• Parties entering into the agreement, the name of the company, it’s purpose and it’s address

• Definitions of important terms

• How capital contributions by the members will be made, how much, and how capital will be handled within the company

• What happens if a member wishes to withdraw from the company and what happens to their capital contribution

• How often distributions of cash are made, and how distributions of property is handled

• Policies on management and operation of the business, including appointment and removal of managers, manager authority and limitations on it

• What outside activities members of the company may partake in

• Statement on the limitation of liability of managers

• Statement on the rights member have relating to the company and the restrictions of power the members have

• How books, records and accounting will be handled, as well as when the fiscal year takes place

• How the corporation elects to be taxed

• Policies around the transfer of units by a member and restrictions on transfers

• How admission of substitute and additional members will be handled

• When members may be disqualified from the company death, resignation, bankruptcy, etc.) and what happens in the circumstance with that members units

• How liquidation and winding up of the company would occur, as well as the return of capital to members

• What majority of member votes are needed to make amendments to the operating agreement

• What Quorum is and how members may vote (in person or by proxy)

• General legal provisions including: Indemnification, binding effect, waiver, applicable law, power of attorney, and more

This is an essential template for any business owner who is looking to form a corporation with partners.

With this agreement, you’ll set clear expectations of members and clearly define how the company is to be run and managed.

If you’re forming a corporation with other members, consider this an essential template.

Instant access to:

• An instruction guide on how to edit & use your template

• Your legal template in .docx format which may be edited in any word processor or Google Docs

• Highlighted sections and instructions in the template on how to properly customize it to your business