A Rhode Island multi-member LLC operating agreement provides clarity by stating the intentions of an LLC when it has more than one owner. It defines the company’s operational strategies, tax elections, and procedures for unforeseen circumstances like the sale of the business, member incapacity, or dissolution.
This form is useful because it allows the owners to operate how they wish, and they don’t have to default to the state’s default regulations. Some financial institutions may also request this document when the LLC wants to open a bank account or secure a loan, ensuring the LLC can complete its desired actions without impediments.
