Limited Liability Company Operating Agreements

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One of the most important documents for a newly formed LLC is what is most often referred to as an “Operating Agreement” or a “Limited Liability Company Agreement”.  We use the term “Operating Agreement” on our documents, so that is how we will refer to it here.  

An Operating Agreement is a contract between the members and/or managers of the LLC that regulates how decisions are made within the LLC, the rights, and obligations of the members and/or managers, how and when contributions of money are to be made, how distributions of profits are made, and what happens if a member dies, wants to sell, or fails to do what they are supposed to do.  In sum, an Operating Agreement is like a “Rule Book” for the LLC, and while it can be changed at any time by agreement of the members, having one established at the beginning of the LLC’s existence has many benefits.

Having a properly drafted Operating Agreement not only demonstrates the seriousness of the business as a legitimate enterprise, but it helps to avoid unanticipated problems that can arise by the statutory default provisions of the Florida Limited Liability Company Act.  Further, and more importantly, are the protections that are afforded to the members of an LLC by having a written operating agreement in helping to prevent future litigation.  Through our other law firm, i.e., Coats Schmidt, P.A., we are often litigating cases for clients that could have easily been avoided if the parties had only entered into an Operating Agreement at the time of forming their business.  

By answering a few questions, we can draft a customized Operating Agreement for your new LLC and, in most cases, get you the final agreement within a couple of business days, all for a flat fee of only $365.00.