An LLC needs two documents: · Articles of Organization to register your LLC with your state. · An Operating Agreement describing the operations of the business.
Anyone forming an LLC should consider utilizing a lawyer. However, there is no requirement to use a lawyer when forming an LLC. Even if you decide to file the Articles of Organization yourself, you should get an attorney to help you write the Operating Agreement, because it is the most important contract a business has. As experienced litigators, nearly every business dispute involving a limited liability company hinges around the operating agreement.
NOTE: Websites that offer free “fill-in-the-blank” legal forms content may not be in compliance with state laws and there may be specific information needed for your situation that you would not know about until you talk to an attorney. Spending the money up front to prepare the most important document for your business is a sure bet to save yourself money and stress down the road. Additionally, like any legitimate company expense, legal fees for things like business formations and preparing necessary entity documents are tax deductible.
In Nevada every limited liability company must have a Registered Agent. While you can serve as your own registered agent it may not be in your best interests. A registered agent is a person or business who represents the business for legal correspondence. Nevada requires that you use a mailing address, not a PO Box, for the registered agent. While you can serve as your own registered agent, privacy concerns may dictate if you want someone else to represent you for receiving legal correspondence. The registered agent name and address is listed publicly as the place that should receive your LLC’s correspondence. Thus, for privacy reasons many LLC’s members or managers do not serve as their own registered agents. Additionally, you must register your LLC with any state in which you do business. If you do business in several states, generally you must register with each state. The first state registration is called a domestic registration. Registrations in additional states are called foreign registrations.
Where Should you form your LLC?
There are multiple considerations when deciding where to form your LLC. Some states offer better tax incentives while others like Nevada offer more privacy or
enhanced protections for company actions. However, forming in one state while doing business in another may lead to double taxation. For specific tax concerns, you should always consult with your attorney and tax advisor. For purposes of litigation, Nevada leads the nation in some of the most beneficial laws utilized by entities such as limited liability companies. If you are considering your options as to where to form your limited liability company, consult with legal counsel who has experience in this field of law