1. Reasons Against Being Your Own Registered Agent
2. Privacy Concerns
3. Convenience Concerns
4. Other Concerns

If you're asking, "Can I be the registered agent for my LLC?", understand there are pros and cons to acting as your own agent. You should carefully consider the good and bad points before appointing yourself to this position.

Reasons Against Being Your Own Registered Agent

While it sounds easy and convenient to act as your company's registered agent,  there are several reasons you might want to find someone else to fill the role, such as the following:

  • Privacy
  • Convenience
  • Reputation

Privacy Concerns

All registered agents must have a physical address in the state in which a company does business. A post office box isn't acceptable, and neither is a private mailbox or private mail service. An actual brick-and-mortar location must exist to which service of process or mail can be delivered.

As a  business owner, you may not want to use your home address, particularly if your business address is the same as your home address (i.e., you work from home). Your address will be a matter of public record if you act as your own registered agent in this case. Not only will you have privacy concerns, but your home address will become public to marketing companies. You might see an increase in the amount of junk mail you receive at home.

If you're served with papers or an angry litigant knows your home address, you likely don't want to deal with those types of issues at home.

Convenience Concerns

You'll have to make any address change promptly if you move, which can be a time-consuming process. Plus, you may have to pay a fee for each change notification you submit. To save yourself time and money, you might want to hire a registered agent service instead.

If you act as your own registered agent, you must keep regular business hours. It's important for someone to be at the physical address during the course of a normal business day to accept service of process. Being on-site all day isn't feasible for every business, especially small business owners who might not have full-time help.

You must have an agent in every state in which your company does business. If you have to maintain a physical location in several states, this can become costly. Hiring a registered agent service allows you to conveniently have an agent everywhere you need one without having to hire employees or keep a physical address in all state locations where you conduct business.

Other Concerns

You don't want to miss any important notices, so it's often worth paying a small fee for registered agent services instead of trying to do the work yourself. You'll save yourself the time it takes to keep track of all official notices and sort them. A service will also ensure you don't miss receiving something important, especially time-sensitive notices. Your company can lose a lot of money if it doesn't respond in a timely manner to pending litigation or if it misses tax or fee deadlines.

You'll be saved the embarrassment of being served in front of clients or employees if you hire a service to receive legal documents or service of process for you. Being served in front of business clients can hurt your reputation, which could negatively impact your company.

If you don't respond to legal paperwork in a timely manner, you could lose a lawsuit by default. As a result, you could wind up losing a lot, including your business.

Having a third-party person or company acting as your LLC's agent is a smart way to keep things running smoothly for your business. Plus, you won't have to worry that you'll miss out on receiving important papers, which will give you peace of mind. 

A reliable agent can help your company maintain its credibility and reputation in the community. Finally, you'll have much more freedom to come and go when you're not your own registered agent.

Acting as your company's registered agent may sound inexpensive and convenient, but in most cases, you can save time and money by hiring a service. It's often another cost of doing business, but the small investment is worth it.

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