Updated April 15, 2022
An Idaho multi-member LLC operating agreement is a legal document that is utilized by entities with more than one member. The document will allow the members to set forth the organization of the policies and standard operating procedures that would be agreed upon unanimously between the members/owners.
The state of Idaho does not require businesses to have an operating agreement in place; however, in the absence of such an agreement, the members could be held personally liable in the event of litigation or any failure in the business. The document must be in place to protect the members’ personal and financial assets. Additionally, the document will offer tax benefits to the business and the members.
All members should carefully review the document in its entirety. If the document is not clear to all members, they may consider consulting an attorney.