Complete Guide to LLCs

Look, I get it. You're running your LLC solo, and writing up an operating agreement feels like overkill. Who are you negotiating with—yourself? Here's what actually happens: A creditor sues you. Their attorney digs through your paperwork looking for ammunition. No operating agreement? They'll argue your LLC was never really separate from you personally. Now your house is on the table.

I've watched this scenario play out more times than I care to count.

What Is a Single Member LLC Operating Agreement?

Think of this as your LLC's internal rulebook—a private document laying out how you'll run your business. It spells out who owns what (you own 100%, but documenting this matters), how money flows in and out, management responsibilities, and what happens if you need to shut down.

The multi-member version of this document deals with partner disputes, voting rights, buyout provisions. Your version? Completely different animal. You're building a paper trail proving your business operates separately from your personal finances. When judges decide whether to let someone pierce your liability shield and grab your personal assets, they scrutinize exactly this kind of documentation.

Here's the part that surprises people: This stays in your files. Zero states require you to file it anywhere. Your Articles of Organization—that's the public document on file with the state that anyone can pull. The operating agreement remains private. Your financial projections, management strategies, all the deta...