Requirements for LLC?
Answer:
I respectfully disagree with Imisidro. First, you should refer to your state's "Limited Liability Company Act." Just type in these words along with the name of your state in Google or Yahoo Search.
Typically, Articles of Organization are the only legal documents required to form an LLC in your state. However, it is highly advisable to create and execute an Operating Agreement where either (1) you have a manger-member LLC, or (2) you will have more than one member in the LLC.
Think of the Operating Agreement as a set of corporate bylaws, which govern the operation of a corporation.
What happens if you don't have an OA? Your state's default rules concerning the operation of an LLC (which are often scant and interpreted further by case law) will apply. Good luck!
There are two items that are BOTH required in forming an LLC:
1. LLC Articles of Organization. The first formal step to create an LLC is the submission of the LLC Articles of Organization with your state's LLC filing office. Request a copy from your state's filing office, typically the Department or Secretary of State's office, normally located in your state's capital city (some big states have branch offices). The LLC Articles of Organization is a relatively simple form where you need to supply some basic details about your LLC: name, principal office address, agent and office for receiving legal papers, and names of its initial members or the special management team. Upon submission, the name of your LLC will be checked for possible duplication. Check with the LLC filing office if the additional step of posting a notice of intention to form an LLC in a local newspaper prior to filing your Articles is required (some states require this, while many don't).
2. LLC Operating Agreement. The operating agreement defines the basic rights and responsibilities of LLC members. As a matter of prudent business practice, this is a crucial documentation that serves as the written guidance for the newly formed LLC. This document usually provides for the purpose of the LLC, its duration, transferability, and management structure.
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