Frequently Asked Questions

What powers do the managers of an LLC have? Do the managers act individually, or as a group?

Generally, the managers of an LLC only have the powers listed in the Operating Agreement. Operating Agreements often provide the managers with broad authority.

Many Operating Agreements allow individual managers to make decisions about the day-to-day operations of the LLC and execute contracts on behalf of the LLC, in the manner of officers of a corporation, but the managers must act as a group when making certain key decisions, such as electing to convert the LLC into a corporation.