Can I Be My Own Registered Agent For My Business

The Pros and Cons of Interim As Your Ain Registered Amanuensis

Most entrepreneurs know that when you comprise your small business concern, whether your entity is an LLC, Corporation, or C Corporation, you lot're going to demand a registered agent. An RA serves as your point of contact between the concern and the country, accepting official documents on behalf of the concern and helping the visitor remain in compliance with state constabulary. Your RA can be a third political party service, or you may act as your own registered amanuensis.

While many modest business owners work aslope an organization, some decide that they desire to exist their own RA — and that'south legally acceptable. Call back that with great power comes groovy responsibility, on height of all of your other existing entrepreneurial duties. If you're planning to human action as your own registered amanuensis, continue the following pros and cons in mind earlier getting started.

Pro… It's less expensive to designate yourself as an RA

While nosotros can't quote you an exact cost range, acting every bit your own RA is going to be much less expensive than paying an outside organisation for aid. If y'all're on a tight budget, you might consider acting as your own RA for a scrap.

Con…Yous'll need to be bachelor during general business hours

Remember Mon through Friday during general hours of functioning, like 8 AM to 5 PM. Non only will you need to be available to have service of procedure during these hours, simply you volition also need to be a resident of the land and present at your designated concrete address. (Another requirement for registered agents since P.O. Boxes are not considered to be an acceptable course of address.)

While much of this will depend on the entrepreneur's circumstances and nature of their small business, I placed availability in the 'con' section but for those 'what if?' moments. Even if y'all work from abode, you may observe at that place are days where yous need to get out to accept a meeting offsite or head on a business organisation trip. If you're not physically at that place during the hours yous said you would be to accept the documents, it could spell trouble for your business.

Pro/Con…You lot'll need to be extremely organized

Some of the legal documents you lot may receive as an RA include, only are not limited to, full general paperwork like annual reports, franchise tax forms, and renewal reminders.

If you are naturally organized when it comes to paperwork and fourth dimension-sensitive materials, so y'all're probable to stay on top of everything every bit an RA. However, if you lot struggle with organization and worry important documents could skid through the cracks, y'all might want to designate a 3rd party RA. They will be able to go on your paperwork organized and passed forth to you in a timely manner and so your business doesn't autumn out of good standing with the country.

Pro/Con…You're comfortable receiving confidential paperwork publicly

Every entrepreneur is different. Some aren't phased at the thought of beingness served confidential legal notices, like a court summons or lawsuit paperwork, in public. Others might be extremely embarrassed and worried that the act could damage their reputation. If you fall into the latter category, working with a registered agent service provides an added layer of security. They volition take the documents on your behalf, so that no unwanted visitors show up at your designated address, giving you and your business some privacy and peace of heed.

Deborah Sweeney is the CEO of MyCorporation.com. MyCorporation is a leader in online legal filing services for entrepreneurs and businesses, providing get-go-upwardly bundles that include corporation and LLC formation, registered agent, DBA, and trademark & copyright filing services. MyCorporation does all the work, making the business formation and maintenance quick and painless, and then business concern owners tin focus on what they do best. Follow her on Twitter @mycorporation.

Delight note that KPMG SPark'due south sponsorship of this blog commodity is not intended to address the specific circumstances of any item individual or entity and does not plant an endorsement of any entity or its products or services. This content represents the views and opinions of the author, and does non necessarily represent the views or professional advice of KPMG LLP.

KPMG Spark June 27, 2016 Posted In: Business Tips

Download our Complimentary Guide - Managing Small Business Greenbacks Flow