I Can't Serve The Registered Agent Of A Corporation What Do I Do?
When y'all incorporate a business, there are plenty of requirements to keep runway of.
You'll need to come up upwardly with the perfect business name, decide which type of business organization entity you want to form, and acquire concern licenses to operate in a compliant style.
Another of the important early steps for any LLC, corporation, or nonprofit corporation is to designate a registered agent for your visitor.
Simply what is a registered agent, and why practice you need one?
The role of the registered agent for an American business organization entity is not a terribly complex 1, only it is an incredibly of import role that requires conscientious consideration.
Guru Tip: Most top-rated incorporation services offering a free registered amanuensis service when using their services to create a company online. Plus, they are fast and affordable.
Getting Started
Select your state below to learn who tin can be a registered agent and how to designate them. We'll show you how it works and what is required.
What Is a Registered Amanuensis?
A registered agent is someone who serves a business concern by acting equally the indicate of contact betwixt that business and the state government. Maintaining a registered agent is a legal requirement for any and all incorporated businesses.
Most anyone can serve equally a registered amanuensis. In fact, you can serve as your own registered agent, you tin hire a concern to handle this office, or y'all tin designate another individual, like a family member or friend, or perhaps a lawyer or auditor.
The just existent restriction is that Colorado requires an individual registered agent to exist at least xviii years old, although no other country has an age brake for this role. Regardless of who the amanuensis is, the registered agent must exist available to accept service of process during all regular business hours.
A registered agent has a physical address in the state, sometimes called the registered role. The amanuensis's accost cannot be a P.O. Box, because the country does not e'er deliver documents through the mail. Since process can exist served at any time, it'south very important that the agent is available from 9am to 5pm, every Monday through Friday.
That'south why many professionals recommend that you hire an agent and non serve as your ain.
What Does a Registered Agent Do?
A registered agent accepts all formal written communications from the state government on behalf of the business organization.
These communications include service of process, tax documents, notifications from the Secretary of State, and more than. The agent then forwards any relevant documents to the business organization in a timely manner.
This might not seem like that big of a deal — and it can fifty-fifty seem like an antiquated and unnecessary middleman function — but it is an of import part. And if you hire a registered agent service, they may likewise assistance remind you of when sure forms are due, such as the almanac study or concern license renewals. Furthermore, a registered agent tin significantly cutting down on the junk mail service yous receive, as your agent can filter out whatever spam mailers delivered to your business.
Why Is a Registered Amanuensis So Important?
Just put, a registered amanuensis is important because it is a legal requirement. Yous'll encounter significant legal problem if you fail to designate or maintain a registered amanuensis.
More than specifically, the registered amanuensis plays a vital role in facilitating the court system. Hither'due south how: the registered agent proves that legal process has been served. Law requires that, for a case to come to court, the plaintiff must be able to show that there has been a good-faith endeavor to notify the other party of the adapt.
In theory, without a registered agent, a business could deny that it ever received that communication, which could stall the lawsuit indefinitely. By having registered agent laws, there is proof that both parties are aware of the service of process — and if you're not, it is entirely your own mistake for skirting the rules.
Can You Be Your Own Registered Agent?
The short answer? Aye. As an individual, you can serve as your registered agent in all fifty states. That said, fifty-fifty though a fellow member or owner of the business can operate in this role, a business entity cannot act as its own registered agent. Your registered agent can be practically anyone as long as you meet a few simple requirements.
For 1 thing, as we mentioned in the previous section, the agent needs to be available during all standard business hours. In Colorado, the registered amanuensis must also be a legal adult at least xviii years of age who is a resident of the state.
As long every bit you lot as well maintain a physical street address within the same state as your business operates, you are legally immune to serve equally your company'southward ain registered agent. However, the questions of "can you?" and "should you?" have entirely dissimilar answers.
Should You Exist Your Own Amanuensis?
Just because you can serve as your own registered amanuensis doesn't necessarily mean that you should. In fact, we recommend that you appoint someone else to serve equally your agent. That's considering there are several drawbacks to serving equally your ain agent.
For one matter, the accost of your registered amanuensis is publicly available. So, allow'southward say that you operate a business out of your ain home, and you choose to act as your own registered agent. In this situation, you list your dwelling address as your registered agent address, considering you work from home.
That means that your dwelling house address volition get a matter of public record. Similarly, if yous listing your business organization address, and then legal procedure can be served at your business — even if in that location are employees or clients present.
The law also requires that a registered agent be available during all regular business organization hours. This means that the amanuensis is present at the registered accost every Mon through Friday, from 9am until 5pm. If you serve as your own amanuensis, this ways you lot accept to be at your address during all regular business hours. You lot won't be able to go out for lunch, and you honestly probably shouldn't even take a bathroom break, considering you would risk missing a delivery.
But if you hire someone to be your agent, you eliminate all of those pitfalls. The agent's address is what's bachelor to the public, so they go the junk mail service, while your address remains private. A hired registered agent also allows yous to come and become from your location as needed, and you're also able to expand your business into boosted states with relative ease.
Steps to Designate a Registered Agent
The procedure of designating a registered amanuensis isn't terribly circuitous or time-consuming. But it is important that yous complete it correctly.
If you lot're forming your business for the showtime time, incorrectly designating a registered agent will atomic number 82 to the state rejecting your filing. If you're naming a registered agent for a business that already exists, an ineligible filing will pb to your business losing its expert continuing with your country.
