9 Reasons to Use A "Registered Agent" Service For Your Business

A commercial registered agent is a company that specializes in receiving Service of Process on behalf of businesses nationwide. They will receive Service of Process on behalf of your company and then forward it to you by mail at any address you’d like. Most of these companies will also fax or email your documents if preferred. 

By using a commercial registered agent service, you have the assurance that there will always be someone available during standard business hours at the registered address to take delivery of notices and other documents. 

The registered agent service will promptly forward notices and other documents received to you in a timely manner. 

For some startup owners, it is well worth the fee to not have to track the official notices and annual report due dates with the state. Also, all your important documents will be kept in one place and you don’t have to bother keeping track of notices. 

When considering a registered agent below are some situations for which using a registered agent service provider may be the best choice:

1) You don't have a physical location with the business you’re forming. It is legally required to have a registered agent with a physical address in the state of formation. A PO box is not an acceptable physical address. By using a professional registered agent provider with an office in the state will satisfy this requirement.

2) You have a PO box or a private mailbox as your only address. You cannot use that as your registered office. The registered office must have a street address.

3) You do business in multiple states. For your company to operate business in states other than your state of formation (home state), you need a registered agent and registered office in each of those states. Through using a registered agent service, one company is handling compliance documentation for you in each state so you can concentrate on your business.

4) Your address changes often. You are required to keep the registered agent’s address updated with the state. Changing this information requires a formal state filing and may also require that a fee be paid. There are penalties for failing to maintain your LLC or corporation address and it can result in large fees because of important documents not being received by the company. It also requires you remember to update the information. By using a registered agent service provider as your registered office, instead of your company’s business address, you never have to worry about this.

5) Your business is home-based. The registered agent address is available on public records, which means anyone can access it. A registered agent service can reduce the amount of unsolicited mail your business gets.

6) You want to maintain privacy. A service of process is often delivered by local law enforcement. Most businesses do not want the police to show up in front of customers, employees, or neighbors (for home-based businesses) and serve them notice that they are being sued. That is where a registered agent service ensures you receive any service of process discreetly.

7) You don't have normal business hours. The registered agent for a business must be available during normal business hours to accept delivery of all documents. If you set your own hours or travel often for business a registered agent service will ensure you never miss any document.

8) You don’t have a permanent work location. If your business requires you to move around frequently for clients and you act as your company’s registered agent, you can miss important documents being delivered. A registered agent service will make sure important documents will reach you wherever you are.

9) Avoid the risk of non-compliance. A registered agent service will help you stay in compliance, avoid unnecessary state penalty fees, and maintain your company's good standing in your state of formation and/or qualification.

One of the key aspects of using a commercial registered agent is the ability to organize documents and deliver them quickly and discretely to small business owners.

Some paperwork that is delivered on behalf of the state is sensitive in nature. For example a small business is served with a lawsuit and does not have a registered agent. This paperwork would then be delivered directly to the business's location instead of the registered agent address. If you have employees or customers, it could negatively impact the way that they view the business because you’ll be served in front of an audience. 

Luckily, commercial registered agent exercise caution when delivering paperwork. They will deliver the materials to the company, carefully organize it in a manner that allows the small business owner to review them privately. This gives small business owners peace of mind in knowing that there are not likely to be any moments where submitted paperwork could embarrass them publicly.