I don't know how to set this up or even if it would work but...
I think the requirements for membership should be posted and that the applicant can request membership and submit the necessary evidence as proof of eligibility. If that member can not meet all the requirements, they can request an exception to the policy by providing a justification as to the reason they should be allowed the exception. All applicants and exceptions will be screened, considered and either approved or rejected in the manner that they are now. I feel that we current members have an obligation to read the applicants introduction and if someone sees something that appears out of order they can send up a flag and the staff could investigate the application deeper. One problem with this from the applicants position is that it may take a couple of days for a full and proper review to take place if they are applying with exceptions that need to be reviewed and considered. On the forum members side, this would allow a clear consensus of a majority of the members opinion on whether to grant an exception or not.
Since states and countries have different requirements the staff here should decide what is necessary for PCbiz.org and establish their own standards that will fulfill the requirement as proof of a legitimate business. Members from the same state and or country could verify any bogus claims made by the applicant as to some unique business laws and situations that the applicant my try to snow the board with. I think you guys are already doing this but I think that PCbiz needs to develop its own requirement determinate independent of any State or Country's determination. That is just my opinion and you are entitled to it.

Edit: What all the above means (I think) is that we need a review group consisting of regular members randomly selected to review exceptions and report the results to the staff for final consideration prior to approval or rejection. (or something like that)