You’ve just registered your entity in the US, and you want to make sure you don’t miss anything important. Here’s why delegating a registered agent can an asset to your business.

 

What is a Registered Agent?

A registered agent is a person or entity that is designated to receive legal documents and notices on behalf of a business entity. They serve as a point of contact between the business and the state government, and they are responsible for ensuring that the business is notified of important legal documents and deadlines.

Is it required?

In most states, it is a legal requirement for businesses to have a registered agent, because it is essential for state government agencies and courts to have a reliable way to communicate with businesses regarding legal matters such as lawsuits, tax notices, and regulatory compliance.

 

Can I act as my own registered agent, or should I go through a third party?

When setting up a business entity, you have the option to act as your own registered agent or to hire a third-party provider to act as your registered agent. Here are some of the key differences between the two options:

 

Acting as Your Own Registered Agent:

1. You save money on registered agent fees.
2. You must be available during regular business hours to receive legal documents and notices.
3. Your personal information, such as your home address, may become public record.

Hiring a Third-Party Provider as Your Registered Agent:

1. You can maintain your privacy by using the provider’s address as your registered address.
2. The provider will receive and forward legal documents and notices on your behalf, so you do not have to be available during regular business hours.
3. The provider can help ensure that important legal documents and notices are handled promptly and appropriately.

 

Conclusion

Truly, a registered agent can be a critical part of any business entity, as they serve as the official point of contact between the business and the state government. While you can act as your own registered agent, there are benefits to hiring a third-party provider, like maintaining your privacy and ensuring that legal documents and notices are handled promptly and appropriately.