Registered Agent Services in Your Home State for just $79 a year!

When starting a business in the US, you will fill out paperwork that details your business type, operations, and location. Most importantly, you will come across a section that requires you to nominate a registered agent for your business. Your decision at this point affects your business in the long run, making it one of the most crucial aspects when laying your business foundation.

What Is a Registered Agent?

Businesses and the government need a clear line of communication. On the side of the business, the government must inform you of upcoming filing deadlines, any penalties you may have, and any legal claims against your business. On the government side, you (your business) are responsible for updating the authorities about any changes in your business and keeping up with any compliance requirements. To ensure this direct communication, you must nominate a registered agent for your business – this can be you, another person, or a company designated to carry out this kind of work. Their role is to receive any legal documents or government notices pertaining to your business, including service of process. By doing so, they can ensure you stay in the loop and do not become non-compliant.

What Is a Service of Process?

Any business risks getting sued by an outside party – this could be an unhappy client, a former investor, a competing business, or anyone who has a legal claim against your business. When this happens, your business gets served with legal paperwork informing you of the upcoming lawsuit. Service of process refers to the steps used to inform you of such legal action, thus enabling you to act accordingly and ensuring the court can have jurisdiction over the matter.

Per the set-out laws, the plaintiff (accuser) can inform you of the matter by serving your agent for service of process with documents such as subpoenas, summons, complaints, or other court paperwork. They can do this in person, by mail, or by making a publication in a newspaper. Typically, most plaintiffs serve a service of process registered agent in person or by mail – however, the method the plaintiff chooses depends on the matter and the regulations in your state.

As such, your agent for service of process is crucial to the smooth running of your business as they must keep you informed of any legal proceedings involving your business.

What Does a Registered Agent Do?

While maintaining efficient business operations is important, you must also ensure that your business complies with state laws. Else, you could lose your license. A registered agent helps you remain compliant by offering the following services:

★    They receive your legal documents: Whether it’s government notices or service of process, your registered agent serves as the main point of contact for your business. As such, all official notices go through them.

★    They forward the documents to the right department: Handling official paperwork can be a lot of work for a business, especially when there are few people on the job. Your registered agent forwards all the official notices to the addressee; for example, legal documents should go to the legal team.

★    They maintain the business records: With so many documents coming in from different entities, maintaining the records can be challenging. Your registered agent handles this task on your behalf, ensuring you always know where to find your documents as needed.

Given the importance of all these services, it is always best to choose a reliable agent for service of process who will ensure you do not miss out on important documents or deadlines.

Why Do I Need a Registered Agent?

States require businesses to designate a registered agent when filling out the registration paperwork. But why is having one important?

1. It is a legal requirement: Corporations, LLCs, limited partnerships, limited liability partnerships, and non-profit organizations must have a registered agent. Only general partnerships and sole proprietorships are exempt from this regulation. As such, if you are starting a business where having a registered agent is a requirement, you must hire one to ensure your application goes through.
2. It improves document handling: Your business needs someone who will receive all important official notices, including court orders, tax notices, and compliance reminders. The importance of these documents and the possible consequences of not handling them on time cannot be understated. But with a registered agent, you can ensure that you always know what’s affecting your business.
3. It ensures availability for service of process: The law requires you to have a service of process registered agent who can receive legal notices during standard working hours. As such, by hiring someone for the job, you can ensure that someone is available to accept legal documents even when you are not around. This aspect is especially important for a small business where the availability of personnel might be an issue.
4. It keeps you compliant: Receiving documents is one thing – you must also act on the stipulations to ensure your business keeps running, e.g., filing your taxes on time after receiving a tax notice. Since a registered agent focuses on maintaining your records, they can ensure you are aware of all upcoming deadlines. This information helps you file reports and other legal documents on time, thus avoiding penalties or fines.

Working with a registered agent is the easiest way to ensure your business records remain organized. This helps you focus on what matters most to your business—the core operations!

How To Choose the Right Registered Agent?

Registered agent services can make or break your business as they affect your compliance, which eventually sets the pace for your relationship with the authorities. Moreover, they handle your legal documents, which can affect your ability to respond to lawsuits effectively. So, how do you find a registered agent who can handle the role?

1. Location: Per state laws, your registered agent must have a physical address in the state where you run your business. For example, if your business is in New York, your agent must be within this state.
2. Availability: Legal documents and official notices are delivered during standard working hours. The person you hire for the job must thus be available during this time to ensure they receive all the documents as they arrive.
3. Professionalism: A registered agent handles documents that are vital to your business. As such, they must have adequate training in handling business records. Ideally, you should look for someone with experience in this field and familiar with state requirements on business compliance.
4. Reliability: You want a registered agent who will be available during standard hours and can organize and forward your documents to the correct department so that you never have to worry about paperwork. Moreover, you want a person who will constantly remind you of upcoming deadlines.
5. National coverage: Are you a big business with different locations? Are you a budding business hoping to expand to other states over time? If this is the case, you may want to opt for a registered agent who can serve you in all the states. It simplifies your paperwork and reduces your costs.

With these factors, you can filter potential registered agent services by suitability and find the one that best suits you. Passportology offers registered agent services in several key states, including Texas, California, Washington, Washington DC, Illinois, New York, and Georgia.

Top Benefits of Using a Professional Registered Agent

Many businesses delegate critical functions to experts they can trust, e.g., many companies outsource their legal needs to law firms. Would doing this with professional registered agent services have unique advantages? Why, yes! Hiring a professional comes with the following perks:

1. Confidentiality: Receiving a service of process in front of clients or employees can spark doubts about your business. You can delegate this role to an expert who can handle the matter at your discretion.
2. Privacy: If you operate a home business or want to separate your business from your legal compliance needs, you can hire someone to list their address as the official point of contact for your business.
3. Reliability: A professional understands that their actions influence the well-being of your business. Moreover, they have the expertise to handle your paperwork, ensuring you are informed of changes and deadlines at every stage.
4. Task separation: Handling your business paperwork takes resources away from your core business activities. By delegating this task to a competent team, you can carve out more time to spend on the activities that can propel your business growth.

Hiring professional registered agent services also allows you to lean on their expertise on state regulations, boosting your business continuity in the long term.

Is It Possible To Be Your Own Registered Agent?

The importance of registered agent services may have you thinking of representing yourself. Per the registered agent requirements, an agent must meet the following criteria:

●       They must be at least 18 years old.

●       They must have a physical address in the state where the business operates.

●       They must be available during the standard working hours.

As such, you can serve as a registered agent for your business.

Possible Downsides of Serving as Your Own Registered Agent

On the upside, representing yourself helps you save money and gives you control over your documents. However, on the downside, it ties you to the business as you must be available during working hours. It also limits your confidentiality as you will receive documents at your business, requires you to list your business address (which is inconvenient for home-based businesses), and puts you at risk of missing deadlines.

What Can Happen if You Don’t Appoint a Registered Agent?

Must you find a registered agent? What happens if you skip this step? Since hiring a registered agent is crucial to operating a business legally in any state, you will not be able to register your business. What’s more, if you start a business with an unreliable registered agent, you will risk not meeting deadlines, which will make your business lose its good standing with the state, exposing you to fines, penalties, and even dissolution.

Every business needs to manage its records so that it never misses an official deadline or risks losing a legal lawsuit because of untimely communication. You can ensure this by hiring a reliable registered agent.