLC members.
- DBA filing method in Hawaii: several methods, online, fax, email, by mail, or in-person
- Online: For online filing, check the Hawaii Secretary of State. There, look for the “Trade Names” section. You will get the registration form.
- Offline: For offline filing, send the form by mail to the Department of Commerce and Consumer Affairs, Business Registration Division, P.O. Box 40, Honolulu, Hawaii 96810, email it to [email protected], or fax it to (808) 586-2733
- DBA filing fee in Hawaii: $50
LLC’s principal office and mailing addresses
LLC formation state and date.
Registered agent’s name and address in Hawaii.
Date when your LLC will start operations in Hawaii.
Credit card information is on the last page of the form for the application fee.

Online Filing

In case you’re filing a foreign LLC in Hawaii online, you must visit the official Secretary of State’s website. If you have credentials, Sign in to SOS to find the foreign LLC registration form. If you don’t have credentials or are not already registered with the SOS portal, then create an account by sharing your name, email, and other information.

Offline Filling

For filing a foreign LLC in Hawaii offline, the PDF form must be downloaded and submitted. Get the Foreign LLC Registration Form and download it. Type or print the form (after filling it up with the relevant information) and submit it to the SOS address: Department of Commerce and Consumer Affairs, Business Registration Division, 335 Merchant St., P.O. Box 40, Honolulu, HI 96810. The form can be submitted by mail or in-person along with the rewuired fees.

Foreign LLC Registration Fee in Hawaii: In Hawaii, the cost of foreign LLC registration is $50. Apart from the processing fee, the state charges an additional $1 as a state archive fee. There is a fee for faster processing. The fee of $25 is charged for expediting the process.

The LLC cost in Hawaii, even for foreign LLCs will differ between online filing and by mail. Also, read about what’s the major difference between Hawaii’s domestic and foreign LLCs.

Step 5: Determine How Your Hawaii Foreign LLC is taxed

Foreign LLCs are also subjected to the Hawaii Business Privilege Tax and must file LLC annual reports each year. If you have a single-member foreign LLC then it will be considered as a ‘disregarded LLC’ by IRS. That means the LLC will not be regarded as a company but it will be taxed as an individual (the owner). If you already have an LLC in the home state, you must have obtained the EIN as well. You don’t need to obtain the EIN in Hawaii for a foreign LLC separately as it is issued from the IRS.

For other types of LLCs (member-managed or manager-managed LLCs), it will be a ‘pass-through taxation‘ where the LLCs don’t get taxed separately, instead, the members and managers are taxed based on their personal income. So, foreign LLCs are taxed as same as domestic LLCs in Hawaii. However, it is recommended to check with the Hawaii Secretary of State for state-wise taxes.

Note that forming a foreign LLC would be good for your business as you can legally operate in a different state thus reaching a larger market and opening more opportunities for higher profit.

Filing Hawaii Foreign LLC Online – Quick Recap

Get the Certificate of Good Standing from your home state where your LLC is originally registered
Check if the name of your LLC is available in Hawaii to use for your foreign LLC. If not, file DBA name with Hawaii SOS.
Get a registered agent in Hawaii to represent your foreign LLC in Hawaii. Recommended, professional help instead of being your own registered agent.
File the Application of Foreign LLC with the Hawaii Secretary of State following the mentioned method(s) above.
Make the processing fee.

BOI Reporting

According to the Corporate Transparency Act, every LLC (or business) has to send a BOI reporting to the Financial Crimes Enforcement Network (FinCEN). Once you establish an LLC and if it is enlisted under the list of reporting companies, you must file your BOI report in Hawaii with the FinCEN.

After Forming Hawaii Foreign LLC

Here are added things you need to accomplish after forming your Hawaii Foreign LLC

Obtain Business Licenses. Find the business licenses you’ll need using the Business License Search. You can contact the license office at Hawaii Department of Commerce and Consumer Affairs.
File LLC annual reports and Business Privilege Tax. You must file an Annual Report before the stipulated time frame after forming your LLC in Hawaii. Here’s everything about Hawaii LLC Annual Reports.
Pay State Taxes like sales tax; you’ll need an EIN for your LLC.

FAQs

Can a foreign entity form an LLC in Hawaii?

Yes, a foreign entity can form an LLC in Hawaii.

What are the requirements for forming a foreign LLC in Hawaii?

A foreign LLC forming in Hawaii must file a Certificate of Authority with the Hawaii Department of Commerce and Consumer Affairs.

Do I need a registered agent for my foreign LLC in Hawaii?

Yes, a foreign LLC in Hawaii must have a registered agent with a street address in Hawaii.

Is a Foreign LLC in Hawaii subject to the same taxes as domestic LLCs?

