The author is a freelance journalist and Google News PR specialist. She can be reached at virginia.sagal.media@gmail.com. -- Ed.
According to the US Bureau of Labor Statistics, total employment is expected to expand by 11.9 million jobs between 2020 and 2030, from 153.5 million to 165.4 million. This increase indicates a 0.7 percent annual growth rate, which is larger than recent projection cycles and accounts for the rebound from low base-year employment in 2020 due to the COVID-19 pandemic and its attendant recession.
One of the reasons for more jobs being created is due to more startups being formed in the U.S. In order for these startups to be successful and continue to create job opportunities, they need to adhere to certain regulations. One of these regulations is the appointing of a registered agent.
Whether or not you understand what a registered agent is, you may have been advised that you require one. For a variety of reasons, every state requires corporations and limited liability companies to have a registered agent. Understanding why the requirement exists can help you use a registered agent more effectively. Below we will discuss what a registered agent is and what registered agents in the US are used for.
A business or an individual can serve as a registered agent. However, certain states have limitations, so you should check with your local laws to see if you should hire an individual or a company. Any service of process notices, official government communications, including any correspondence from the Secretary of State, tax forms, notices of lawsuits, and other paperwork for an LLC or company are designated to this individual or business.
Is It Required?
All states require that enterprises founded within their borders have a registered agent. The major purpose of this provision is to provide the state with an official point of contact. At the very least, this contact will be the person to whom the state will send any important filings as well as any changes in organization requirements. This person or company is also in charge of accepting a lawsuit notice on behalf of the company. Furthermore, if you intend to grow your business to another state, legal rules require you to have a registered agent in that state. As part of this, you must inform the state of your registered agent and who they should call in the event of an emergency. Because a P.O. Box address is not an acceptable address for registered agents, the state will need this person's actual address.
Registered Agent Benefits
Having a registered agent for your business ensures that you never have to worry about losing any vital documents for your company, no matter what is going on. One of the biggest benefits is that you won't be stuck in one place for the rest of your life. You will be able to transfer your business location anytime you need to without having to go through the procedure of filing paperwork to change your address because your registered agent's address will remain the same.
Another major advantage of using a registered agent is that you receive an extra degree of anonymity for your company. The address of any registered agent is part of the public record, and if you have one for your business, they will find this address instead of your business address. If you work from home or simply want to get fewer junk mail for your business, this is a perfect alternative.
Final Thought
There are two distinct situations in which registered agents add the most value to your company. The first is that time-sensitive documents must be dealt with right away. You may not always be available to obtain these documents if you are busy running your business, and you may miss a deadline. A registered agent will obtain them on your behalf and tell you of the deadlines that must be met in accordance with the document. You can remain on top of these time-sensitive items if you hire someone to do it for you.
The second reason is that your company's image is vital and must be safeguarded. You are choosing to legitimize your business when you register it. You'll need a registered agent to do this, as well as someone to help you maintain your professional image while you're running around taking care of the business. This enables you to stay on top of legal issues while also providing superior service to your customers. You can do more and do it better for all of your customers and clients with the help of a registered agent.