If you want to form a limited liability company (LLC) in North Carolina, you should consider including an operating agreement. Although North Carolina’s laws do not require LLCs to have operating agreements, you are still encouraged to have one to protect the operations of your business.
Having an operating agreement is critical to ensure that your business is legally compliant and that all of the proper procedures and policies are followed. It is recommended to work with a business attorney when forming an LLC in North Carolina to ensure your business operates efficiently and complies with all federal and state laws.
Are You Required to Have an Operating Agreement?
An operating agreement is an essential legal document that outlines the management and operations of an LLC. It identifies the company’s function and financial decisions, states its ownership, and defines the responsibilities and rights of its owners.
An operating agreement explains the internal structure for the company so that the owners know who the manager(s) are and who the board of directors are. In addition, an operating agreement outlines the rules and regulations governing the business, which can help to prevent disputes between you and other members.
This document is not required by law in North Carolina, but having one in place is a good idea. Besides defining rules for decision-making, it can provide an outline for allocating profits and losses and admitting new members. A well-written operating agreement is essential for your single-member or multi-member LLCs as it helps to:
- Maintain control and management of the business
- Avoid North Carolina’s imposed default rules
- Clarify the business’ succession plan
- Prevent financial and managerial misunderstanding
How our Wilmington Business Attorneys Can Help Form Your LLC
At Rountree Losee, we are a dedicated Wilmington business law company. We have over 100 years of experience helping entrepreneurs and business owners in Wilmington, NC, form LLCs, and other business entities. We can help you with the following:
- Form your LLC – Our dedicated business attorneys will advise you on the best business entity for your needs and help you draft the necessary documents with the North Carolina Secretary of State.
- Business succession planning – Our Wilmington business attorneys will help you plan for the future succession of your business.
Contact a Wilmington Business Attorney Today to Get Started
If you want to form an LLC in Wilmington, North Carolina, and need help, talk to one of our Wilmington business attorneys at Rountree Losee. Our dedicated business attorneys, George Rountree, Geoffrey A. Losee, and Michael A. Becker provides counsel to entrepreneurs across North Carolina. Contact us online or call (910) 763-3404 and let us know how we can help you meet your business needs.