LLC Operating Agreement (IL)


This product is used to create an Operating Agreement for a limited liability company that is manager-managed rather than member-managed or board managed. A member-managed LLC is where all the owners (LLC members) have the ability to bind the LLC in contracts and agreements and run the business and the day-to-day operations (no managers are designated). A board-managed LLC is where a board of governors run the business, similar to a board of directors in a corporation.

A manager-managed LLC (the preferred type of arrangement in some states) is where only one, or a few people designated by the members (called managers), have the ability to bind the LLC in contracts and agreements. In many LLCs, one or more members are appointed to serve as managers. The managers also run the business and the day-to-day operations, while the members (that are not serving as managers) can’t bind the LLC in contracts and agreements, and they don’t take part in running the business and day-to-day operations. Instead, they take a passive/investor role. The members however do vote the managers into their position and also are required to vote on certain items, like adding or removing an LLC member. This Operating Agreement lays out the relationships among the members and the managers, and how the LLC will operate.

Self Service

Price: Free

Included in this service:

LLC Operating Agreement (T2) (Guidance Notes)

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