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The fact is that in almost every state LLC statute there is specific language that states if the members and managers of an LLC do not maintain the formalities of having an LLC, that the court may not pierce the corporate veil on that point alone. Many websites that are trying to sell you a bunch of LLC forms and services will tell you that if you don’t have a real solid single member LLC operating agreement that you will lose your protection. The reason why the single member LLC was created was for a single owner to be able to have personal asset protection from the actions of the LLC without the corporate formalities. The laws governing an LLC in your state are the laws, regardless of what your single member LLC operating agreement says. Just remember: your asset protection lies in keeping yourself separate from your single member LLC and the strength of your state’s LLC provisions.
If you’re looking for a no-nonsense company to help you form and maintain your LLC—and you don’t want to worry about overpaying for a bunch of junk you don’t need—you’ll love working with our company.
The way LLCs’ veils get pierced is if a single member LLC owner does not maintain true separation from the LLC. The best way to protect your assets from the actions of a single member LLC is to keep everything completely separate. If you have two members fighting amongst themselves the manager managed LLC operating agreement would have everything to do with the entire court ruling in that case.
What if after reading this, I choose to believe the 20 other websites selling LLC operating agreements? When forming an LLC with the State, a lot of people would say you are supposed to hold a first meeting, and record the minutes of the LLC meeting.
For single member LLCs, you’re basically regurgitating the same things in your single member LLC operating agreement.


For multiple member LLCs, the LLC meeting to hold the initial LLC minutes may be worth your time to over document your agreement amongst the members.
If you have not established an LLC operating agreement, please take the time to use one of our free LLC agreements.
Now there are some different ways you could structure your LLC agreement, but if you need these clauses, you shouldn’t be buying a form for $30 anyway… You should be consulting an attorney.
We’ve provided a free single member LLC operating agreement template that is a complex fill in the blank document that can be further customized, or for those of you desiring simplicity, you can use our print and sign single member LLC operating agreement sample as well.
Translation: if you are a single member LLC and pay for all your personal stuff out of the LLCs checking account, you are opening yourself up to a judge possibly saying you and the LLC are the same entity.
Or if there was a dispute of the actions of one member or one manager and the validity of an action of that member or manager with an outside party, you would see the LLC operating agreement come into play. But again, you’ve already covered all this in your articles of organization and operating agreement. Because things are all great for you and your LLC now, but when the crap hits the fan, that’s when things get ugly and people quickly interpret verbal communications and agreements differently. It won’t hurt and if anything, if you take a little bit of time and read through ours and sign it, you’ll be smarter than before you started. The single member LLC operating agreement could say some fancy things like allowing its members to pay for personal things out of the company checking account, but at the end of the day, that behavior will open you up to a judge deciding your fate. It’s simple, if you need money from the company, the company pays you a lump sum distribution on a regular basis to cover these expenses, or you pay yourself a regular W2 wage.
We provide a free sample LLC minutes template here to memorialize your minutes of first meeting for your LLC.


We’ve taken a lot of effort to simplify and minimize excess and obtuse language often found in single member llc operating agreements. We go over the filing with you before we proceed to make sure we’re doing what exactly what you really need done. No single member LLC operating agreement is going to save you from your opponent piercing the corporate veil if you use your LLC bank account to pay for personal items like entertainment, food, personal vacations, etc… If you use your LLC bank account as your personal piggy bank, you will lose your liability protection regardless of paying $5,000 for a single member llc operating agreement.
If the single member LLC has expenses, the single member LLC pays for those expenses out of the single member LLC checking account. Most States have laws that say something like: If you don’t follow any internal formalities of the LLC, the default rules will apply and you will NOT lose your corporate veil you are trying to keep. You could draft a 30-page single member LLC operating agreement and a 5-page articles of organization document for your LLC, but the state laws and court rulings will trump any single member LLC operating agreement if the agreement is contradictory to the LLC law of your state. As you’ll see on the initial LLC minutes meeting template below, you are basically just re-wording everything you’ve already put into writing in the articles of organization and operating agreement. The funny thing about single member LLC operating agreements is that they almost NEVER enter a court. When we form LLCs for $100 we specifically include the additional language this organizational LLC meeting minutes may cover in your drafted articles of organization and operating agreement. Ask your attorney how many times he or she has had to produce a single member LLC operating agreement in court.



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