If y'all're forming a new business, the process is quite unproblematic. All you need to practice is get the registered agent's consent to serve in the function and provide proof to the state. Unlike states require different forms of proof. Some only crave yous to include the registered agent'due south proper noun and address on your germination documents, while some require the registered amanuensis's signature.
There are even some states that crave a separate "consent of registered agent" form, and some where the agent'due south consent needs to be notarized. But brand sure you follow your state'south regulations!
If y'all're changing your registered agent for an existing business organisation, the process looks a bit different. In near states, this will involve filing a "modify of registered agent" form with the Secretarial assistant of State, including some basic data about your business and your chosen agent.
There are also some states that permit businesses to indicate a registered agent change on their annual reports. Again, find out what your state requires and follow their instructions to the letter to ensure a compliant registered amanuensis designation.
What Happens if I Don't Maintain a Registered Amanuensis?
At that place are penalties if a business does not maintain a registered agent as it should. For example, in some states, the land volition administratively dissolve your business organisation if you don't take an amanuensis.
In fact, you lot won't even be allowed to incorporate your business if you don't designate a registered agent, because the state will consider your filing to be incomplete.
Similarly, if process is served on your business and you lot don't accept an agent to notify you, and so you lot'll be completely blindsided. How bad-mannered would it be to not bear witness up at your own court date? Worse than bad-mannered — information technology could even spell doom for your business organisation. Maintaining an agent eliminates that possibility.
Finally, businesses without a registered agent actually lose their good standing in the state. Businesses out of compliance could, in theory, lose their corporate veil and limited personal liability, which would open up their personal avails to lawsuits.
Thankfully, keeping an agent listed for your business is adequately uncomplicated (even when changing or resigning) so you can avoid these pitfalls.
Should I Hire a Professional Registered Amanuensis Service?
We strongly prefer hiring a professional service to handle your registered amanuensis office, every bit opposed to serving equally your ain or having a friend or family member take it on. Another mutual selection is to rent an attorney or accountant to be your company's registered agent.
Still, lawyers and accountants oftentimes charge high prices to serve equally your registered agent, and they may non be experienced in the part. That's why we think a professional registered amanuensis service is the best choice.
With a professional registered agent, y'all'll never have to worry about missing an important document delivery, and you won't have to concern yourself with being available at the same address during all standard business hours.
If you want to employ a professional service, we recommend checking out our guide to the top online registered agent services. In general, our favorite options are ZenBusiness, Northwest Registered Amanuensis, and Incfile. All iii of these companies provide registered agent service for $119-125 per year, and they all besides provide one yr of registered agent service for free if you purchase incorporation service from them.
Heads Up: ZenBusiness and Northwest charge just $39 for the combination of incorporation and registered agent, while Incfile charges $0 (add your state fee to these prices).
Frequently Asked Questions
How much does it cost to designate a registered amanuensis?
There is no fee for designating a registered agent for a new business, as you lot'll indicate your amanuensis's name and address on your formation paperwork. However, for an existing business to change its registered amanuensis, some states do charge a filing fee for the "change of registered agent" document. In almost states, this fee is insignificant, most ever less than $100.
What are the potential penalties for failing to designate a registered agent?
If you don't include registered agent information in your business germination documents, the land volition reject your filing and your business entity simply will not exist. If you fail to properly inform the state about a modify of registered agent for an existing business, the change will not become official and the state will keep contacting your previous registered agent, fifty-fifty if they no longer represent your business.
How long does it have for the state to accept my company'south registered agent designation?
If yous're forming a new business, the state volition have your registered amanuensis designation equally presently every bit it processes your formation documents. If you're changing your registered agent for an existing business organization, it depends on how long information technology takes the state to process your "change of registered agent" form.
Should I serve as my own registered amanuensis, hire an chaser or auditor, or use a registered amanuensis service?
All of these are every bit viable options, and legally speaking, it won't make a divergence which one you choose. However, that doesn't mean nosotros don't have our preferences in this surface area. Serving every bit your own agent (or designating a trusted friend or family member) is the cheapest choice, merely as we discussed earlier, this involves making your address public, receiving lots of junk mail, and needing to stay at your master business address during all standard business hours.
Hiring your chaser or accountant as your amanuensis has the advantage of designating a registered amanuensis that you already accept a business relationship with. However, these professionals frequently charge very high prices for registered agent service, and they may not have much experience in the part. That'south why we adopt using a reputable online registered agent service like the ones discussed earlier in this guide. They provide an ideal mix of affordability and professionalism that these other options don't have.
Conclusion
A registered agent's task might seem insignificant, but by accepting formal communications for the business organisation, the agent fulfills a vital chore.
The registered amanuensis ensures that the state has a means of consistently contacting an official representative of your business, which makes the legal system piece of work much more smoothly for business matters than information technology otherwise would.
No matter which road you cull — whether yous determine to designate yourself as your company's registered agent, designate a friend or family fellow member, or if yous choose to hire a professional registered agent service — we hope that this guide helped you empathize more about registered agents. Now you're prepared to appoint the perfect amanuensis for your business.
I Can't Serve The Registered Agent Of A Corporation What Do I Do?,
Source: https://incorporationguru.com/registered-agent/
Posted by: howardmith1961.blogspot.com

0 Response to "I Can't Serve The Registered Agent Of A Corporation What Do I Do?"
Post a Comment