The Operating Agreement is an internal document between the members of the LLC that describes the operating rules of a Limited Liability Company.
An operating agreement outlines the daily operations of an LLC, as well as the course of action if a conflict arises, or a member needs to leave the business (by choice or for other reasons). The agreement can include member details, such as their duties and contributions to the agreement.
This document also breaks down the financial and functional decision-making process. The operating agreement is a lot like articles of incorporation that are used to govern corporations.
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