As part of my job, I assist in operating many Limited Liability Companies (LLC) in New York State (NYS), Colorado and Texas. Recently I had to get a Certificate of Good Standing from New York State ("good standing" status signifies an entity is current with the filing requirements of that jurisdiction’s secretary of state’s office). I assumed I would be able to get online go to the Secretary of State website, look up my LLC and print out the certificate. I made that assumption because that is all I had to do when I needed the same certificate for a Colorado state based LLC.
I was terribly wrong in making that assumption.
What I discovered was I couldn’t get any Good Standing information online at all and it wasn’t clear what I needed to do to get it so after looking around a bit on the website, I called the office. Once I finally filtered through the automated phone system and waited my turn, a real person answered and explained to me that I couldn’t get the good standing certificate online and then described the procedure I needed to follow:
Step 1: I need to write (or type) a letter stating the LLC name and number and my request for a certificate of good standing.
Step 2: I need to print out a credit card form on the website to pay the $25 fee.
Step 2a: Manually fill out the credit card form.
Step 3: If I want to have it expedited (completed within 24 hours) I could pay an additional $25.
NOTE: She made it clear that the expedited fee was only for speeding up the time an employee of the State would get around to fulfilling my request. I wasn’t going to receive it in 24 hours. This payment would merely get an employee of the state to complete my request within 24 hours.
Step4: Fax it (yes, fax it) to the number she supplied. (They do not accept email)
Step 5: Once they have processed the certificate, they will mail it to me several days later.
My first thought was “What is this, 1982?!” The same request for a Colorado LLC can be accomplished online and free and within minutes.
The internet has changed the landscape of who your competition is. For NYS, it’s no longer just the states that border it, it’s every state. I have lived in New York state my entire life and unfortunately, this is a small example of why we lose so many of our talented children once they graduate from college. New York state fails to recognize it’s true competitors and by allowing the competition to take our children, the state’s future tax base, the state will suffer for generations. We also are experiencing trips from governors of states such as Governor Rick Perry from Texas pitching companies to move out of New York and to their state. Unfortunately, as we lose some of our best and brightest, the rest of the residents of New York state will pay more in taxes because New York state has the right to do that.
Do you run your company like New York State? The internet has changed the landscape for your company too. Are you using the same technology that your competition is or are you still far behind? If you are behind the curve, you are losing customers. Unlike New York state you won’t be able to increase your prices to make up the difference. Take a look at how your competition is using the technology to market and sell. If you are not at least at the same level, your customers (or potential customers) have noticed and are making decisions about your products and services just by navigating through your website.
It may seem expensive to update your website or to invest in marketing through social media but you might discover that it’s far more expensive if you don’t.