A statutory agent (known as a registered agent in other states) is the contact person for your company that receives mail correspondence from the state on your behalf. If you plan on starting a business in Arizona, you will be required to elect a statutory agent.
While your company may choose any individual for this role, we recommend choosing someone with experience with businesses or corporations to help streamline the paperwork process. In addition, an Arizona statutory agent should be reliable, responsible, and have a physical street address within state limits.
What is the role of a statutory agent?
The role of a statutory agent is to receive service of process-this is a legal term that essentially means to obtain official paperwork from anyone who wishes to speak with your company. This can include lawsuits, subpoenas, or other documents received by any government entity within the state of Arizona.
The statutory agent is then responsible for forwarding mail from the official office address on file to you or your attorney and acts on their behalf.
Who can be a statutory agent?
There are a few options to choose from when appointing a statutory agent:
- A business employee or owner can serve as a registered agent.
- An individual that you trust to receive official business documents on your behalf with a physical address (P.O. Box is not allowed)
- A third-party statutory commercial agent service Northwest Registered Agent can help take the burden of managing tax forms and annual reports off of your plate.
If you have decided that you would like a third-party agent, you must make sure several criteria are met before making your final decision. The first is to make sure the agency has physical offices in Arizona–this means that someone from their office will be present in person on business days for all statutory agent correspondence.
Their physical presence can help avoid any misdelivery or unnecessary delays in delivering a document that can be crucial to your business.
In addition, look into how long they have been in business and what kind of reputation they have with their clients: you will want an agent who will be easy to contact. An established company is more likely to fulfill your needs as a client, so make sure to research any company before deciding on one.
Arizona registered agent requirements
Arizona requires each statutory agent to meet the following criteria:
- Must maintain a physical address in the state of Arizona
- Be over 18 years old.
- Must ensure documents are delivered and processed in a timely fashion.
- Must be available from regular business hours from 9 AM-5 PM
What are the best registered agent services in Arizona?
While you can choose to go with a local statutory agent service in Arizona, here are some of the most popular commercial registered agent services:
- Northwest Registered Agent is one of the leading registered agent service providers in Arizona. They have been around since 1998 and started with registered agent services but have expanded into other services like online limited liability company processing, official mail forwarding,
- ZenBusiness specializes in fast filings speeds and offers a registered agent service as well. In addition, Zenbusiness also provides additional services like DBAs, websites, and EINs.
- Incfile is a popular online filing service that has grown in popularity recently thanks to their $0 plus state filing fees package. They are known for their online LLC formation services and offer filings for nonprofits, S and C Corps, and various tax and compliance filing options.
Benefits of using a commercial registered agent company
One of the main benefits of using a commercial resident agent company is that it is much faster and more reliable than using a residential provider. Your business will be your registered agent, so you don’t have to worry about misdelivery or incomplete service of the process.
A commercial resident agent company has years of experience helping other businesses in situations just like yours. They also have the resources and staffing necessary to receive the services of the state properly.
LLC’s that use third-party registered agents are often more difficult for the state to locate because they have more than one possible registered agent. This can lead to your service of process being delayed or even lost inadvertently.
Managing companies across multiple states
A commercial registered agent service can help make managing LLCs across different states much more accessible since each state requires a registered agent based in the state of incorporation. In addition, companies like Northwest Registered Agent can serve as your one point of contact for registered agent services if you decide to expand outside of Arizona.
Commercial registered agent companies are required by law to have a physical office space in Arizona, so you can be assured that your documents will always be handled properly.
A third-party registered agent service can help keep your address from being on public records, making it more difficult for people to find you and send you junk mail.
You can have a registered agent forward any business mail that comes to their office straight to the address of your choosing. No one else will be privy to your business information.
Commercial registered agents are experts at what they do, so they also include other small business services such as:
- Mail forwarding
- Annual report reminders
- Scanned and stored legal documents (avoid managing your paperwork)
What to do after selecting an Arizona statutory agent service?
1. Perform an Arizona business name search
Once a business decides who will serve as their registered agent, they can select an Arizona business name. The Arizona Corporation Commission website maintains public records of companies that have corporations filed in the state. Be sure to choose a unique business entity name to avoid running into issues with the Secretary of State.
One of the best ways to develop a unique business name is by using a business name generator.
2. Fill out Articles of Incorporation
Once you have researched that your Arizona business name is available, the next step is to fill out the Arizona Articles of Incorporation form.
The following information is required on the form:
- Entity Name
- Statutory Agent
- Principal Address
- Manager or Member Managed LLC
If you are starting a different type of entity other than an LLC like a Corporation or Nonprofit, be sure to download the appropriate form from the Arizona Corporation Commission site.
