Imagine you run a food truck business and you are never able to get to your business office to handle official business. Many business owners must put in many hours of service to their customers. When an entrepreneur is this busy, they have little time to handle the administrative side of their operation such as accounting and business registrations. A business will benefit greatly from a registered agent service.
A registered agent is an individual or an organization that serves as the business point of contact for a business. They will be responsible for receiving any official correspondences the business may receive such as tax notices, renewal notices, or lawsuit notices.
Why Do I need a registered agent?
You need a registered agent because you are more needed in your business operations. Your customers deserve your uninterrupted time to create greater service and products, to be innovative and to set market trends for them. A registered agent will be the person that can manage to keep your business registered in the state(s) you operate.
If you are a multi-state business, it can be costly for you to have an administrative presence in each state you are doing business. A registered agent can be used to satisfy the state’s residency requirement to organize your business in that state.
A busy business owner will struggle to be available at all times to receive important contacts about official business. Hiring a registered agent will ensure your business’s line of communication is consistently open to receive any type of communication that should never be missed.
When do I get a Registered Agent?
You should secure a registered agent before you organize your business with the state(s) you will operate in. Not all states require you to have a registered agent, but most do. In most cases, you can serve as your own registered agent, but this only adds more responsibility for you and may take away from the time you need to focus on your business.
You can secure an individual or a business to be your registered agent, but before doing so, verify that they are eligible. In most states, the requirements are the same. A registered agent should:
- Be a legal resident of the state.
- Have a legal physical address in the state your business will register to operate
- Be available to receive official communication about your business during normal business hours.
- Be a corporation or LLC who is authorized to do business in the state and have a physical address in the state.
Other Benefits of a Registered Agent
A registered agent can be the organizer of any business that is filed with the state it operates in. Many companies that operate as registered agents for other businesses will manage the complete business filing process for businesses. Not only would they list themselves as the registered agent, but they would also manage the initial start-up process with the state’s secretary of state office. Organizations who specialize in being a registered agent for other businesses are well aware of the type of filing a business will require.
You would benefit from these services to ensure that you are being set up under the right formation type as well as meeting any other regulatory filing requirements needed to operate in any given state.
Another great benefit of having a registered agent is the address privacy for your business. The privacy of the address can have additional benefits as well. Because the contact address on file for your business will be that of the registered agent, you will not receive unwanted communication to your place of business such as solicitations and sales contacts. The hidden address benefit of a registered agent is especially important to entrepreneurs who operate from their homes. These type of business owners will be protected from disgruntled consumers who may wish to pay your home a visit.
Find a Registered Agent Service
It is not difficult to find a registered agent. There are many that can service your business. Once you have found a reputable organization, contact them to get started on building your trusted relationship with them.