Reactivating a Limited Liability Company (LLC) in the United States is a viable option for entrepreneurs who wish to resume operations after a period of inactivity or dissolution. However, one of the key factors to consider before starting this process is how long it will take. The time it takes to reactivate an LLC varies depending on the state where it’s registered and several business-specific factors.

In this blog, we’ll explain how long it may take to reactivate an LLC and the steps you can take to speed up the process.

What Does Reactivating an LLC Mean?

Reactivating an LLC means restoring the legal standing of a company that has been administratively inactive or dissolved. This inactivity can happen for various reasons, such as failure to file annual reports, tax returns, or the voluntary decision to temporarily halt operations (an inactive company cannot legally operate in the U.S.). Once the company is dissolved, the owners must follow certain steps to reactivate it and resume legal operations.

Factors That Affect the Time to Reactivate an LLC

The time it takes to reactivate an LLC varies according to several factors:

State Where the LLC Was Registered‍

Each state in the U.S. has different rules and processing times for business reactivation. Some states are known for having quicker processes, while others may take longer due to more complex bureaucracy.

For example:

• Delaware: Delaware is one of the most popular states for LLCs, known for its efficient corporate processes. Reactivating an LLC here can take between 1 and 2 weeks.‍
• Wyoming: Wyoming is known for its ease of LLC formation and also has a relatively fast reactivation process, taking between 1 and 3 weeks.‍
• California: Due to the large number of registered businesses, California has a slower process, with reactivation times ranging from 3 to 5 weeks.

Filing of Pending Reports‍

If your LLC was deactivated for failing to file annual reports, you will need to submit the missing documents before reactivation can proceed. This can add time to the process, as you’ll need to prepare and file all overdue reports, potentially extending the reactivation time to several weeks.

Payment of Fees and Penalties‍

After submitting the required documents, you will need to pay reactivation fees and, in some cases, additional penalties for late filings. The speed of reactivation also depends on how quickly these fees are paid. Some states process payments immediately, while others may take a few business days to record the payment and proceed with reactivation.

For example, in Delaware, reactivation fees can range between $150 and $200 USD, while states like California can charge fees of up to $800 USD, plus additional penalties.

State Office Workload‍

Another factor that affects reactivation time is the workload at the Secretary of State’s office where your LLC is registered. If the office is overwhelmed with requests, processing may take longer than usual. In such cases, some states offer expedited services for an additional fee.

Expedited Reactivation Services

If you need to reactivate your LLC quickly, many states offer expedited processing options. By paying an additional fee, your reactivation request can be processed in a shorter time frame, sometimes as quickly as 2 to 5 business days.

For example:

• Delaware: Expedited reactivation services in Delaware can reduce the wait time to 2 business days, with an additional fee of approximately $100 to $150 USD.
• California: Expedited processing can reduce the wait time to 5 business days, though fees for this service can exceed $200 USD.

How Long Does It Take to Reactivate an LLC in Different States?

As mentioned earlier, reactivation times vary by state. Here’s a list of estimated reactivation times for some of the most common states for LLC formation:

• Delaware: 1 to 2 weeks
• Wyoming: 1 to 3 weeks
• Nevada: 2 to 4 weeks
• California: 3 to 5 weeks
• Florida: 1 to 2 weeks

If your business was voluntarily dissolved, the reactivation process may take longer.

How Can We Help You Reactivate Your LLC?

1. We review the current status of your LLC and identify any pending reports.
2. We manage the filing of annual reports and necessary tax returns for reactivation.
3. We assist in paying all necessary fees and minimizing any additional penalties.
4. Our team of experts provides ongoing guidance to ensure that your LLC complies with state and federal laws.

Conclusion

Reactivating your LLC in the United States can be a quick or slow process, depending on factors like the state of registration, pending reports, and fees to be paid. At Prodezk, we are here to help you reactivate your business correctly and efficiently.

If you have any questions, contact us and get a free consultation with our experts.