Can A Non Resident Be Appointed As Registered Agent In Alabama
If yous're forming a limited liability company or corporation in the state of Alabama, yous'll need to designate a registered amanuensis.
A registered agent is the private or business organisation entity that receives legal documents from the state, and and so forwards them to your concern address. Just why is this a requirement, and who should you designate as your registered agent in Alabama?
In this guide, we volition break down all the details you demand to know most Alabama registered agents.
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What is an Alabama Registered Agent?
One of the nigh common questions we receive from entrepreneurs in Alabama is why a registered agent is required to form an LLC or corporation. While it might seem like an unnecessary middle-man blazon of function, the registered agent fills a vital role.
The registered amanuensis'due south job is to provide a reliable way for the state to contact an official representative of your business at any time, which is particularly important if your business is ever sued. If you didn't have a registered agent, a lawsuit could progress through the courts without you even knowing nearly information technology, which is obviously far from ideal.
While Alabama does non provide a recommended list of registered agent services, nosotros reviewed the pinnacle options and compiled a listing of the all-time Alabama registered agent services based on price and overall value.
Who Can Be an Alabama Registered Agent?
According to the Alabama Secretary of Land, the registered agent tin can be an individual Alabama resident or a business located in Alabama. Regardless, a physical street address is necessary ― post office boxes are not sufficient.
Bated from the legal requirements, an important aspect to hash out is who should be your registered agent. You have the correct to declare yourself as your ain registered agent, which has its pros and cons.
On the positive side, you can salve some money by not paying anyone to serve every bit your agent, but you'll also likely need to make your home address a matter of public record, which is not platonic. Additionally, you'll demand to exist physically present at your business concern during all standard operating hours (nine-5, M-F).
Some entrepreneurs like to have a friend or family member serve as their registered agent, but if that person doesn't have experience in this position, they might not know what is expected of them. In improver, designating your lawyer or accountant every bit a registered agent can work, but these options are normally quite expensive.
Our preference is to hire a professional registered agent service, which provides a combination of convenience, affordability, and peace of listen that is unrivaled by any of these other options.
How Practise Alabama Residents Go Served?
The about important role of a registered agent's role is existence served a summons.
In the state of Alabama, this happens when an individual or lawyer fills out a complaint and submits it to the Clerk's Office either past mail or in person. Once the Clerk'south Role receives the original complaint and filing fee, the case is given a case number and assigned to a judge. In cases where a filing fee cannot exist paid, an Affidavit of Substantial Hardship may be filed to inquire the judge to delay payment. If these steps are all taken correctly, the state of Alabama volition then serve a summons to the defendant's registered agent.
How to Designate an Alabama Registered Agent
The answer to this question depends on what blazon of business organisation you're starting, but with either a corporation or an LLC, y'all'll need to designate your registered agent when you form your company.
If you're forming an Alabama corporation, you can designate your registered agent and office when you lot fill out the state of Alabama's Domestic Business Corporation Document of Germination which can be establish at this link. For LLC formations, y'all'll do this in department iii of the state of Alabama's Domestic Limited Liability Company (LLC) Document of Formation which is found here. Regardless of if you're filing for an LLC or corporation, you'll need to complete the class on the computer before printing it. And so, ane signed original and two copies of the completed class with all advisable filing fees must exist mailed to the Office of the Estimate of Probate in the canton where the corporation's registered function is/will be. In both cases, the applicable fee is $100, and tin be paid via credit card if the county you are filing in will accept that method of payment. However, if your credit card is non authorized, the LLC or corporation will not exist indexed.
How Can I Modify My Alabama Registered Agent?
If yous would similar to modify your registered amanuensis for any reason, the process is pretty simple.
