What To Consider When Choosing A Registered Agent

When you register your Company in a state, appointing a registered agent is a must to help you set up an LLC and get the required licenses. A registered agent plays a crucial role here that goes beyond the initial process of setting up your licensing or collecting your legal documents. In order to get the best return for what you will pay in agent fees, you have to consider many factors before choosing which registered agent will represent you. A good place to start is knowing why it is important to have an agent in the first place. When done with this article I highly recommend that you visit this website.

Why Should You Consider Hiring A Registered Agent?

To run a business in the USA, most states require you to designate a registered agent. Even if it is not required, it is highly recommended to hire a registered agent as it comes with many benefits.

Privacy Protection

Designating a registered agent protects your privacy because all legal documents and paperwork are sent to their offices. This saves you from any potential embarrassment of being served legal papers in front of your employees.

All Legal Issues Are Taken Care Off

A registered agent will remind you about any fees that you have to pay and notifies you of approaching deadlines to avoid fines, so it is apparent that apart from giving you legal advice, they help you in compliance with the law. If you are not familiar with this process it can be very easy to miss a deadline.

Non-residency Is Not A Problem Anymore

If you live outside the state or happen to travel a lot, registered agents receive important paperwork at their registered address, so you do not have to use yours.

Now that we are done with the “why” let’s see “what” we have to take into account.

What Does It Cost To Hire A Registered Agent?

It can be free of cost if you act as your own registered agent. And hiring an individual or a company can cost as low as $50 and as high as $300.

However, it is recommended to hire a service as it can save you time and money.

What Other Services Can A Registered Agent Provide You With?

Time-sensitive Documents

They take extra care with time-sensitive documents. With this, you can manage documents that need to be dealt with quickly with ease, no matter where you are and what you are doing.

Customer Service

A registered agent service can guide you if you have questions about your business entity and help you with the information you might need for your business to be up and running.

Avoiding The Risk Of Non-compliance

A registered agent service will help you stay in compliance, avoid state penalty fees, and aid you in maintaining your company's good standing in your state of formation.

Ease In Changing Your Business Address

Updating registered agent information requires a formal state filing you often have to pay a fee to the state. But it is different with registered agent services because if the registered agent service moves their office, they will have to do the filing instead.

What Kind Of Damages Are Registered Agents Responsible For?

Usually, registered agents are not personally liable for claims against the company, but in the case of failing to meet their responsibilities and getting exposed, the registered agent is responsible for the damages made. For instance, if a registered agent fails to notify the company they are working for that they are being sued, and this results in a default judgment against the business, in this case, they are responsible for the damage done.

Commercial Registered Agents Vs Noncommercial Registered Agents

A filer is often required to provide the name and address of a registered agent when they are completing business entity filings with a Secretary of State. In some states, they ask you if this is a commercial agent or a noncommercial agent, and this has an impact on how the filing is done. If a commercial registered agent is being appointed, the filer is not needed to provide an address, however, if it is a noncommercial agent, an address is always required.