When forming a business in South Carolina, such as a limited liability corporation (LLC) or corporation, you may be required to hire a registered agent to adhere to state laws. A registered agent is a professional that receives government notices and legal documents on behalf of your business.
If you meet the requirements, you can appoint yourself or someone you know to act as your registered agent. However, you may want to hire a professional who understands the ins and outs of accepting service of process and managing your official mail.
It's pertinent that your South Carolina business is compliant with these state laws, so follow along to learn more about what a registered agent does and how to obtain one for your own company.
What is a registered agent, and what do they do?
A registered agent is an individual or business you hire to oversee your official mail. They accept service of process and collect legal documents and government notices on behalf of your business. It's important to note that while a registered agent manages your official correspondence, they aren't responsible for your regular mail, like personal letters and bank statements.
The registered agent service has its own physical address, so your legal notices and sensitive documents go to their own address instead of your business address.
A registered agent is not only a helpful service for your business but also a necessary one. In most states, including South Carolina, LLCs and corporations are legally required to hire them.
Extra services offered by professional registered agents
While your registered agent manages important documents like legal notifications and tax notices, they may also offer additional services to help your business run smoothly.
Depending on the registered agent service, they may provide the following services:
- Scanning documents. Many registered agent services will scan and upload important documents to secure cloud storage so you can digitally access them wherever and whenever you want.
- Forwarding your mail. A registered agent service is usually willing to forward official mail to your preferred address.
- Proving time-sensitive mail alerts. A registered agent service usually monitors your incoming mail and notifies you when you receive urgent mail.
- Monitoring virtual mailboxes. Some registered agent services will manage virtual mailboxes, too. At LegalZoom, we offer virtual mailbox services that let you receive mail at a prestigious address.
- Filtering junk mail. A register agent service may sort your incoming mail and flag what's important and relevant to your business.
- Managing deadlines. Some registered agent services will keep track of important deadlines and due dates, such as tax filings and court hearings, to ensure your business is compliant.
What are the legal requirements for a South Carolina registered agent?
Whether you appoint yourself, someone you know, or a professional registered agent service, your registered agent must follow South Carolina state requirements.
The following are some examples of South Carolina registered agent regulations:
- They must be a resident of South Carolina.
- They must be a resident of South Carolina if an individual or a company is authorized to operate within the state.
- They must have a physical address in South Carolina—it cannot be a P.O. box.
- They must be available during normal business hours.
Why should you hire a South Carolina registered agent?
Above all, you should appoint a South Carolina registered agent because it's the law for some types of businesses. Without one, your business could lose its good standing with the state and face other penalties like the dissolution of your company.
However, there are other advantages to hiring a South Carolina registered agent. Perhaps the most significant reason is that they act as your business's official point of contact: Your registered agent not only monitors your incoming mail for important documents but also keeps track of deadlines so your company stays current on everything from its business filings to tax returns.
Another major benefit of hiring a South Carolina registered agent service is that it helps create separation between your business and personal life. Because they receive your official mail at their own registered agent address, you can keep your own address out of most public records and maintain some privacy. For example, in the case of a lawsuit, the process server would serve you papers at your registered agent address instead of your personal residence.
Who should hire a professional registered agent?
Entrepreneurs establishing LLCs or corporations in South Carolina must appoint a registered agent to comply with state laws.
Aside from the legal requirements, many entrepreneurs appreciate these services because they free themselves up to focus on other aspects of running their small businesses. Furthermore, a registered agent comes in handy for small businesses that don't maintain normal hours.
If you value your privacy, want your business to appear more professional, and could benefit from having a professional as your official point of contact, consider hiring your own registered agent.
How to hire a South Carolina registered agent
When you're ready to hire a South Carolina registered agent, begin by considering your budget and your business needs. For example, if you're managing a small South Carolina business, you may only need basic register agent services, but if you're overseeing a larger operation, you might require a more robust plan to help keep track of everything. This will help determine what kind of registered agent service would best accommodate your business.
LegalZoom offers professional registered agent services that comply with state requirements. Our registered agent services include uploading your documents so you can view them digitally, notifying you when you receive urgent mail, reminding you of upcoming deadlines, and more. If you'd like to change your registered agent, we'll even oversee the process and cover the filing fees.
FAQs
Can you change registered agents?
Yes, you can change your registered agent, but you must notify the South Carolina Secretary of State. You can submit a Change of Registered Office or Registered Agent Form and pay the $10 filing fee, or allow LegalZoom to take care of it for you. Our services will file the paperwork and cover the fees for you.
Can I be my own registered agent in South Carolina?
Yes, you can be your own registered agent in South Carolina if you meet the requirements. You can also hire someone you know, like a family member or business partner. That said, we recommend hiring a professional SC registered agent service to ensure business compliance.
Should you hire a registered agent before forming your LLC?
Yes, you must hire a registered agent before forming your LLC because you need to list their contact information on your business formation documents. You cannot legally establish your LLC in South Carolina without providing your registered agent's information.
How much does it cost to hire a South Carolina registered agent service?
The cost of hiring a registered agent service in South Carolina will depend on a few factors, such as the level of service they provide. At LegalZoom, our registered agent services are $249/year.
What happens if I don't hire a registered agent?
Failing to obtain a SC registered agent could negatively impact your business in several ways. For example, your company could lose good standing with the state. The South Carolina Secretary of State could also reject your business formation documents or decide to dissolve your business. Furthermore, your business could face legal consequences if it doesn't have a proper system for accepting service of process and other important notices.