NC H717

Adds new definitions to the NC Professional Employer Organization Act for "tangible net worth" (total tangible assets minus total liabilities, excluding goodwill, patents, copyrights, intellectual property, and trademarks) and "working capital" (current assets minus current liabilities)

Requires PEO license applicants to demonstrate a minimum tangible net worth of $50,000 and positive working capital, with audited financial statements prepared within 120 days of application (increased from 90 days)

Allows the Commissioner to accept a parent company's audited financial statement for applicant evaluation if the parent executes a guaranty agreement covering all obligations for payroll, taxes, workers' compensation, and employee benefits

Establishes specific grounds for license denial, including felony conviction, fraud findings, failure to meet financial requirements, or association with officers/directors who previously had PEO licenses suspended or revoked

Adds requirement for de minimis registration that the PEO not be domiciled in North Carolina, and clarifies that advertising through publications, trade journals, or internet is permitted if not expressly directed toward NC employers