It’s no secret that running a business is a Herculean task if you consider doing it alone. While it’s completely possible to run a business by yourself, the question you should be asking is if it’s a practical thing to do. Leadership isn’t about being able to manage everything. It’s about knowing when to manage and when to delegate.
We all have our limits. And while it’s true that we all vary in how we’re able to cope and perform under pressure, the same rule applies to all of us. We should all learn to choose our battles. After all, the person who tries to strengthen all fronts is strong in none.
This is where a registered agent comes in. It’s not necessarily a single profession. In fact, a registered agent can be an accountant, a lawyer, or even a corporate director. A registered agent is a role, rather than a profession.
So, What Exactly Does A Registered Agent Do?
A registered agent is a person who is designated by the company to receive federal and state legal documents on behalf of the business. These legal documents include, but are not limited to: summons and subpoenas.
Because every US state requires that every business must register as a legal entity, it’s only right that the legal entity must also be duly represented by a registered agent. These individuals are essentially on-call, as they are required to be available during business hours.
The function of a registered agent goes in line with due process, wherein a defendant has the right to be duly notified of any legal action taken against him or the business. Other registered agents are also trained to file legal documents and they can also remind business owners of important events such as annual tax filing.
Why Are They Needed In A Business?
While it may seem that the function they serve is pedantic at best, the utter importance of legal documents cannot be stressed enough. Because legal documents cannot be sent to P.O. boxes, a registered agent is the only mailing option for these types of documents.
The benefit that they bring to the table is that they are, in a sense, the official and exclusive destination for your legal documents. This completely mitigates the risk of losing critical documents.
They are completely in charge of receiving these important documents and this makes them ideal if you travel a lot or if you’re on vacation often. There isn’t any need to file for an address change, even if you move your business location, because your registered agent will simply receive the document and email it to you directly and immediately.
This also helps maintain your image as a business owner, because it can be very embarrassing to be served a subpoena in front of your employees.
Registered agents are not a mere addition to your team, as all businesses are required to have them. Not only do they serve as your official hub through which legal documents are passed and filed, but they also serve as a veil between you and your employees. After all, it’s important to preserve your image as a strong leader, and seeing your leader being summoned to court can be damaging to team morale. Their role in nothing less than that of security and discretion when it comes to company legal matters.