How To Change Business the Entity Type on Your Registration

The Federal Motor Carrier Safety Administration, or FMCSA, has a lot of paperwork to file, especially for the USDOT biennial update. If you’d like to file for an entity type change, you’ll need to complete the proper forms.

Rather than guessing how to change the business entity type and hoping you’ve filled out the right business form, let FMCA Filings help. We can also help you make a legal name change for your business so you don’t have to worry about having the wrong papers.

What Is an Entity Type?

The entity type describes your company’s operations. Entity types include:

• Broker
• Cargo Tank
• Carrier
• Freight Forwarder
• Intermodal Equipment Provider (IEP)

What Is an Authority Type?

The entity type is not the same as the operating authority type; however, they will always be related. The operating authority is a docket number that allows you to travel and operate your business freely.

If you’re wondering how to change the business entity type for operating authority (OA), you will have to select the type of OP-series form stating which entity you’re changing your operating authority to. You must also supply a letter describing the change, a signature from the person requesting the change, an updated MCS-150 form, and current MC/DOT/FF numbers.

Why You Might Change Your Entity Type

There may come a time when you want to change your entity type. Doing so will require filling out forms. You may need to go through the process if you or your business experiences any of the following:

• The form of business changes, such as a sole proprietorship to a partnership
• A legal name change for the corporation, trade name, partnership, or assumed name
• Merger or reincorporation requiring a name change
• Transfer of operating rights
• Consolidation of a carrier and noncarrier resulting in a new name
• Dissolving and changing the state incorporation

How To Change the Business Entity Type

If you’re wondering how to change your business entity type, FMCA Filings is here to help. We’ll guide you through the process so you don’t make a mistake and fill out the wrong forms.

You will need to:

• Complete Form MCSA-5889: The FMCSA requires this Motor Carrier Records Change Form. FMCA Filings makes this process easy on our website. 
• Indicate the Reason: On the MCSA-5889 form, you will need to choose the reason you want to change the entity type. Choose “Biennial Update or Changes” at the top of the form.
• Choose Your Entity Type: You will have a blank space to choose your new entity type.

You will also need to provide the following information:

• Docket numbers and name of the person or corporation requesting the change
• Names of the owners of the stock and distribution of shares
• Copy of the incorporation articles and the associated state certificate
• Names of directors and officers of the corporation
• Statement that the ownership of the company is not changing

If you are requesting an entity change because of new ownership, you will need a different set of forms for the request.

Understanding the USDOT Number

Is the USDOT number part of changing the business entity type?

Each person registered with the FMCSA has a USDOT number. This number is yours for life. Even if you request an entity change, you do not need to change your USDOT number — nor can you.

You will keep the same number even if there are changes within the corporation’s roles. If a new partnership forms, directors change, or the company relocates, everyone will keep their USDOT numbers. However, you will need to fill out Form MCS-150 within 30 days of changing any of these things.

A sole proprietor can keep their USDOT number after changing their entity type, though the tax ID number will likely change based on the changes made.

Let FMCA Filings Make It Easy

If you aren’t sure which forms you need based on the entity type you’re choosing, let FMCA Filings help. Though the USDOT number won’t change, there are a lot of places to make mistakes in the form-filling process. FMCA Filings will help you gather the right forms to make the changes you need to make to your business so you can file them quickly and easily.

FMCA Filings Is Here To Help

As with most government documents, dealing with FMCSA forms can be tricky. Trying to fill them out yourself could be a nerve-wracking experience, causing you to make simple mistakes. If you’re changing your company name and wondering how to change the business entity type on your registration, FMCA Filings can help.

We make the process easy to understand and take all the guesswork out of filing paperwork. Contact us today to speak with our LiveChat agents and get answers to all your questions. We make filing FMCSA papers easy.