A New York single-member LLC operating agreement is a mandatory legal document for individual business owners, as required by state law. This agreement, which must be executed within 90 days of filing the Articles of Organization with the Department of State, outlines the sole member’s rights, responsibilities, and the LLC’s operational aspects, including taxation, record-keeping, and dissolution procedures.
Its importance lies in safeguarding the owner’s personal assets from the business’s liabilities and debts. Failure to have this agreement, which cannot take effect before the filing date, risks both the business and personal finances of the owner.
Statute: New York Limited Liability Company Law.