When starting an LLC in Arizona, you are required to designate a “statutory agent,” commonly referred to in most other states as a “registered agent.” For all intents and purposes, they serve the same function. Specifically, the state requires you to designate a statutory agent to receive legal notices and other important documents on behalf of the business. If you are planning to create an Arizona LLC, you should understand the purpose of a statutory agent, how they can help your business, and what options you have for appointing one.
Arizona law describes a statutory agent as an individual or business entity that has agreed to accept the service of legal documents and notices on behalf of a business, in this case, an LLC.
The overall purpose of a statutory agent is to ensure that every LLC doing business in the State of Arizona has an official contact person or entity on record with the state who has agreed to receive notices, legal documents, and other official paperwork on behalf of the LLC. Along with being required to accept paperwork and documents, a statutory agent is also obligated to inform your LLC about things such as:
Although your statutory agent does not directly participate in your business, the role your agent plays is crucial to the success of your LLC. Because your statutory agent is the official point of contact for your LLC, choosing the right individual or company for your agent is an important step in creating and operating your Arizona LLC. Moreover, failure to have a statutory agent with a valid address on the records of the Arizona Corporation Commission will subject your LLC to being administratively dissolved.
The Arizona requirements for a statutory agent include:
While these are the basic legal requirements for a statutory agent, keep in mind the purpose of your agent. The law requires that your statutory agent have a physical address in Arizona and regularly be available at that address during normal business hours to receive notices, documents, and correspondence on behalf of your LLC. Often, those notices, documents, and correspondences include time-sensitive information and/or deadlines. If your statutory agent is unavailable, you may not be informed in a timely manner, causing your business to miss legal deadlines or fail to comply with requests or requirements from a government agency. In short, a statutory agent that is not available could wreak havoc on your LLC.
Legally, the State of Arizona does not allow your LLC to act as its own statutory agent. You may, however, appoint a member or manager of your LLC to act as your statutory agent in his/her capacity as an individual. If you decide to appoint a member or manager as your statutory agent, he/she must meet all the legal requirements imposed by the State of Arizona.
While designating a member or manager as the statutory agent for your LLC may appear to be a simple and cost-effective option, there are some drawbacks to going this route. First, as a statutory agent, you are required to routinely be available during regular business hours to accept service of notice, documents, and other correspondence. If you are frequently away from your physical business address, this can be problematic. Conversely, if you use your home address to establish your eligibility to serve as a statutory agent, your home address becomes a matter of public record and easily obtainable. Finally, whether you use your business or your home address, moving can trigger the need to update the statutory agent address with the Arizona Corporation Commission.
Creating an Arizona LLC begins with filing articles of organization with the Arizona Corporation Commission (ACC). When you create the articles of organization for your LLC, you will need to have your statutory agent in place as that information is required to be included. If you decide to change your statutory agent at any time, you will need to update the ACC with the new information. The following information, however, will get you started with appointing your Arizona LLC statutory agent.
The State of Arizona requires your designated statutory agent to formally accept the appointment, in writing, by signing a Statutory Agent Acceptance Form. The form can be located and downloaded from the Arizona Corporation Commission’s website. The statutory agent must sign the form, meaning if an individual has been appointed, that individual must sign the form. If an entity has been appointed as a statutory agent, then an authorized agent for that entity may sign the form.
Note: If you are making a change to an existing statutory agent, you must file a Statement of Change form with the ACC. That form can also be found on the ACC website.
By far the fastest and easiest way to submit your statutory agent forms, including the Statutory Agent Acceptance Form, is online using the Arizona Corporation Commission “eCorp” website. In addition, if you choose this option, it is advisable to file your statutory agent documents at the same time you file your statutory agent appointment documents (if applicable) and your LLC formation documents.
To use the eCorp online filing option, you will first need to create an account. The eCorp website is relatively easy to navigate and provides all the forms and instructions necessary to comply with the Arizona statutory agent appointment and acceptance requirements.
If you prefer to file the documents appointing your statutory agent via mail, you may do so by drafting a cover letter and sending that, along with the documents to:
Arizona Corporation Commission
Corporations Division – Examination Section
1300 W. Washington St.
Phoenix, Arizona 85007
You may also file your statutory agent documents in person at the Arizona Corporation Commission during regular business hours at the following address.
