Foreign qualification is the process by which a company registered in one jurisdiction gains authority to do business in another. "Foreign" here means out-of-state or out-of-country, not non-domestic — a Delaware company operating in Texas qualifies as a foreign entity in Texas.
A qualified foreign entity must usually appoint a registered agent in the new jurisdiction and file — and keep current — its own reports there.
This is why one company can appear in several registries at once: once in its home jurisdiction and once per jurisdiction where it has qualified.
Related terms
- Jurisdiction — Jurisdiction
- Registered agent — Registered agent
- Good standing — Good standing