Before you form a limited liability company (LLC) in Nebraska, you’ll need to designate a registered agent. But what is a registered agent? What are they required to do, and who can be one?
What is a Nebraska Registered Agent?
A registered agent is an individual or company that is designated by the business to receive important legal documents on behalf of the business. This position is important because it ensures that the correct people in an LLC are notified when there are time-sensitive events such as service of process for lawsuits, garnishment notices against employees, or notifications of taxes.
Who can be a Registered Agent in Nebraska?
By Nebraska law, those forming an LLC in Nebraska will need to choose a registered agent. The registered agent is designated by law as the business’s agent for service of process and official government communications. The name of the registered agent and the location of the registered office must be listed in the entity’s formation documents. The registered agent can be:
- An individual member of the business entity or a designated third party who resides in Nebraska, or
- A corporation that is authorized to transact business in Nebraska.
The registered agent’s office must be identical to the registered office (Nebraska Revised Statute 21-2,212).
Should you be your own Nebraska Registered Agent?
There are a few reasons to consider hiring a service to act as a registered agent instead of doing it yourself:
- Availability – A registered agent needs to generally be available at the principal address during normal business hours. This can tie the business owner to the office all day and make it difficult to run errands for the company, meet up with clients, etc.
- Avoiding Embarrassment – If you serve as your own registered agent and a lawsuit is filed against the business, you could have papers served to you at your office in front of clients. Obviously, that could be both embarrassing and bad for business.
- Penalties and Fees – By not continuously maintaining a current registered agent, the LLC may be responsible for penalties and fees, in addition to the potential for administrative dissolution.