How to Remove a Member from an LLC

Last Updated: October 6, 2026

People choose to go into business together over a shared vision. However, as a limited liability company (LLC) grows or faces hardship, the goals of business owners may change, resulting in the need to remove an LLC member (in the context of an LLC, “member” means “owner”). This guide discusses how to remove a member from an LLC.

How does an LLC remove a single member?

Removing a member from an LLC can be straightforward if the company has a detailed operating agreement that specifies how a member may be removed. However, if the operating agreement doesn’t cover the scenario listed, the LLC members will have to follow the state’s default procedure and maybe even consult a business lawyer to ensure a legally compliant removal of a member. Many LLC owners opt to hire an experienced formation business attorney to help them create an operating agreement during the start-up phase to help avoid a complicated member removal scenario.

Removing a Member from an LLC

Step 1: Revisit the LLC’s operating agreement

When someone forms an LLC, hopefully, they create an LLC operating agreement that covers how to remove members. Whether the situation calls for a voluntary or involuntary removal, the operating agreement should contain all the requirements for notice, voting, valuation methods, grounds for removal, and any other details surrounding the removal process.

If an LLC doesn’t have an operating agreement covering how to remove a member, the members will have to follow the procedures in their state’s LLC statutes. It may also be helpful to consult a local business attorney to see what options exist.

In either scenario, the members will need to settle what happens to the departing member’s ownership interest. Most state LLC statutes do not require the company or the remaining members to buy that interest, so unless the operating agreement sets buy/sell terms or the members negotiate a purchase, the removed member can keep their economic stake as a transferee. Check your state’s LLC statute, and ideally put buy/sell terms in the operating agreement before you need them.

It’s also possible that, in some states, the members’ only option would be to dissolve the LLC and start a new one with the members who still want to be in business together. If that’s the case, the members will have to follow their operating agreement’s procedures and the laws of their state for LLC dissolution. These likely include paying remaining taxes and other debts, filing Articles of Dissolution, and divvying up the LLC’s assets among the members.

Step 2: Follow procedures in detail

A detailed and thorough operating agreement will spell out the different protocols to follow in a variety of scenarios. The LLC may need to remove a member due to wrongful conduct, a member may voluntarily withdraw, or a member might be removed involuntarily. The process for removal under the LLC operating agreement may include a buyout agreement, a majority vote, or steps for judicial dissolution. Whatever the case may be, the LLC needs to follow its operating agreement procedures as precisely as possible.

Step 3: Remove the member from the LLC

The formal process to legally remove a member from an LLC will vary by state and the company’s operating agreement. The operating agreement will need to be changed to reflect the new ownership and ownership percentages of each member, along with any other information that needs to be updated, such as voting rights and how profit sharing will be adjusted in the absence of the departing member. 

If a Member Requests Removal

In order for a member to request removal, also known as voluntary dissociation, they’ll likely need to submit a formal letter withdrawing from the LLC membership. Some LLC operating agreements don’t allow LLC members to voluntarily withdraw, requiring the business to go through dissolution instead.

After Removing a Member

After the member has been removed, there are a few additional steps that must be taken. First, check whether your formation document actually names the members. Most states do not require member names in the Articles of Organization, so a change in membership on its own does not make that filing inaccurate and no amendment is triggered. File Articles of Amendment only if your Articles of Organization do name the members, or if your state requires the change to be filed.

Next, the LLC operating agreement must be updated to reflect current ownership rights, processes, voting rights, how profits will be divided among the remaining members, and other details.

ZenBusiness can help!

ZenBusiness can help anyone start an LLC today with the help of their experts to ensure smooth business operations down the line. If an entrepreneur currently has a single-member LLC that needs to add members or a multi-member LLC that needs to remove members, they’ll need to file Articles of Amendment and get a new operating agreement, both of which ZenBusiness can help with.

Disclaimer: The content on this page is for information purposes only and does not constitute legal, tax, or accounting advice. For specific questions about any of these topics, seek the counsel of a licensed professional.