When Is A Idaho Registered Agent Required?
A registered agent (also referred to as a resident agent or statutory agent in some states) is an individual or entity designated by an Idaho corporation, Limited Liability Company, or Limited Liability Partnership to collect legal documents and notifications on behalf of the entity. If you are filing your entity for the first time in Idaho or you are an out-of-state entity filing to transact business in Idaho, you are required to appoint a registered agent with an office located in Idaho.
Idaho Registered Agent Requirements
The requirements for an entity to have a registered agent are formed under Idaho Statutes 30-21-4, which mandate that registered entities will have and continuously maintain a registered agent and registered office within the state. The agent must also be available during normal business hours to forward any service of process, notice, or demand pertaining to the entity to the appropriate individuals.
A registered agent in Idaho can be any resident of the state who is 18 years or older, a registered Idaho domestic business entity, or a foreign business entity authorized to do business in the state. An entity may not be its own agent.
The registered agent needs to have a physical street address (often referred to as a registered office or principal office) in the state of Idaho. This can be your home address, the address of a family member, an accountant or attorney, the address of the business, or an Idaho registered agent service. Any physical address in the state may be used, but PO Boxes and mail drop services are not acceptable since someone has to be available to sign for documents.
The agent will also need to be available to receive Service of Process on behalf of the business during normal business hours. Service of process refers to the delivery of legal documents, often a summons, subpoena, or lawsuit filed against a business entity.
Not only is a registered agent required when forming an LLC or corporation, but you must maintain a registered agent to keep the entity in compliance. Besides the requirement of designating a registered agent at the time of formation, there are several reasons to have one:
- Not Receiving Legal Notices – If the listed registered agent cannot receive legal notices, this lawsuit will still proceed. If a process server is unsuccessful in reaching the company’s registered agent, the court can proceed with the case. This could result in a judgment being placed against the business without the owners knowing.
- Administrative Dissolution – In Idaho, if the business doesn’t have a registered agent, the Secretary of State can dissolve the entity.
- Penalties and Fees – By not maintaining a current registered agent, penalties and state fees can be levied against the entity and, in some cases, the owners too. Once an entity is no longer in good standing with the state, the owners may lose their liability protection and are at risk personally.
Common Questions About Idaho Registered Agents
How is a registered agent appointed in Idaho?
The registered agent appointment is first made in the entity formation documents (Certificate of Organization or Articles of Incorporation) but can be changed at any time.
What types of businesses are required to have Idaho registered agents?
A registered agent is required by the Idaho Secretary of State when filing for a business entity such as a corporation, Limited Liability Company (LLC), and Limited Liability Partnership (LLP).
Sole proprietorships and general partnerships do not need a registered agent.
What are the duties of an Idaho registered agent?
The primary responsibility of a registered agent in Idaho is to accept important legal notices and tax documents and then forward them to the appropriate person in the business.
Should you be your own Idaho registered agent?
While any individual, business owner, LLC member, officer, director, etc., can be a registered agent, there are reasons to hire a registered agent service.
Privacy – The address of the registered agent becomes public record and is available for anybody to see. This can be especially concerning if someone is doing business on the side, and they don’t want their employer to know about the business. Also, if the business is sued, the notice will be delivered to the address on file. This could mean employees, customers, or even neighbors witnessing the event. There is always the remote possibility of a vindictive litigant or upset customer showing up at your house.
Availability – Idaho requires the registered agent to be available at the principal address during regular business hours. The biggest issue with availability, especially if a home address is used, is if the agent goes on vacation or is otherwise away for some period of time and can’t be reached.
If the Business Expands to Additional Locations – If the business has a physical presence in multiple states (offices, warehouses, employees, etc.), a foreign entity registration will often need to be filed with those states. A registered agent will need to be appointed with a physical address in each state.
Annual Notices – Registered agent services provide state of Idaho annual report reminders and updates on any state requirements.
How much does an Idaho registered agent service cost?
Depending on the services provided, a commercial registered agent service typically costs between $100-$150 per year. Northwest Registered Agent is a popular service that charges $125 per year and offers several extras such as document scanning and mail forwarding and Harbor Compliance has a basic service starting at $99.
Some entity formation companies, like IncFile, includes registered agent service at no cost for the first year when you register your corporation or LLC with them.
How do you change your Idaho registered agent?
A registered agent can be changed by submitting the Idaho Change of Registered Agent Form along with the state filing fee to the Idaho Secretary of State.
In addition to filing the form, if your entity has one, be sure to update the LLC operating agreement or corporation bylaws with the new name and registered agent address.