Why Do I Need A Registered Agent for My LLC or Corporation?
By Attorney Robert Montgomery
What is a registered agent and who can be one? Every state requires an LLC or corporation formed in that state to have a registered agent. A registered agent can be a person or individual (over age 18) or another entity which has a street address (cannot be a post office box) in the state of filing that can accept service of legal papers for the corporation or LLC or who receives important documents or mail on behalf of the corporation or LLC from the Secretary of State’s Office.
The purpose or idea in requiring a registered agent is to designate a person or business on the records of the secretary of state to be the responsible party to receive information, legal papers, documents, etc., on behalf of the entity. For example, if someone needs to serve legal papers on a company named XYZ, Inc., who do they deliver papers to. By designating a person as registered agent, then a process server will know who to serve. The most common person to act as registered agent is the person or one of the people who are forming the new corporation or LLC. There are also companies (other corporations or LLC’s) that provide services and can act as registered agent but they generally charge annual fees ranging from $100 up to $300.
Larger companies who must register an LLC or corporation in many different states as a foreign corporation doing business in that state, often use one of the larger national registered agent companies for that purpose. Using a company, although more expensive, can be helpful if you are gone a lot or if you don’t have a physical address to receive legal service or mail. Its important that the registered agent be available to accept important legal documents. Otherwise, the owners of the corporation or LLC may not receive the documents and may not be notified of important legal matters concerning their business.
