Benefits of Registered Agents

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When you form a new business, you may hear a lot about getting a registered agent. But, what is a registered agent and why is it important to have one? Read below to find out more about why you need a registered agent for your newly formed corporation or LLC.

What is a registered agent?

A registered agent is a third party you designate to accept service of legal documents and notifications from the state or other entities that are for your business. Your registered agent serves as your businesses ‘public face’ by solidifying a presence at their location. The registered agent must be located in the state where your business is registered.

Why is it important to have a registered agent?

Corporations and LLCs need a registered agent to act as a buffer between your businesses legal matters and your physical place of business. With a registered agent, anyone trying to locate you or your company must first start with your registered agent.

By having a registered agent, your business will never have to worry about missing an important legal document. If you decide to act as your own registered agent, you will need to make sure that someone is always in the office during standard business hours. If you make the choice to be your own registered agent, you could be forced to skip out on vacations or business lunches and sick days because you will need to be in the office to accept official legal documents.

If you set your own hours or don’t work in an office, you should consider designating a registered agent so that you never miss important communication or documents from the state.

What do I gain by having a registered agent?

By designating a registered agent, you’ll gain peace of mind knowing that you’ll never miss out on important legal documents. You’ll also avoid potentially embarrassing situations where you could be served legal and tax documents in front of your clients.

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Your registered agents address will also be your businesses official address. So, if you move your business, you won’t have to worry about changing your business address with the state.

A business that does not designate a registered agent, may risk falling out of “good standing” with the state in which it is registered by simply missing one state notice. Penalties can include license revocation, fines, and the inability to enter into legal contracts or gain access to banking and the state court system.

Need a registered agent for your corporation or LLC?

NCH’s experts can help you form a corporation or LLC and get you started with our registered agent service. As your registered agent, NCH’s location is your corporation’s official address. NCH will accept all official documents on behalf of your corporation and forward them to you.

Call the business formation experts at NCH today at 1-800-508-1729 for a free 1 on 1 business consultation.

 

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