Steps to Start an LLC in Arizona
When starting an LLC in Arizona, creating an operating agreement is critical. This legally binding document outlines ownership, management, and operations, ensuring smooth running and legal protection. Despite not being required, having an agreement gives advantages like reinforcing limited liability status and protecting the agreement.
An agreement can include the LLC’s name, address, duration, tax treatment, member responsibilities, and more. You should keep the signed agreement for future reference as it does not need to be filed with the state. It is highly recommended for LLCs to prevent confusion.
Benefits of Having an Operating Agreement
Having a written operating agreement gives you and any co-member certain advantages that can help your business like reinforcing limited liability status, clarifying verbal agreements, and protecting the agreement in the eyes of the state.
You can create your own LLC operating agreement in Arizona or hire an attorney to draft one for you. This legally binding document outlines your LLC’s ownership, management, and operational procedures, ensuring that your business runs smoothly and is protected from potential disputes and legal issues.