Every year Corporations and LLCs are required by law to maintain a Registered Agent in every state in which they do business. The question often arises about what exactly does a Registered Agent do?
Accepts Receipt of Service of Process:
If someone were to call you and ask, “Where should we send this lawsuit?” you’d probably want to give them a wrong address. Knowing this, most states require corporations/LLCs to have what is called a “Registered Agent.” This is a person and place in the state where lawsuits can be sent. Because you could lose a lawsuit by default if you are unable to be served or the paperwork isn’t properly passed on to you, having a registered agent watching your back is your first line of defense against aggressive lawyers.
While in some states you are allowed to serve as your own registered agent, we highly advise against such. Even if you have a working office that is available to accept service of process during business hours, would you really want the awkwardness associated with being served in front of your employees and customers? A registered agent can also help protect certain personal information from appearing on the internet (e.g., the state Secretary of State database).
Help to Maintain Your Corporation’s Good Standing:
A business loses its entity status and authority to conduct business in a state should it fail to make required filings such as annual reports, statements of information or franchise tax filings. When the business is no longer authorized to conduct business, the restrictions are serious – these include losing the ability to initiate lawsuits, to enforce contracts and to secure financial loans in that jurisdiction.
Mail Forwarding of Official Documents:
For the most part, all of your legal or governmental paperwork associated with your business will be sent to your registered agent’s address. This includes correspondence from the federal and state government as well as tax documents from the Internal Revenue Service. We will make sure that you are forwarded all such important mail.
Select a plan below to choose Lighthouse Legal Services to be your Registered Agent: