Why Do Businesses Need Agents? The Role of Registered Agents

An agent acts on behalf of a business. Agents broker goods and services, negotiate contracts, and have a responsibility to act in the client’s best interest.

Choosing a Registered Agent

A "registered agent" receives legal documents for a business, such as lawsuits. How do I choose one? Consider service offered, efficiency, and costs. Since an LLC cannot receive service itself, a registered agent is legally required in all 50 states.

  • Sole proprietorships and partnerships don’t need registered agents.
  • You must name an agent when filing business formation paperwork.
  • If your agent’s information changes, file an update.
  • Have an agent in every state where your company operates.

Registered agents help businesses by organizing documents, ensuring materials are delivered quickly, and meeting state requirements. The main purpose of registered agents is to provide reliable contact for the public, courts, and government. Once the state has your agent’s information, it becomes public record, guiding people with legal complaints and allowing government contact. Registered agents accept service of process, notify you of documents, and pass them to the business.

Fundamental factors to consider when selecting an agent are service offered, efficiency, and costs.

Legal Requirements for LLCs

Do I need a registered agent for my LLC in California?

A registered agent is a person or company who agrees to receive legal documents and notices on behalf of your LLC. This ensures your LLC remains compliant with state regulations.

Some LLC owners work with registered agent service providers to manage documents. Since an LLC cannot receive service itself, a registered agent, also called an "agent for service of process," is necessary.

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