If you've registered an LLC, C Corp, or any other business entity. You would have designated an initial registered agent when you registered your company. But what happens if you decide to change who your registered agent will be?
Luckily, changing a registered agent is not complicated; however, it's important to make the change properly and not let the matter slide, as having a registered agent is a matter of compliance with your state laws.
Reasons for changing your registered agent
There are a multitude of reasons why you may wish to change your registered agent. When forming a business, people will designate themselves or another member of the newly created business to be the registered agent. However, because the registered agent's address is a matter of public record, the initial registered agent may no longer wish to serve as a registered agent. For example, people serving as registered agents for their companies may find themselves receiving a lot of unsolicited mail or junk mail:
Or perhaps you had designated yourself as your company's registered agent. Still, with the expansion of your business and the additional workload this entails, you can no longer fulfill the requirement of always being available at the registered agent's address during business hours. In such a case, hiring a registered agent service may make more sense to act as your company's registered agent.
Another common practice is to designate your attorney or accountant as your business's registered agent. But what happens if you change attorneys or accountants? You will also need to change your registered agent, as it's unlikely your former attorney or accountant will want to continue acting as your registered agent.
How to change your registered agent
The process for changing a registered agent varies from state to state, as does the fee each state charges for making the change; some states don't have any charge for filing a change of registered agent, while others charge a small fee.
Before you submit your Registered Agent change, check in with your local Small Business Administration. They provide links to each state's business services website, where you can obtain more information about the forms you need to fill out to change your registered agent. You can also call your state's business services office, which is often part of your state's Secretary of State office, for more information about what is required to change your registered agent.
Most states provide downloadable forms online on their websites. If the forms you need aren't available online or you're unable to download and print them, you should also be able to obtain them directly from your state's business services office.
Your state will require a change registered agent form and a form showing that your new registered agent consents to being designated your registered agent. Fill out and sign the forms as required; your registered agent will likely have to do the same with the consent form.
Once you've completed the forms required, you will need to file them. Some states offer online filing through their business office websites. You can also file the necessary forms by either mailing them in with the appropriate fee or by bringing the forms and fee directly to your state's business office.
Changing your registered agent is a relatively easy and simple process. The fee required for making such a change is generally fairly minimal in most states.
Changing a registered agent FAQs
What is a registered agent and why do I need one for my business?
A registered agent is your business’ appointed person for receiving important legal papers and government letters. Every state requires businesses like LLCs and corporations to have one, because the government needs a reliable way to contact your business about official matters. If you don't have a registered agent, your state can impose fines or shut down your business. Lack of a registered agent can also allow for someone to sue you without you knowing about it.
Why would I want to change my registered agent?
If your registered agent isn’t fully available during business hours, you will need to appoint a new one. Additionally, if you are serving as your own registered agent, your address and phone number become public record. Many companies choose to hire registered agent services to avoid issues and frequent registered agent changes.
How do I actually change my registered agent?
- Pick your new registered agent.
- File required paperwork with your state.
- Pay the (generally nominal) fee.
- Update all your business documents and notify other parties such as your bank or business partners to reflect the address change.
How much does it cost to change a registered agent?
The cost to change your registered agent varies significantly depending on your state, as the filing fee can range from zero to $50. If your business operates in multiple states, you will need to file in each state where the change is in effect, and if you choose to hire a registered agent service, you’ll pay their annual fees as well.
What happens if I don't update my registered agent information?
Failing to keep your registered agent information current can create serious problems for your business. The government could fine you or take away your business’ good standing status, which means you cannot engage in normal business activities. You could be sued without your knowledge, or miss important tax notices leading to penalties, interest charges, or liens against your business. Additionally some states could choose to dissolve your business completely, so it’s extremely important to keep your registered agent information up-to-date.
Can I use a professional registered agent service instead of doing it myself?
Yes, you can, and many business owners find this to be a smart choice because registered agent services can help streamline the business processes. Registered agent services are always available during business hours and won't miss important papers or deliveries. They also protect your privacy by using their address instead of yours in public records, which means you won't get flooded with junk mail and sales calls. Additionally, if you operate in multiple states, hiring a service can cover them all with consistent service and one bill.
Do I need different registered agents if my business operates in multiple states?
Yes, you need a separate registered agent in each state where your business is officially registered because each state wants to make sure there's someone local who can receive legal papers and government notices. This is where professional registered agent services can be helpful, as many of them operate nationwide and can serve as your agent in multiple states.