Merger vs. Redomestication: What's the Better Choice for Moving to a New State?

Many business owners mistakenly believe that a merger is the best way to move their company to a new state. In reality, mergers often create unnecessary complexity, risk, and confusion with the IRS, state regulators, and business counterparties. When you merge, you may trigger tax events, terminate existing contracts, or confuse banks and licensing agencies with a new entity structure. Mergers can also create ambiguity around liability protections, continuity of contracts, and regulatory standing. By contrast, redomestication allows your company to change its legal home without destroying its history. It preserves your EIN, contracts, credit, licenses, and reputation—while ensuring you are governed solely under the laws of your new state. There are no duplicate filings, no phantom obligations in your old state, and no need to renegotiate agreements. In this presentation, I explain why redomestication is almost always the superior option to a merger when relocating a company, and how it protects everything you have built while ensuring a clean transition. Learn more: https://www.cummings.law/redomestication/