Even if you register as a foreign corporation or LLC and start trading in a new state, you would need to select a registered agent.
There are several things you need to know while choosing your registered agent. By choosing a particular agent, you authorize him or her to receive mail related to your company's tax and legal matters. Therefore, your registered agent must own or rents an office premise and possess a physical address. A registered agent with only a PO Box will not serve your purpose.
You must also ensure your registered agent is available at the address provided during normal business hours to receive your mail. Your registered agent's address is made available to the public. All important documents, such as the Notice of Litigation or Service of Process, are directed to this address. The registered agent also receives all tax documents on your behalf.
There is another scenario where the registered agent comes in handy. When you form a corporation or an LLC, most states require you to provide a legal address. Your registered agent's address is an excellent alternative to this and is enough to fulfill the requirement. If your corporation or LLC is branched out over many states, you would require a registered agent in each of these states. Service providers or hired professional registered agents serve the purpose in this case.
You may wish to act as the registered agent of your own business. However, in such cases, remember that you will encounter the following disadvantages:
There are certain things you need to keep in mind when looking for a registered agent. The first thing is to be sure that the registered agent you hire meets your corporation's specific requirements or LLC.
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