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When getting an LLC, it is important for you to follow every step that you can. One of the steps is to hire a registered agent for your company. The reason for this is so that they can take on the responsibility of looking after all the paperwork and taxes, as well as keep record of your annual filing reports. However, there are fees when hiring an agent and it can be different, depending on the state that you are hiring in.

There is the alternative of being your own registered agent, however there are some things that you need to consider first. Check out the following below or you can find out more by doing some research online.

What makes me eligible to be a self registered agent in California?

Like in every state, you do need to follow the eligibility criteria in order to become a self registered agent in California. In this case you have to be 18 and over, show proof of a physical business address in the state and have the definite availability to work the normal business hours, in order to receive the service of process in person. If you tick all the boxes for the criteria, you are then eligible to be a self registered agent in California.

Would it benefit me if I serve as a self registered agent?

If you are a small business owner, then yes it can benefit you. It is actually common for a small business owner to hire themselves as self registered agents, rather than actually hire agents. If however, you have a large corporation, then it is easier for you to hire a registered agent, so that you are not behind with any paperwork.

Another advantage of being a self registered agent is that you get to save money from the fees that you would originally spend on hiring someone and if you are not that bothered, that you would be representing yourself in front of your peers and customers, when it comes to legal documents.

What else do I need to keep in mind as a self registered agent?

The disadvantages of being a self registered agent is that it is mandatory for you to be present during the working hours of 9am - 5pm without missing a day, with the only exception of public holidays. You cannot leave your business address at any time, because it can risk you receiving any legal documents.

If you do mind being served in front of your peers and customers, then it is another disadvantage for you having to sort out your lawsuit in front of everyone. If you do not receive any lawsuit documents because you missed them, there is a chance that you can be taken to court and have the difficulty of defending yourself. Another negative about being a self registered agent is that you have to make your business address public; which means that if your business address is also your personal address, it will automatically go public.

Another thing to consider is that if you want to expand your business into other states, then you cannot do that as a self registered agent. You can only do that if you hire a california based registered agent.

Our say

To be your own self registered California based agent is great - especially if you have good timekeeping, a small business and you are willing to accept all consequences. However, if you feel like you need possible help or guidance, then you should definitely consider hiring a California based agent. Even though it might seem like you are spending money, you are actually saving money and saving yourself a lot of time when it comes to all the legal stuff that needs to be handled. You should weigh out both options for your business and see what is best suited for your situation.