7 tips for choosing a registered agent for an LLC

Limited liability companies (LLCs) are a blend of corporations and sole proprietorships that protect their owners’ assets from lawsuits pertaining to their business debts or any losses incurred. If this is a structure one is considering, they need to get a registered agent on board. Registered agents can be individuals, groups, or companies that represent LLCs and handle their paperwork and other processes. So, it is crucial for LLCs to choose reliable and proficient agents.

1. Check for expertise
A registered agent should have considerable expertise with LLCs and in-depth knowledge of their business processes and compliance rules. It’s good to hire a registered agent who has some hands-on experience in working with LLCs. Also, the professionals should be ready to fulfill the company’s requirements whenever required so that legal documents are delivered on time.

2. Avoid focusing solely on fees
It may be tempting to go for a registered agent who charges less than the others, but that shouldn’t be the only criterion. Although expertise is of paramount importance, the best bet is to compare the fees of different registered agents and companies and shortlist the one that best balances both these aspects.

3. Consider digital and software skills
Today, being a registered agent involves more than handling physical paperwork, they also need to perform other tasks like sending electronic notifications to clients and delivering documents via email. Also, a registered agent should be able to upgrade their software and technical skills to keep up with technological advancement. So, one should gauge the registered agent’s knowledge of software systems and applications before hiring them.

4. Opt for nationwide services
Some registered agents can offer their services only within a state, which prevents them from working with large LLCs. As a result, large organizations might have to hire multiple agents for different states in which they operate. This can make them spend a much higher amount than they would if one registered agent could operate in all the states. That’s why it is best to hire a registered agent who is authorized to practice nationwide.

5. Look for agents with offices
Summons and complaints are typically delivered at a physical address and not a virtual one, which is why it’s necessary for registered agents to have a concrete office with a proper address. Also, the registered agent should be available at this address during work hours. So, one should ask registered agents for a proper office address before hiring them.

6. Check if they have a trained staff
The staff of a registered agent’s company should have considerable knowledge of handling documents, SOP papers, and other such paperwork. They should also have the ability to carry out their tasks within the stipulated timeframe. So, it’s not enough to check for core expertise; one should also assess the proficiency of the team members individually.

7. Assess customer service
LLCs may have several queries or clarifications that registered agents must address. So, it is important to ensure that the registered agent’s customer service is up to the mark. A registered agent should have a dedicated number (preferably toll free) to connect with clients, in addition to being available on emails, chats, etc.