LLC Articles of Operation are essential documents required for properly structuring and operating a Limited Liability Company in the United States. They serve as the foundational agreement between LLC members, outlining everything from basic organizational structure to complex operational procedures. This document becomes particularly crucial when establishing multi-member LLCs, as it helps prevent future disputes by clearly defining roles, responsibilities, and procedures. The Articles should comply with state-specific LLC laws and can be customized to address unique business needs while maintaining legal compliance.
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1. Article 1: Organization: Basic information about the LLC including name, purpose, principal place of business, and registered agent
2. Article 2: Members: Details about membership, capital contributions, and ownership percentages
3. Article 3: Management: Management structure (member-managed or manager-managed) and decision-making processes
4. Article 4: Voting Rights: Voting procedures and requirements for various decisions
5. Article 5: Capital Accounts and Distributions: Rules for maintaining capital accounts and making distributions
6. Article 6: Transfer Restrictions: Rules regarding transfer of membership interests
1. Article 7: Special Allocations: Special tax or profit/loss allocation provisions when complex allocation structures are needed
2. Article 8: Buy-Sell Provisions: Procedures for buying out members in specific circumstances, used when members want predetermined exit mechanisms
3. Article 9: Confidentiality: Provisions protecting company confidential information, used when dealing with sensitive business information
1. Schedule A: Member Information: Detailed list of members, their contributions, and ownership percentages
2. Schedule B: Initial Capital Contributions: Itemized list of initial capital contributions by each member
3. Schedule C: Valuation Methods: Agreed-upon methods for valuing membership interests
4. Appendix A: Definitions: Detailed definitions of terms used throughout the agreement
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