You may be wondering, “what is a series LLC in Missouri?” The Missouri series LLC, enacted in 2013, is a relatively new concept. This structure provides individuals flexibility and asset protection at a fraction of the cost of traditional asset protection strategies.
In Missouri, a Series LLC consists of a limited liability company, known as a “master” or “parent” LLC and any number of “series.” Each series is treated as if it were a separate LLC. It may have separate members, rights, powers, and duties. Most importantly, the assets, debts, liabilities, and obligations of each series may remain separate from those of the other series. You’ll need to maintain separate books and records for each series in order to ensure isolation of the assets and liabilities of each series.
How to get started
Select a name for your Missouri Series LLC
In Missouri, you are required to follow both traditional and series LLC rules when naming your business. The name must include the phrase “limited liability company,” or one of its abbreviations (LLC or L.L.C.). It also needs to include the name of the Series, contains the word “Series” and the entire name of the Limited Liability Company. Keep in mind restricted words (ie. Bank, Attorney, University) may require additional paperwork.
Choose a Registered Agent
Next, you’ll need to nominate a registered agent for your Missouri series LLC. This is a person or business that agrees to send and receive legal papers on behalf of your series LLC. The registered agent needs to be a resident of Missouri or a corporation authorized to transact business in Missouri. We provide this service for a low annual fee and can ensure you don’t miss any important legal deadlines.
File Articles of Organization
To register your LLC, you will need to file the Articles of Organization with the State of Missouri. This process should be done with the help of a legal advisor. They can make sure that the Articles of Organization are completed correctly.
In Missouri, all LLCs must have an operating agreement. An operating agreement is a legal document outlining the ownership and operating procedures of an LLC. Your series LLC operating agreement must be carefully written, and the parent LLC as well as each series LLC must have their own operating agreement. Therefore, it is recommended to work with an attorney when creating your Missouri series LLC operating agreement.
Obtain an EIN
The Employer Identification Number (EIN), or Federal Tax Identification Number, is used to identify a business entity. Each of the series in your series LLC may require an EIN. An EIN is required to open a business bank account, for tax purposes and to hire employees.
It is vital to follow each of these steps carefully when forming your Series LLC in Missouri. LexLaunch can help you navigate the process simply and without breaking your budget. We’re here to help you get the personalized legal advice you need when forming your Missouri Series LLC. Contact us today to get started!