What a Registered Agent Does

A registered agent (also called a statutory agent or agent for service of process) is the person or company an LLC or corporation names to receive legal papers and official state correspondence. Every state requires one for each entity formed or registered there, and the agent's name and address appear in the public record.

What a registered agent actually does

• Accepts service of process, meaning lawsuits and subpoenas, on behalf of the business
• Receives official notices from the state, such as annual report reminders and tax notices
• Forwards these documents to you promptly so you can respond within legal deadlines

Requirements in every state

The details differ, but the core rules are consistent: the agent needs a physical street address in the state where the entity is formed (a PO Box is not enough) and must be available during normal business hours. The entity must keep an agent on file continuously. Individuals, and companies authorized to provide agent services in the state, can serve.

Serving as your own agent

This is free and legal in most cases, but consider the trade-offs. Your home address becomes public. You must be at that address during business hours, and a process server may arrive unannounced. A missed delivery can lead to a default judgment against your company before you even know there is a lawsuit.

Hiring a commercial agent

Commercial services typically charge about $50 to $300 a year. In return they provide a business address, reliable in-person acceptance, scanning and forwarding, and compliance reminders. They also keep your home address off the public record. If you operate in several states, you need an agent in each state where the entity is registered, and many services cover all states.

How to choose

Changing agents

Filing a change with the state is simple and often cheap. Some states include it in the annual report. Do this promptly if your agent moves, resigns, or you change providers, because a lapse can lead to penalties and administrative dissolution.

For state-specific rules, see the registered agent page for your state.

Three scenarios

• The home-based consultant: works from a fixed address during business hours, comfortable with it being public. Serving as her own agent costs nothing and works fine.
• The traveling founder: rarely at his registered address. A missed service of process could mean a default judgment, so a commercial agent is worth the annual fee.
• The multi-state operator: registered in five states. A single provider with agents in each state keeps addresses consistent and deadlines in one dashboard.

Warning signs when choosing a service

• Unusually low prices that renew at a much higher rate after the first year
• No clear statement of how quickly they forward documents to you
• Bundled upsells you do not need, such as an operating agreement template you can write yourself
• A provider that is not authorized to act as an agent in your state