Updated on November 29th, 2021
A Texas multi-member LLC operating agreement defines important terms, obligations, and regulations that govern the internal affairs of a limited liability company with two (2) or more members. Even though every business is different, there are provisions that should always be included in an operating agreement, as they will help maintain the limited liability status of the company and avoid internal and external disputes.
Clauses that should always be included in an LLC operating agreement are member information, contributions and distributions, indemnification, type of management, transfer of interest, and dissolution of the company. A multi-member operating agreement doesn’t need to be filed with the Secretary of State; the members and managers should each have a copy, and a copy should be kept at the principal address of the LLC.