A Texas limited liability company operating agreement can be adopted by companies with only one owner or those owned by partners or multiple owners. Since both types of limited liability companies may use this agreement, a description of the internal membership structure will be required for its completion as one of the many attributes defining this entity. Texas LLC members will need to determine the policies their company will adopt regarding this structure and its behavior in the industry.
Discussing such subjects and then signing a document attaching the resulting provisions to membership will require deliberate research and consultation on the part of each member. Such due diligence is strongly recommended as early in the negotiation process as possible.
Is it Required in Texas?
No. Limited liability companies in Texas are not required to keep an operating agreement in effect. A Texas limited liability company may form and operate without this contract between members in place; however, many would advise that a notarized operating agreement is put in place when organizing the Texas entity.
Templates (2)
Single-Member LLC operating agreement – Texas LLCs with just one (1) member should use this agreement.
Multi-Member LLC operating agreement – Texas LLCs with two (2) members or more should use this agreement.
State Definition
“(1) ‘Company agreement’ means any agreement, written or oral, of the members concerning the affairs or the conduct of the business of a limited liability company. A company agreement of a limited liability company having only one member is not unenforceable because only one person is a party to the company agreement.”
