Do You Need a Registered Agent? || What is a Registered Agent?

Hey, this is attorney Elizabeth Potts Weinstein. Today we're going to talk about whether you need a registered agent for your business. Let's start with the basics: What is a registered agent?

A registered agent is a person or company authorized to accept legal documents on behalf of your business. These documents might include lawsuits or other official paperwork. It's crucial to understand that a registered agent isn't just an address; it's a person who receives these documents, either individually or as an employee of a company you hire for this purpose.

Here are some key points:

1. Who Needs a Registered Agent?

   • Sole proprietorships typically do not need a registered agent.
   • If you're forming an LLC or Corporation, your state may require a registered agent. This will be clear when you fill out formation documents, which will include a space for the registered agent’s information.
   • Most states require a registered agent for LLCs and corporations, but some exceptions exist. For instance, New York authorizes the state to act as your registered agent.

2. Can You Be Your Own Registered Agent?

   • Yes, an individual can be their own registered agent, but the company itself cannot be its own registered agent.
   • The registered agent must have a physical street address, not a virtual mailbox or P.O. Box, as they need to be physically present to accept documents.

3. Privacy Concerns

   • If you run a home-based business, using your home address as your registered agent’s address means it will be part of the public record.
   • Some virtual mailbox services offer registered agent services, but not all. Verify if your current service provides this option.

4. What Registered Agents Don't Do

   • Registered agents don’t form your LLC or Corporation, handle tax matters, or manage business licenses unless you pay extra for these services.
   • Fees for registered agents typically range from $125 to $150 per year, though they can vary widely.

5. Multiple States

   • If your business operates in multiple states, you might need a registered agent in each state.
   • Some companies offer package deals for multiple states.

6. Business Address vs. Registered Agent Address

   • Your registered agent's address isn’t necessarily your business's mailing address.
   • For certain legal processes, like trademark applications or seller’s permits, you may need a separate physical address.

Recommendation: Northwest Registered Agent

I recommend Northwest Registered Agent. They offer excellent customer service, a user-friendly system, and they don’t aggressively upsell additional services. I've used them for my own LLC and have had many satisfied clients who also use their services.

If you're interested, you can use my affiliate link below to hire them. This supports my channel and helps me continue creating helpful videos.

If you have questions about registered agents, leave them in the comments below. I’ll do my best to help.