When To Use A Registered Agent
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Video Transcript:
You will need a registered agent if you are incorporating your business or if you are applying to do business in a new state. Failing to have an agent can result in penalties or the state dissolving your business entity.
Most states allow an individual to serve as the agent, which could be an owner or officer of your business. A company can also serve as the agent, but remember, your business cannot act as its own agent.
A popular option is to use a registered agent service. There are several advantages to doing so.
First is staying compliant with the state’s requirements. The service provider maintains an up-to-date address, and is available during regular business hours so you don’t have to be. A registered agent should also remind you when annual reports are due.
Second, the agent’s name and address are listed in the state’s public records instead of yours, which gives you privacy.
Third, a reliable agent receives your documents and sends them to you quickly so you never have to worry about missing the delivery of a document.
Ideally, your registered agent is also helpful to you as questions come up about your documents or filings.