Updated April 26, 2022
A North Carolina multi-member LLC operating agreement is a legal document used by a business with more than one (1) member. The document guides users through the process of establishing standard operating procedures and company policies among other important aspects of the business.
North Carolina does not require companies to file an operating agreement in order to do business in the state. However, without the implementation of the document, the managing contributors could find themselves liable for litigious claims against the entity. The establishment of an operating agreement indicates to courts that the members hold themselves separate from the business. Thus, the private assets of the members remain uncollectible for debts of the business, keeping all liabilities within the confines of the company.
All members should take the time to carefully review the entire document to ensure that it’s clearly understood. Should any of the language appear questionable, the members should consider consulting with an attorney for further assistance.