Arizona Corporation Commission
Corporations Division – Examination Section
1300 W. Washington St.
Phoenix, Arizona 85007
There are no fees involved in appointing a statutory agent or filing the Statutory Agent Acceptance Form unless you need expedited service. This typically happens when you do not file the appointment documents and acceptance form at the same time. If you need expedited service, the fees are as follows:
You have the option to change your statutory agent at any time and for any reason. However, if you choose to do so, you are required to update the Arizona Corporation Commission and provide them with a Statement of Change form along with a new Statutory Agent Acceptance Form signed by the replacement agent. Both forms can be found on the eCorp website. The required forms can be submitted online through the eCorp website as well.
You may also file the documents required to change or update your statutory agent by mail or in person at the following address:
Arizona Corporation Commission
Corporations Division – Examination Section
1300 W. Washington St.
Phoenix, Arizona 85007
As an owner of an Arizona LLC, your ultimate goal is to operate a successful and profitable business. Every decision you make relating to your LLC will potentially impact that goal. That includes deciding who to appoint as your statutory agent. First, you will need to decide whether to appoint an individual or a third-party service to act as your statutory agent.
There are several benefits to appointing an Arizona statutory agent service as your statutory agent instead of relying on an individual. Keeping in mind that the function of your statutory agent is to accept service or important documents and inform you of their receipt in a timely manner, the benefits of using a statutory agent service often outweigh the minimal cost involved.
As an Arizona LLC, you are responsible for designating a statutory agent. That agent, in turn, is responsible for accepting and passing on potentially time-sensitive documents or notices. Courts and regulatory agencies will hold you to response and document request deadlines if it appears that you were properly notified by serving your statutory agent. Using a statutory agent service provides you with peace of mind by ensuring that your agent will always be available to receive important documents and will inform you of their receipt immediately.
The nature of some businesses means that the business address will necessarily be public; however, not all businesses openly advertise their address. For example, if your Arizona LLC is a business that operates out of the home of a member and uses a P.O. Box for the business, you may prefer to keep the physical address private. Likewise, if you appoint a member or manager as the statutory agent, a physical address for the member/manager will need to be included and will become a matter of public record. Using a statutory agent service allows you to keep those addresses private.
Staying in compliance with local, state, and federal laws and regulations can seem like a full-time job for a business owner. Failing to comply, however, can shut down your business. The absence of an appointed statutory agent (and corresponding acceptance form), for instance, will result in the administrative dissolution of your LLC in Arizona.
Appointing a statutory agent service is an easy way to ensure that you comply with the agent requirements and stay informed about other important compliance issues. Most regulatory agencies provide you with plenty of advance notice when something needs to be updated or addressed; however, that notice is only helpful if you receive it in a timely fashion. That’s where using a statutory agent service comes in handy.
In today’s world, businesses are not limited to traditional working environments, hours, or methods of doing business. That can make it difficult for an individual to be available to fulfill the role of statutory agent. On the other hand, using a statutory agent service offers you and your business the flexibility you may need to operate on your schedule, travel, and focus solely on the business.
Running an Arizona LLC involves completing and filing a significant amount of paperwork. Appointing a third-party statutory agent takes some of that paperwork off your plate. Your statutory agent service will complete and maintain all paperwork relevant to the job, so you do not have to worry about it.
Appointing a statutory agent for your Arizona LLC is a legal requirement; however, it does not need to be a difficult requirement to fulfill. A statutory agent service is easy to appoint and offers numerous important benefits in addition to fulfilling your legal obligation to have an agent in place.
This portion of our website is for informational purposes only. Tailor Brands is not a law firm, and none of the information on this website constitutes or is intended to convey legal advice. All statements, opinions, recommendations, and conclusions are solely the expression of the author and provided on an as-is basis. Accordingly, Tailor Brands is not responsible for the information and/or its accuracy or completeness.
Shai Shmarel started his life as a corporate lawyer before switching to being an SEO and Content Manager at Tailor Brands. He has experience in managing companies, rankings SERPs and covering a content-driven approach for all things legal, business and marketing. When off work, you’ll usually find him chilling with a cup of coffee and a book in the desert.
Products
Resources
@2024 Copyright Tailor Brands