Operating Agreement Attorneys in San Francisco Bay Area, California
One advantage of a Limited Liability Company (LLC) is that its business structure gives it the ability to raise capital, while maintaining limited liability for its investors or members. The LLC members own the company, while officers or managers run the daily operations and management of the business.
An Operating Agreement sets forth the agreement among the members concerning the management and operation of an LLC company. Typically, an operating agreement may contain provisions regarding the nature of the business, the names and addresses of the members, rights and duties of members, contributions and capital accounts, distribution of profits and losses, dissociation of members, dissolution, among other matters.
An operating agreement may also contain provisions regarding Managing Members—and this is very important since an LLC may be subject to federal securities laws if not a single member is actively engaged in the management of the business. Thus, how an operating agreement will address this matter plays an important role as to whether or not the LLC will be subject to the strict disclosure and reporting requirements of federal securities laws.
While statutes regarding LLC’s may vary from state to state, the typical restrictions on an operating agreement, pursuant to the Uniform Limited Liability Company Act, are that it may not unreasonably restrict a right to information or access to records and such an agreement may not eliminate the duty of loyalty and care among members and managers.
Since an operating agreement addresses issues on member contributions, as well as distribution of profits and losses among members, the agreement unquestionably plays an important role in the company’s fiscal matters.
Drafting operating agreements that protect the best interest of LLC members are best handled by well-experienced operating agreement attorney. The San Francisco operating agreement lawyers at the Zurada Law Group are very knowledgeable and experienced in drafting operating agreements on behalf of LLC’s and in ensuring that critical provisions are included in the agreement.
Operating Agreement Lawyers in San Francisco California
For a FREE initial consultation, the firm’s operating agreement attorneys can be contacted in San Francisco, California at 415-637-8483 or by filling out the Free Consultation space provided on this website. Serving the entire California Bay Area.