Every business owner wants to go far and make a difference like Darryl Bellamy. He goes beyond the limits of what inhibits most people from pursuing their biggest entrepreneurial goals. It’s possible to win when you take the right steps and keep pushing.
However, no matter how stellar your business plan may be, your success will still be tied down to compliance, obligations, and the ability to manage the changes that come your way. The state of compliance for US businesses is quite interesting, with many businesses facing issues keeping up with tax changes and worker classification, among other things.
The US Small Business Administration stresses the importance of state and federal filing that matches your business structure. Even LLCs that have less strict requirements are “advised to maintain an updated operating agreement… and hold annual meetings.” Annual reports, statement filing fees, taxes, and articles of amendment are some of the biggest requirements you can expect to manage.
Of course, this all varies depending on what state you’re in. That can be a lot to handle on top of the other facets of your business, so it’s worth maximizing the services of a registered agent. They are responsible for receiving service of process, making it easier for you to keep up. There are actually quite a number of reasons you would need to have a registered agent for your business.
Meeting Your State Requirements
Even though the actual paperwork and process have slight differences depending on the state, you are actually required to have a registered agent for your business entity regardless of where you may operate in the United States. In order to avoid penalties and fees, you must hire and promptly file your registered agent with the Secretary of State.
It’s worth noting state-specific processes so that you don’t end up with a bigger headache later on. Annual fees for registered agents also depend on how you acquire one. You are legally allowed to get an employee or yourself as the registered agent, though there are commercial agent services that add an extra layer of privacy and efficiency to the role.
Although most resources have agents across the nation, it can depend on where you’re operating. Registered agents are legally required to stay in the same state as the business they are representing. For instance, finding the best registered agent in North Carolina or Nevada would likely have you checking Zenbusiness or Incfile while Nevada usually sees agents from LegalZoom. In terms of filing, it’s also important to note that Alaska, Hawaii, and Utah don’t have a secretary of state and instead have a lieutenant governor presiding over these requirements.
Maintaining Legal Compliance
The way a registered agent maintains your legal compliance goes beyond simply existing to hit a requirement. Because they receive service of process, they ensure that you promptly process any legal documents and communications from the government. So, if you have tax notices, annual reports, lawsuits, and other documents that need immediate attention, they ensure that these are attended to right away.
Even if you are not in your office, a registered agent will send these communications your way efficiently. Not only does it make things more efficient, but it also helps to avoid penalties that come from late actions and missed obligations.
Creating Work-Life Balance</h2>
GoDaddy analyzed and surveyed thousands of entrepreneurs in the United States, seeking to learn why they started their micro businesses. The top answers were to be their own boss, support a cause or hobby, and have more flexibility with time. The third box may not be checked if you are being consumed entirely by your business.
This is where a registered agent comes in to ease at least some of the burden on the administrative side. They become the address issued to the public and all legal bodies, so they can receive and process documents even without your presence in the office. It’s also part of their duties to send urgent messaging to you even when you’re remote. This can help you find a better balance between your business and personal life so you don’t find yourself burning out.
This also enables you to build more thoughtful approaches to your business that allow you to scale in a competitive market. When you’re running your business in states like California or Texas, which are highly populated with small businesses, you need to go beyond the break-even point to sustain your momentum.