Free LLC Forms

Free LLC Forms -Should you use or shouldn’t you use them?  That is the question.  If you are like most people you want to pinch pennies where ever you can.  If you can get free LLC forms, that would be great for the bottom line, but is it a smart thing to do?  Well it depends on what forms you are getting.

Free LLC Forms-Your Articles of Organization

The best way to get your LLC Articles of Organization is to download them on your state website.   The best news is that in most states you can down load them for free.  These are good forms and you should go for it.  If you are uncertain where to find the state website, simply click HERE.   A word of warning, do not stop here!   If you want true asset protection you will also need a well-structured operating agreement and you should pay attention to company tax structure and formalities.  And with Operating Agreements you get what you pay for, so be careful using some of the free LLC forms being offered.

LLC Operating Agreement

A good LLC Operating Agreement should be about thirty pages in length.  It takes that many pages to define your business operations and procedures.  I would be wary of free LLC forms “sites” that offer the Operating Agreement, unless you are just using them for a guide to write something better.  The truth is you need good forms and then a discussion on how to use them.   If you don’t understand the whole picture and you make a mistake, it could be very costly.  When you get sued, the judge will set aside your LLC operating agreement and you will be personally liable.

Asset Protection for You  and Your Business

You are probably forming an LLC for asset protection.  So if it is worth forming at all, and you are serious about your business, you should form it right.  The truth is that we live in a lawsuit hungry nation.  More than 90 million lawsuits are filed in the US each year.  Business owners are the subject of many of the lawsuits because they are perceived to have “the deep pockets.”   We always read about multi-million dollar awards given out for very unreasonable claims.  Your operating agreement is the only thing that will protect you.  How much time and money would you spend on a shield if your assets and your peace of mind depended on it?

The operating agreement should be unique to you.  The operating agreement is your “LLC map,” you get to write whatever directions you want… If you do it correctly the courts will uphold whatever you write.  If you don’t fill in the details, you will be sent where the court wants you to go.  Being able to design and provide unique directions and strong protection for your LLC is something most free LLC forms sites don’t offer.  Too often, they just offer a template covering the minimum needs.

Spending a little more time and effort to create a unique LLC asset protection and tax structure instead of going to a free LLC forms place will pay big dividends for your business, and give you peace of mind. The LLC Wizard will walk you through step-by-step on how to create a unique Operating Agreement if you want additional help.  It will also explain the tax options and annual maintenance issues. The LLC requires a lot of other “formalities” that you need to attend to, when you are creating and running a LLC structure.  Please take the time to make certain that you use detailed forms or adapt your forms to your specific needs so that they will actually protect you and your business and give you the best tax advantages possible.