3. File Articles of Incorporation
You can file a corporation online directly with the Arizona Corporation Commission for $50 online, or you can send the incorporation form by mail to the following address:
Arizona Corporation Commission
Corporate Filings Section
1300 Washington St
Phoenix, AZ 85007
4. Register a domain name
Registering a domain name early is essential because it ensures that someone else can’t take it while you’re putting your business together. Our domain name check tool will help you search for available names quickly.
5. Register Arizona name reservation form
If you have your business name picked out but aren’t ready to register the business, one option is to file a Name Reservation form with the Arizona Corporation Commission.
Name reservations are effective for 45 days and there is a $45 cost to file.
6. Prepare an operating agreement
An operating agreement is a document that spells out the requirements, privileges, and duties between business owners. It contains how to handle everything from day-to-day operations to what happens if one of the partners dies or wants to leave the business. The operating agreement is essentially a partnership agreement for different types of businesses.
This should be written by an attorney and reviewed by an attorney. Each state has different laws governing operating agreements, which must be considered when creating one. Operating agreements are sometimes referred to as partnership agreements or member agreements, even though they may apply to non-partnership entities such as LLCs.
7. Get a tax ID from the IRS
A tax id is a reference number assigned by the IRS used when tax returns are filed. The tax id numbers are also referred to as an Employer Identification Number or EIN.
Tax ids can be obtained from the IRS website in a few simple steps.
8. Annual filings
Unlike other states, Arizona does not require LLCs to file Annual Reports. Corporations, on the other hand, are required to file Annual Reports through the Arizona Secretary of State.
How do I get an Arizona Certificate of Good Standing?
A certificate of good standing can be obtained through the Arizona Secretary of State service feature. The cost of a certificate is $45.
Does a sole proprietor need a registered agent?
In most cases, they do not. Sole prop businesses have a straightforward structure in Arizona, and there is no legal requirement to be statutory with the state or any local agencies.
How do LLCs change the Statutory Agent’s address?
To change a statutory agent’s address in Arizona, you can submit a statement of change form and file it with the Arizona Corporation Commission.
Do corporations require statutory agents?
Yes, every Arizona corporation, including LLCs, C-Corps, etc., is required to have a registered agent with the state.
How does an Arizona statutory agent resign?
An Arizona statutory agent must submit a statutory agent resignation form with the Arizona Corporation Commission.
How do I change my Arizona statutory agent?
There may be situations where you need to change your registered agent if you have issues getting correspondence in a timely fashion.
You can change your Arizona statutory agent by submitting a statement of change form to appoint a new agent.
What is the difference between a statutory agent and a registered agent?
Registered agents are sometimes referred to as statutory agents in states outside of Arizona. The term “Statutory” is based on a statute or law.
The term “registered” is based on the actual form used to register with the state. Registered agent services do more than act as your representative for service of process; they also help you fulfill your legal obligations such as filing annual reports and opening new bank accounts.
How much does a registered agent cost?
Registered agent cost will depend on the state where you incorporate. In general, you can expect to pay $150-$300 per year for a registered agent service.
Many new businesses start with one corporate officer, usually the owner, serving as both president and secretary. If that person is also acting as your registered agent, it’s generally safe from legal liability.
Can I use a virtual office as a registered agent?
A virtual office is a business address that offers you the appearance of having an office and isn’t actually in your control. When registered agents are required, we strongly suggest using a commercial registered agent service instead of a virtual office for liability reasons. Also, virtual offices are a bit of a grey area when it comes to state statutes. Check with the Secretary of State in Phoenix to get the official ok.
Is the registered agent liable for the business?
No, the only thing the registered agent could be liable for is negligence in the performance of their duties. Making sure mail correspondence is sent to the business owner in a timely fashion is the most common type of negligence scenario.
Can I be my own Arizona statutory agent?
As long as you meet the Arizona state requirements for statutory agents, you can be your registered agent.
Some of the advantages of being your own statutory agent are:
– Ease of responsibility
– You are familiar with all details about the company, and if you need to start legal proceedings against yourself, you can be involved fully.
The disadvantages of being your own statutory agent:
– Missing a delivery if you are using your home mailing address
– The requirement to be available during business hours
– If expanding out of state, you will need to establish a new statutory agent
How does a business choose a statutory agent in Arizona?
A business officially appoints a statutory agent in the state of Arizona by filling out the Arizona Articles of Incorporation form and filling it out with the designated statutory agent listed.
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