North Carolina LLC Operating Agreement

Key Takeaways

• North Carolina law does not require an LLC to have an operating agreement.
• Simplify your Limited Liability Company establishment and safeguard your commercial interests with our all-inclusive North Carolina LLC Operating Agreement template.
• To form an LLC in North Carolina, you’ll need to file Articles of Organization with the North Carolina Secretary of State, appoint a registered agent, and satisfy the necessary filing fee.

North Carolina LLC Operating Agreement Templates by Type

Single Member LLC

Basic Single Member LLC Operating Agreement

Used 4,920 times

Are you required to uphold your limited liability corporation status in accordance with state law? If the business is sued, the owner’s assets may be safeguarded by this agreement.

Use Basic Single Member LLC Operating Agreement

Use this operating agreement template in North Carolina when there is only one owner of the LLC.

Multi Member LLC

Multi-Member LLC Operating Agreement Template

Used 4,872 times

Ensure that your newly formed LLC is run the right way by having a multi-member operating agreement in place.

Use Multi-Member LLC Operating Agreement Template

Utilize this operating agreement template in North Carolina when multiple individuals or entities co-own the LLC.

50/50 LLC

50/50 LLC Operating Agreement Template

Used 4,872 times

This free 50/50 LLC Operating Agreement template for businesses with equal ownership.

Use 50/50 LLC Operating Agreement Template

Employ this operating agreement template in North Carolina when two equal partners equally share ownership and management responsibilities within the LLC.

Member-managed LLC

Member-Managed LLC Operating Agreement Template

Used 4,919 times

A manager is chosen by the firm owners to oversee day-to-day operations in a manager-managed LLC. Use this Member-Managed LLC Operating Agreement Template right away.

Use Member-Managed LLC Operating Agreement Template

Opt for this operating agreement template in North Carolina when the LLC’s management responsibilities are delegated to appointed members.

Legal Requirements

As per North Carolina General Statute § 57D-1-03, an operating agreement can be written, verbal, or implied. However, a non-written agreement may not be legally enforceable. It’s crucial to have a robust written operating agreement, which should encompass:

• Transfer of membership stakes
• Voting privileges and decision-making authority
• Initial capital contributions
• Profit, loss, and distribution allocation
• Management structure
• Compensation plans
• Accounting procedures
• Procedures for dissolution

How to Form LLC in North Carolina

Setting up a Limited Liability Company in North Carolina involves a few key steps:

Select a Name for Your LLC: 

• The chosen name must include “limited liability company” or an abbreviation.
• It should be unique and distinguishable from other business names in the North Carolina Secretary of State’s business registry. 
• You can check the availability of your desired name through the North Carolina Secretary of State’s Business Registration search engine. 
• If you wish to reserve a name before filing an LLC, you can do so by paying a $10 fee and filing an Application to Reserve a Business Identity Name.

Designate a Registered Agent: 

• The state requires limited liability companies to have a registered agent.

File the Articles of Organization: 

• This document is needed to register your Limited Liability Company with the state officially. 
• The cost to file a domestic LLC in this state is $125. If you’re filing as a foreign entity, the cost is $250.

Get an EIN Number:

• Obtain an EIN from the IRS online portal for your LLC. If your LLC has multiple members, it’s necessary for tax compliance and business operations.

Prepare an Operating Agreement: 

• Although not mandatory, a written operating agreement is highly recommended. This document outlines the operational procedures, the appointment of officers, and ownership interest.

File an Annual Report: 

• Companies must file an annual report with the Secretary of State and pay filing fees. The cost of filing the annual report online is $218, and it’s $200 for paper filings.

Remember, state and federal guidelines change frequently, so always check for the most recent information before filing. 

North Carolina LLC Laws

• Absence of State Income Tax: The state doesn’t levy a state income tax on LLCs, which could benefit businesses setting up in North Carolina.
• Annual Report Obligations: Limited Liability Company must file an annual report to maintain good standing with the state.
• Requirement of a Registered Agent: A registered agent is mandatory for all LLCs operating in the state.
• Registration of Foreign LLCs: If your business is formed outside of North Carolina but conducts business within the state, it must be registered as a foreign LLC.
• Real Estate Factors: If your business owns real estate in this state, understanding the state’s property laws and their implications on your business is crucial.
• Employment Legislation: North Carolina Limited Liability Companies that employ staff must adhere to state employment laws. These include wages and hours, workers’ compensation, and anti-discrimination laws.