What Is A Registered Agent Service?
Here are some of the most common questions that almost everyone has when they are looking to set up their LLC.
A registered agent is a third-party that is situated in the same state as the established business entity and receives service of process notices, correspondence coming from the Secretary of State, and other important government documents on behalf of the corporation.
Is It A Necessity To Have A Registered Agent In Delaware?
As part of Delaware law for any corporation or LLC, it is required to have a registered agent, the state of Delaware requires everyone who plans to form a Delaware based company to have a registered agent if they do not have a physical address in the state of Delaware.
What Are The Roles Of A Registered Agent In Delaware?
The roles of a registered agent include:
- Being responsible for receiving and sending important legal and tax documents.
- Volunteering to be available during business hours, in the cases of someone filing a lawsuit against the business they are associated with or in the case of any sort of legal action is being taken.
- Receives important papers at their registered address so that they are not sent to yours, or in the case that you do not have one.
Who Can Become A Delaware Registered Agent?
Different states have different requirements for allotting registered agents, but in Delaware, it is allowed for both individuals and business entities to serve as a company’s registered agent. These are the rules that apply:
The individual has to be a resident of the state or a qualified out-of-state corporation to apply to be a registered agent.
- The individual must have a physical address in the state. Keeping a P.O. box does not qualify.
- The Registered Agent must be available during regular business hours, 9 to 5, Monday through Friday.
- They have to be above 18.
How is a Delaware Registered Agent Appointed?
To do this, first, you need to hire the agent. The fees for Registered agents can range from free to several hundred dollars. After hiring your new agent, you have to notify the Delaware Department of Corporations, either by making articles for a new company you are registering or by changing agents using the state’s Registered Agent change forms.
Can A Registered Agent Be Replaced?
Yes. A registered agent can be changed. The procedure for Delaware is as follows:
- Complete and submit two documents, namely a “Certificate of Change of Registered Agent” and a “Filing Cover Memo”.
- Fill in the requirements in the Certificate of Change (which comes with a $50 fee), i.e. the name of your LLC, your new registered agent’s name, and their signature of consent.
- Enter your business and contact information, and your payment information in the Filing Cover Memo.
- You can make your payment via check to the “Delaware Secretary of State.”
- Mail your completed form, along with your payment to the Delaware Department of State.
- Standard processing time is 2-3 weeks, but it can be done more quickly with extra payment.
What Other Ways Are Registered Agents Referred To?
Besides being called registered agents, depending on what states they are in they are also referred to as:
- Statutory agents
- Resident agents
- Service of process agents
- Commercial registered agents
What is the “service of process”?
For an applicant to proceed with a case, they need to notify the defendant of a pending action against them. It is through the service of process, that the defendant can receive this important information. It means receiving legal documents.
Is being a registered agent the same as being an owner?
No, being a registered agent and an owner are two different things. A registered agent keeps paperwork up to date and receives important documents in place of the company but does not own the company. An owner of a company, however, can act as their own registered agent.
Is It Plausible To Act As Your Own Registered Agent In Delaware?
Yes, the state of Delaware does allow an individual to act as their own registered agent, under the conditions that they are 18 years old and above, uphold a street address and office in Delaware and be available during normal business hours i.e. 9 to 5 for accepting service of process and other important documents. However, this comes with extra responsibilities and may prove to be inconvenient. Because of this, so many business owners decide to hire professional services to act as their registered agent. All you need to know is here.