So I'm trying to open a business checking account for my LLC (formed 6 months ago, single member) and the banker looks at my paperwork and says "where is your operating agreement?" I said... my what? Apparently it's required now. I never made one because I thought single-member LLCs didn't need it. Now I'm scrambling. Anyone dealt with this? Is there a standard template or do I need a lawyer?
LLC
My bank asked for an operating agreement I hadn't prepared
Same thing happened to me last year. Bank told me it was non-negotiable for their files. I ended up downloading a template, filling in the blanks, signing it, and they accepted it. Took like 20 minutes. Not legal advice obviously.
Honestly this is why I just went to a credit union. They were way less fussy about the operating agreement.
Credit union might have been the move tbh. Did they not require one at all?
They asked, but pretty sure it was just a checkbox. I gave them something I typed up myself and nobody blinked. The big bank down the street wanted a notarized copy and a blood sample.
Not to be that guy but you should probably have an operating agreement anyway. It's not just for banks. If you ever get sued or try to open a second account or bring in a partner, you'll want it in writing. Single member or not.
Yeah sunkcost_steve has a point. ^^ The template I used was free online and covered the basics. Use a real one if you're planning to grow though.
lol the banker probably just wants it for their file so they can say they looked at it. Half the time they don't even read it.
Yeah I get that vibe too. So is the consensus that a free template is fine for now? I don't want to spend $500 on a lawyer for something the bank is just going to skim and file away.
For a single-member LLC with no assets and no partners, a solid template is probably fine. But if you're holding real IP or property in there, pay someone. It's the difference between "we filed it" and "it actually protects you."
Counterpoint: I drafted mine in Google Docs in 15 minutes and the bank accepted it. Was it a great legal document? Absolutely not. Did it get the account open? Yes. Start there and upgrade later if you need to.
Weirdly the hardest part for me was the "registered agent" section confusing me. I wrote in my own address and the banker was like "that's fine." Don't overthink it.
Update: grabbed a template from my state's secretary of state site, filled it out, dropped it off this morning. Banker glanced at it for like 8 seconds and said "great, we'll get you set up." Appreciate the hand-holding everyone.
eight seconds lmaooo. told you. anyway congrats on the account.