Updated on October 25th, 2021
A Georgia multi-member LLC operating agreement is completed by the owners (called “members”) of an LLC to define the entity’s structure and establish terms for how the business will be governed internally. It acts as a mechanism for mitigating member disputes and other issues that might arise throughout the course of operations. It also aids in protecting the members from personal liability if the company gets sued.
Georgia does not require limited liability companies to draft an operating agreement. However, without the contract in place, the LLC’s activity will be regulated by default state provisions, which could prove unfavorable to the company’s business objectives.