Can You Be Your Own Registered Agent? What You Should Know

    When you want to incorporate a business in any state in the US, you need a registered agent. These agents act as the point of contact between your business and the state. 

    That may bring up the question — can you be your own registered agent?

    The short answer is yes. 

    It may seem favorable too. After all, why should you pay someone to do something you can do yourself? 

    While this may seem like the ideal scenario for you, the answer isn’t that simple. There are numerous pros and cons to becoming your own registered agent. 

    Before we delve into them, though, let’s quickly understand who registered agents are.

    Who is a Registered Agent?

    A registered agent is an individual or agency that you appoint to receive all the official notices on the behalf of your LLC or corporation in a particular state. They also agree to accept legal mail on your behalf, including documents related to lawsuits, renewal notices, and more.

    If you’re starting an LLC or a corporation, it’s mandatory to have an in-state registered agent. Additionally, you are required to get one for each state in which you do business.

    The registered agent needs to be available at a registered office in the state and should be accessible during regular business hours. It’s important to note that the office needs to have a physical address and not just a PO Box. 

    For instance, if your business is located in New York, but you also operate in California, there should be a way to get in touch with your business in California. This is where the designated registered agent comes into the picture.

    Now that it’s clear who a registered agent is, let’s take a look at the various pros and cons of becoming your own registered agent.

    Pros of Becoming Your Own Registered Agent

    Let’s take a look at the advantages of becoming your own registered agent.

    1. Saves Money

    If you choose to become your own registered agent, you’ll save money on the fees that you’d have to pay to a registered agent. 

    Even if it is just a few hundred dollars a year, it will still reduce your business expenses. It can be a good idea if you’re on a shoestring budget.

    2. Is Convenient

    As a registered agent, you’re required to be present at your registered office during regular business hours. If you’re already available during this time, things would be quite convenient for you.

    Additionally, you will receive all legal documents directly, instead of someone passing them to you, thus, saving time.

    3. Home Can Be a Registered Office

    One of the other pros of being your own registered agent is that you don’t need to go out of your way to set up a registered office. You can use your home address as your registered office address

    While there are certain disadvantages of doing this, it can still help you save some money. 

    Cons of Becoming Your Own Registered Agent

    There are numerous drawbacks to becoming your own registered agent. Here are some of the most notable ones.

    1. Being Present During Business Hours

    One of the biggest cons of becoming your own registered agent is that you need to be present at your registered office during working hours on every weekday. 

    This may not seem like a big deal if you’re present in your office most of the time. However, you risk missing out on document deliveries if you’re stepping out for some time.

    2. Need to Receive Confidential Paperwork

    If you’re your own registered agent, you may receive confidential papers such as legal notices, court summons, etc. When this happens at your office, in front of others, or at your home, it may not be an ideal situation. 

    You need to ensure that you’re comfortable with receiving such confidential documents in public. If you are likely to get embarrassed, it’s best to hire a registered agent. 

    3. Minimal Savings

    If you run a multi-state business, you’ll need a registered agent in every state. You can only become a registered agent in your state. 

    For the rest of them, you’ll still have to hire a registered agent. This means that you’ll save only a small portion of the money that you spend on registered agents, which is not worth the hassle.

    4. Risk of Missing Notices

    If you choose to become your own registered agent, you’ll need to be extremely organized. Otherwise, you may risk missing some of the notices.

    Some documents could also be time-sensitive and you need to be organized enough to meet all the deadlines. This could prove to be very expensive for your company. 

    A registered agent service makes sure that this doesn’t happen, by helping you remain on top of things.

    5. Address Change Must Be Notified 

    One of the requirements of being a registered agent is that you have to notify the state of any address change. 

    It’s likely that you may have to pay a fee for the same. Such fees would effectively nullify the cost savings you’d get by becoming your own registered agent.

    Final Thoughts

    Can you be your own registered agent? Yes, of course, you can. 

    Should you? 

    Well, that depends on your priorities, and you can make that decision after weighing the pros and cons mentioned above.

    If you become your own registered agent, you can save some money, but you also need to be available during business hours. You may miss some document deliveries if you’re not careful and you’ll be personally liable for meeting all deadlines.

    The choice that you have is whether it is worth the hassle to become your own registered agent to save money or not.

    Another option great option is to hire a professional company that will incorporate an LLC and supply 1 year of free registered agent service for you.
    One of the best companies that do exactly that is Northwest Registered Agent and you can read an extensive review about them on LLCGuys: https://llcguys.com/reviews/northwest-registered-agent-review/.

    Now that you know the pros and cons of becoming your own registered agent, you can decide whether it’s worth it or not. All the best!


    RELATED ARTICLES

    compliance

    What Your Business Needs to Know About The Rise of Compliance-as-a-Service

    Digital transformation is rapidly increasing with a 23.9% annual growth rate from 2024-2030, according to...
    dadline

    Key Accounting Deadlines for Companies in Denmark

    Running a business in Denmark means operating within one of the most efficient and digitally...

    Beyond the Noticeboard: Rethinking Public Consultation for Modern Communities

    Public Consultation Is Evolving Public consultation has long been a staple of the planning process, a...
    catalogs

    Digital Catalogs as an Effective Solution for Optimizing Sales Processes in Modern Business

    In today's rapidly evolving world of business, being ahead is not merely about producing the...
    container

    Why Shipping Containers to Guam Are the Safest Option for Your Belongings

    Moving your entire life across the ocean isn’t easy, and when it comes to shipping...
    liability

    How a Product Liability Lawyer Negotiates Settlements with Manufacturers

    Understanding the Role of a Product Liability Lawyer A product liability lawyer is your advocate when...
    HDhub4u.futbol

    HDhub4u.futbol: Why It’s Always Trending on Google

    In this digital age, you see great change from cinema halls and cable TV to...
    Telegram group link

    Telegram Group Link: 100+ India’s Top Channels, Join Now!

    Telegram group link, a phrase many have typed into search bars, often leads to a...
    Filmy4web Mp4moviez

    Filmy4web Mp4Moviez: The Rise and Risk of Free Movie Downloading Sites

    In today's digital age, leisure is just a click away. From worthy Netflix series to...
    social media

    The Best Times and Tactics to Attract More Social Media Followers

    A big social media following needs planning, timing, and interaction rather than only consistent content...
    trading

    The Future of Trading: Embracing 3-in-1 Accounts for Financial Growth in India

    India’s retail investment landscape has undergone a massive transformation in the last decade. From being...