What is an Operating Agreement?
A Limited Liability Company (LLC) has become the entity of choice for many start-up businesses today. An essential document that every LLC should have is an Operating Agreement. The Operating Agreement provides the rules, regulations, and procedures for operating your LLC. This set of guidelines governs the internal operations of your LLC and is tailored to meet the specific needs of your business. The Operating Agreement strengthens liability protection for your business by formalizing your operating procedures and acts as a contract between the Members of the LLC, binding them to its terms. Don’t forget this important document that not only provides guidance but also protection for your business.