Although Florida law does not require an LLC to have an operating agreement, you have every reason to draft one. Without an LLC in place, you are much more likely to end up in litigation. Further, you would have increased risk in a lawsuit because you do not have the certainty that the language of this agreement provides you.
An operating agreement is a guide to how your LLC would be managed and run. This document would govern the relationships between the members, and it would state how your LLC is to be run. It would contain provisions about the management and how each member is supposed to invest. Further, the operating agreement would also have a division of profits.
You should never have a business Arrangement or agreement that is not reduced to writing. If you were sued and you cannot prove how your LLC is run through an operating agreement, you may end up personally liable for debts. The terms of an operating agreement are a certain way to prove that you are actually running an LLC.
Anytime that you have a business dispute with one of the LLC members, the first place that you would go for guidance is the exact language of the operating agreement. Hopefully, this should be enough to provide you with a framework to resolve the dispute. If not, you would have some certainty because the first place that a judge would go would be to the operating agreement. When you draft an operating agreement, you would do so with an eye toward your future business.
Contact a Miami Business Attorney Today
Daniel D Diaz P.A. Works with Florida small businesses to draft and execute the agreements and documentation that underpins their business. To speak with a corporate lawyer, call us today at 786.256.3299 or reach out to us online.