Yes, a foreign LLC in Hawaii is subject to the same taxes as domestic LLCs.

How much does it cost to form a foreign LLC in Hawaii?

The filing fee for a foreign LLC in Hawaii is $50.

Can I operate business in other states with a foreign LLC formed in Hawaii?

Yes, a foreign LLC formed in Hawaii can operate business in other states as well.

Do I need to publish a notice of my foreign LLC in Hawaii?

No, publishing a notice of a foreign LLC in Hawaii is not required.

Are there annual fees for maintaining a foreign LLC in Hawaii?

Yes, there is an annual report fee of $15 for a foreign LLC in Hawaii.

How long does it take to form a foreign LLC in Hawaii?

The processing time for forming a foreign LLC in Hawaii varies, but it usually takes 5-7 business days.

Can I convert my foreign LLC into a domestic LLC in Hawaii?

Yes, a foreign LLC can convert into a domestic LLC in Hawaii.

Do I need to file annual reports for my foreign LLC in Hawaii?

Yes, a foreign LLC in Hawaii is required to file annual reports.

What is the name reservation process for a foreign LLC in Hawaii?

Foreign LLCs in Hawaii do not need to reserve a name prior to filing for registration.

Can I use a business address outside of Hawaii for my foreign LLC?

No, a foreign LLC in Hawaii must have a business address in Hawaii.

Are there any residency requirements for forming a foreign LLC in Hawaii?

No, there are no residency requirements for forming a foreign LLC in Hawaii.

Can I form a series LLC as a foreign entity in Hawaii?

Yes, foreign entities can form a series LLC in Hawaii.

Do foreign LLCs in Hawaii need to have a local bank account?

It is recommended for foreign LLCs in Hawaii to have a local bank account for ease of operation.

Can I apply for a business license in Hawaii as a foreign LLC?

Yes, foreign LLCs in Hawaii can apply for a business license to operate legally.

Is a Certificate of Good Standing required for foreign LLCs in Hawaii?

Yes, a Certificate of Good Standing is required for foreign LLCs registering in Hawaii.

Can I change the name of my foreign LLC in Hawaii after it has been registered?

Yes, you can file for a name change for your foreign LLC in Hawaii.

What is the process for dissolving a foreign LLC in Hawaii?

To dissolve a foreign LLC in Hawaii, you must file a Certificate of Cancellation with the state.

Can a foreign LLC in Hawaii change its registered agent?

Yes, a foreign LLC in Hawaii can change its registered agent by filing a Statement of Change with the state.

Are foreign LLCs in Hawaii required to have an operating agreement?

While not required by law, it is recommended for foreign LLCs in Hawaii to have an operating agreement.

Can I own real estate in Hawaii through my foreign LLC?

Yes, foreign LLCs in Hawaii can own real estate in the state.

Are there any restrictions on the types of businesses a foreign LLC in Hawaii can operate?

Foreign LLCs in Hawaii must comply with local laws and regulations regarding the types of businesses they can operate.

Can a foreign LLC in Hawaii apply for federal tax ID numbers?

Yes, foreign LLCs in Hawaii can apply for federal tax ID numbers to conduct business legally.

Do foreign LLCs in Hawaii need to file for a general excise tax license?

Yes, foreign LLCs in Hawaii must file for a general excise tax license to operate legally.

Can a foreign LLC in Hawaii open a physical office or storefront?

Yes, foreign LLCs in Hawaii can open a physical office or storefront to conduct business.

What are the penalties for failing to comply with registration requirements for a foreign LLC in Hawaii?

Failure to comply with registration requirements for a foreign LLC in Hawaii can result in fines and potential suspension of business operations.

Can a foreign LLC in Hawaii be converted into a different business entity type?

Yes, a foreign LLC in Hawaii can be converted into a different business entity type by filing the appropriate forms with the state.

What is an LLC?

An LLC is a limited liability company.

In Conclusion

Having a foreign LLC in Hawaii is nothing but expanding your business legally beyond the boundary of your domestic or home state. Starting a foreign LLC in Hawaii does not require a lot of documentation or tasks. However, it is always good to seek help from a professional when it comes to running your business. From getting the Certificate of Good Standing to hiring a registered agent in Hawaii, a professional or attorney can always be a perfect help. ZenBusiness is one of the most accurate and user-friendly services that offer a bunch of LLC formation services. They offer LLC formation for $0 (excluding the state formation fee).

The cost of registering a foreign LLC in Hawaii can vary depending on a range of factors. While the initial registration fees and ongoing expenses can be a significant investment, many companies find that the benefits of establishing a presence in the state outweigh the costs. By carefully considering the expenses involved and budgeting accordingly, companies can ensure that their foreign LLC in Hawaii is a success.