If you match the fundamental requirements, you may become a registered agent by naming yourself in your company’s formation paperwork or by submitting for a registered agent change with the state.
We will discuss who may be a registered agent and how to become one in this post. We will also discuss the benefits and drawbacks of acting as your own registered agent vs using a registered agent service.
Who Is Eligible to Be a Registered Agent?
A registered agent is a person or organization nominated by a limited liability company (LLC) or corporation to accept service of process, government communications, and compliance paperwork on the firm’s behalf.
If they match the requirements, anybody may be a registered agent. Although the requirements vary by state, in general, a registered agent must:
You must be at least 18 years old.
Have a physical address in the state where the company was founded (i.e., not just a P.O. box)
Make yourself accessible (in person) during regular business hours (i.e., Monday through Friday, 8 a.m. to 5 p.m.)
How to Become Your Company’s Registered Agent
To become the registered agent of your company, you must name yourself as such in the formation papers of your company or on a form needed by the state to change registered agents.
Do I Need to Name a Registered Agent?
When incorporating an LLC, partnership, or corporation, most states require you to name a registered agent. When you submit the Articles of Organization with the Secretary of State or an equivalent government body after deciding on your company structure, you will be required to include a registered agent and/or registered office.
Why Do I Need to Be My Own Registered Agent?
To be your own registered agent, you must be available to receive official mail on your company’s behalf during normal business hours. This may include things like:
Forms of taxation
Correspondence from the government (i.e., annual report)
Summons (service of process), such as a lawsuit notice
What Are the Benefits of Acting as My Own Registered Agent?
The principal benefit of acting as your own registered agent is that you avoid paying the costs that registered agent services demand. These expenses, however, sometimes include state filing fees, which you will have to pay even whether you serve as your own registered agent.
What Are the Drawbacks of Acting as My Own Registered Agent?
Even if you fulfill the aforementioned requirements, you may not choose to be your own registered agent. That’s mainly because, although it may save you a few hundred bucks each year, it will take time away from company growth.
There are additional hidden charges to becoming your own registered agent. You might, for example, miss a court summons, other vital government papers, or filing deadlines, resulting in penalties or even a court judgment against you.
The Advantages of Using a Registered Agent Service
Hiring a registered agent service has various benefits, including legal compliance, peace of mind, flexibility, and privacy. More information is available in our Should I Use a Registered Agent Service guide to help you make the best decision for your company.
By notifying you of legal notifications or providing annual report filing reminders, a registered agent service may assist your company in maintaining successful corporate compliance. A registered agent effectively serves as a gatekeeper for corporate organizations, enabling you to address concerns as they arise.
Hiring a registered agent service gives you piece of mind since you know important government paperwork will be received and handled correctly.
You must be accessible during regular business hours if you serve as your own registered agent. Hiring a service lets you to work your own schedule and concentrate on your company.
If you work from home, you may keep your home address hidden by using a registered agent service. Furthermore, if you operate in a different location from your registered agent, you avoid getting served with a lawsuit or other sensitive paperwork in front of clients or workers.