Operating Agreements and By-Laws
What are By-Laws?
The By-Laws of a Corporation is the document that governs the entity. The first act after a Corporation is formed is to draft the By-Laws. This single document lays out the rules by which the Corporation will operate. These act as guiding principles for the officers and directors to oversee daily operations of the company.
By-laws are part of your corporate documents and must be kept in a place that is easily accessible to be viewed by auditors. We recommend keeping these in your corporate kit.
At a minimum, your company's by-laws should include information such as the entity name, state of formation, registered agent name and address, principal place of business, the corporate officers, amount of authorized shares to be issued, the responsibilities of the board of directors, how and when the board and shareholder meetings will be held, how the board of directors will function plus any other information you feel relevant.
By-laws are not a requirement to be filed at the State Offices, but they are a governing document of the corporation.
It is important to note that the By-Laws are different than the Articles of Incorporation. The Articles of Incorporation is the document that is filed at the Secretary of States office to form the entity. While they may contain similar information as the By-Laws, the articles are recognized by the states office that you form your entity in.
Can USRA prepare my By-Laws?
Yes! Our experienced corporate specialists can speak with you and obtain information specific to your company. We use our template by-laws and can complete them specific to your company. Our fee to assist is $55. Please Contact Us to reach a service representative.
What are Operating Agreements?
Similarly to By-Law's, the Operating Agreement is the governing document for LLC's. Once you form your LLC, the Members (owners) of the LLC should draft this document as it provides the framework for the Members and Managers to oversee daily operations.
Typically, the operating agreement of an LLC includes information such as the entity name, registered agent, names and address of the initial Members and/or Managers, percentages of ownership, voting rights and responsibilities, buy out and buy-sell rules and any information the LLC feels necessary to list.
It is important to note that operating agreements are different than the articles of organization. The articles of organization are the documents that are filed at the Secretary of States office to form the entity. While they may contain similar information as the operating agreement, the articles are recognized by the states office that you form your entity in.
Operating agreements are part of your corporate documents and must be kept in a place that is easily accessible to be viewed by auditors. We recommend keeping these in your corporate kit.
Can USRA draft my Operating Agreement?
Yes! Our experienced team can speak with you to get the necessary information to draft the templates we use. Once the agreement is completed and provided to you, you can amend as you see necessary. We charge a flat fee of $55 to assist. Contact Us today to get started!