All you must do is fill out the State of Alabama's Change of Registered Agent form with the Alabama Secretary of country. This form can exist completed on the estimator via this link and then printed for mailing. Once printed, two copies of the grade along with a $25.00 fee must be mailed to the Alabama Secretary of Land, Business Services Division, PO Box 5616, Montgomery, Alabama 36103-5616. The fee can be paid by cheque, money society or credit carte du jour. If yous choose to pay by credit menu, you may email your filing to miscellaneous.filings@sos.alabama.gov. Still, if the credit card does not authorize, your change will not be indexed and you will be charged a $30 fee. The course requires your Alabama Entity ID Number, the proper name of the entity, the name of the current registered agent and that amanuensis'southward accost, and the name of the new registered agent.
How Does an Alabama Registered Agent Resign?
Sometimes, a registered agent may have to resign from their position.
To exercise so, they'll need to make full out the country of Alabama'southward Notice of Registered Agent Resignation. This is a very uncomplicated, ane-page certificate that indicates the registered agent'due south identity and the business organisation entity they are resigning from. It should be completed on the computer, printed, and then mailed to the Alabama Secretary of Land. Email and/or fax filings will be discarded immediately; the document is accepted by postal service simply. In that location is no filing fee for this form.
Why Should You Hire a Professional Alabama Registered Amanuensis Service?
Hiring a professional registered agent is basically the all-time of both worlds between serving every bit your own agent, and designating a lawyer or auditor.
Privacy
The biggest benefit in our opinion is the privacy protection this allows, as y'all will exist able to keep your personal address private. There's also a major reward compared to having an attorney or accountant serve as your agent, namely the fact that registered agent services are almost always much cheaper.
Professional Service
Another reason we like this option is that these companies specialize in providing quality registered amanuensis service. They know exactly what'southward expected of them, and there are rarely whatsoever issues to speak of.
Nationwide
The other major benefit of hiring a registered agent service is that nigh of them operate in all l states, and so that if you ever want to aggrandize your business into another country, you won't need to rent an additional registered agent. Your same registered amanuensis volition be able to provide the coverage yous need in your new country, while even so providing the same service in Alabama. If you hired a lawyer or accountant, they would just exist able to help y'all expand to a new state if they take another physical role in that state.
You Stay Compliant
Finally, well-nigh professional registered agents operating in Alabama offer some sort of compliance calendar. With this service, your registered agent helps y'all keep rail of due dates for ongoing LLC maintenance requirements like almanac reports, which is a valuable bonus.
The height registered agent service providers include some other highly-seasoned attributes, including access to their all-encompassing customer back up networks. Some of them include a full year of registered agent service with whatever business formation package, which can be a real money-saver. Some other welcome aspect is that some registered agent services provide book discounts if you crave service in multiple states, or if yous prepay for multiple years.
What Is the Penalty for Not Designating a Registered Agent in Alabama?
You lot need to have a registered agent to form your limited liability company or corporation in Alabama in the commencement identify, but if y'all let your registered amanuensis service lapse, there could exist some serious consequences.
Failure to maintain a registered agent could lead to your business losing its good standing with the country of Alabama, and the country also has the right to officially deliquesce your LLC if they cull to.
Another issue would be the difficulty of being served if your business organisation is sued. If the state cannot get ahold of your registered agent, a courtroom may decide to go ahead with the lawsuit without your noesis, which could even lead to a judgment against you. This tin can happen not just if yous fail to designate a registered agent, but likewise if your agent is non nowadays during business hours to have the document delivery.
Conclusion
As you can see, the job of designating a registered agent for your Alabama business isn't quite as easy as just writing downward your own name.
There are significant downsides to only virtually every selection in our stance, only we recommend hiring a professional registered agent service considering that option has the fewest disadvantages. They charge affordable rates, and you lot never have to worry about losing your good standing, having your LLC or corporation dissolved, or having a lawsuit continue in your absence.
If you have any further questions, you can contact the Alabama Secretary of Land:
John H. Merrill
Office of the Alabama Secretary of Land
P.O. Box 5616
Montgomery, AL 36103-5616
(334)-242-7207
Can A Non Resident Be Appointed As Registered Agent In Alabama,
Source: https://incorporationguru.com/registered-agent/alabama/
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