To form your company, you will need to file the ‘Articles’ with the entity tasked with forming companies in your state. Each state is different, but in North Carolina, this is the Department of the Secretary of State. Fortunately, the NC Secretary of State’s website includes Article templates that you can print and complete in order to complete your LLC Formation.
LLC Article Parts
For your LLC, there are a few required terms for your company’s Articles of Organization. The most common parts are:
- Name of the Company. You name must include “LLC,” “Limited Liability Company,” or any other common abbreviation for a Limited Liability Company. Before choosing a name, you should also run through a name search, checking the Secretary of State’s site, the USPTO, register of deeds, Google, domain registry, and any state trademark offices in which you might want to conduct business.
- Registered Agent and Address. This isn’t required in all states, but it is the person or entity that is located within the state borders that is responsible for accepting service of process on behalf of the company. This is important because this is the place a person can sue a business in the event the business has wronged that person. Just by serving this person, even if the business owner never gets the lawsuit, subjects the business to the jurisdiction of the court.
- Principal Office Location. This also isn’t required in all states, and isn’t required in North Carolina, but it provides a backup for the registered agent in case service cannot be obtained on the registered agent. It also provides the public with more information about your company.
- Member Managed versus Manager Managed. This is becoming less common, and has been removed from North Carolina’s articles. What this is establishes whether the Members (owners in an LLC) can make management decisions simply because they’re Members, or whether Members must vote for a Manager or multiple Managers of the company. In NC, all Members are Managers automatically unless the Articles or Operating Agreement specify otherwise.
- Organizer. The Organizer does not necessarily have to be a Member, but the Organizer is the person who is setting up the LLC. This person has only the authority to set up the LLC, unless the Articles or Operating Agreement specify that she is a Member or Manager.
If you need help with your LLC Formation, or have questions or concerns regarding this process, please feel free to contact us at email@example.com or by calling 919-912-9640.
Additionally, this is a modified excerpt from Richard Bobholz’s upcoming book. For more information on Check Mark Startup, visit www.checkmarkstartup.com.