If you are starting a business in Texas, a Texas registered agent service offers many advantages. In Texas, they are also called commercial registered agents and their services offer you convenience.
You could opt to be the registered agent for your business or appoint a friend, but there are certain legal requirements to be met. These include that the individual is over the age of 18 and must have a physical address, and must be available during business hours.
The advantages of using a registered agent service in Texas are:
When you do your business formation with the state of Texas, you are asked to provide the address where all your legal and business correspondence will go. The address you provide is then listed on the public record. If you have provided your home or business address, this will be available to everyone and it can be a problem, especially if you run your business from home. However, if you provide the address of a registered agent, that will be the address listed.
Convenience and flexibility
Whether you appoint yourself or someone else to act as your registered agent, you must ensure that they are available during standard business hours to receive official and tax documents at the address provided. Since you need to have a flexible schedule to meet the needs of your business, a registered agent service can best meet these needs.
Sometimes, businesses do get sued, and the papers served will go to the address you have provided. If this is your home or business address, you will be served in front of your family, clients, or employees. When you use the services of a professional registered agent, the papers are served at their office and they discreetly notify you.
Never miss a deadline
State and federal taxes, compliances, and any legal papers are delivered to the address provided. It is very risky to get these papers at your business or home because they can get misplaced or forgotten. One of the most important services provided by registered agents is to receive the papers, file them, and remind you of deadlines that you need to meet. This ensures that you are always in good standing and will not have to pay unnecessary fines for late submissions and payments.
Most registered agents also keep backup files of all your business papers, ensuring that you have copies if they are stolen, lost, or destroyed.
National coverage for your business
National registered agent services have the right to offer services across different states. If you plan to expand your business to other states, these will be able to continue offering their services there.
Cost of hiring a registered agent
Even though there is a cost to hiring a commercial registered agent, it is relatively low for the services they offer. Depending on the services you choose, it should not exceed a couple of hundred dollars annually.
Many registered agent services offer the first year free if you do your LLC formation with them.
When do you need to select a registered agent?
Before you complete your LLC formation in Texas you will need to first select a registered agent. If you form your Texas LLC online, they also have the resources available for you to appoint a registered agent.
You can choose a registered agent that will do your LLC formation for you so that you can concentrate on other business matters.
Are registered agents accountable?
Yes, registered agents are liable for damages if they do not meet their legal responsibilities. They need to inform you of every important notification, whether this is a lawsuit, tax payments, or any other compliance document.
It is always best for a business to use the services of a registered agent. It reduces the amount of work you must do, leaving you the time to concentrate on growing your business and meeting other daily demands on your time.