This Operating Agreement is for a Limited Liability Company with only one Member. This form may be perfect for an LLC started by one person. You make changes to fit your needs and add description of your business. Approximately 10 pages. It allows for eventual adding of new Members to LLC.
An operating agreement for a limited liability company (LLC) is a legal document that outlines the structure, rights, and responsibilities of the company's members. It is a crucial component for any LLC formation, as it ensures smooth operation and mitigates conflicts among members. Here are some examples of operating agreements for LCS: 1. Single-Member LLC Operating Agreement: This type of operating agreement is designed for LCS with only one member or owner. It outlines the member's rights, responsibilities, and ownership percentages. It helps establish the separation between the member's personal assets and the company's liabilities, ensuring limited liability protection. 2. Multi-Member LLC Operating Agreement: This operating agreement is suitable for LCS with two or more members. It addresses the roles and responsibilities of each member, their capital contributions, profit and loss allocations, decision-making processes, and procedures for admitting or removing members. 3. Manager-Managed LLC Operating Agreement: In this type of operating agreement, the day-to-day operations and decision-making authority are assigned to one or more appointed managers rather than the members themselves. This structure is commonly used when the LLC has passive or silent investors who do not actively participate in business operations. 4. Member-Managed LLC Operating Agreement: Conversely, a member-managed LLC operating agreement grants decision-making authority to all members of the LLC. It ensures that all members have an equal say in the company's operations, capital investments, and voting rights, fostering a democratic approach to management. 5. Professional LLC Operating Agreement: This operating agreement applies to LCS formed by licensed professionals, such as doctors, accountants, or architects. It includes provisions that comply with the professional regulations and ethical standards imposed on these industries without compromising the limited liability protection offered by an LLC. Regardless of the type of operating agreement, it typically covers key areas such as the LLC's purpose, capital contributions, profit and loss allocations, voting rights, dispute resolution mechanisms, member withdrawal or buyout provisions, and dissolution procedures. It is essential to consult with a legal professional experienced in business law to draft an operating agreement tailored to your specific LLC structure and needs.
