MADISON, Wis. (April 10, 2012)
As April 17, better known to most of America as Tax Day, nears, entrepreneurs may be scrambling to get their paperwork in order, make sure that they have all necessary forms and haven’t missed any deadlines. Instead, they could be relaxing, knowing that all their important documents are squared away and filed. BizFilings, a leader in online incorporation, is reminding entrepreneurs this tax season that the difference between those two scenarios may come down to acting as your own registered agent versus choosing to appoint a service company to do the hard work for you.
A registered agent may not sound like a familiar term, but all companies that incorporate their businesses are required to appoint an individual for this task, whether it’s a member of the company, a board member or a service provider who specializes in this role. This appointed person or service company is designated to receive important paperwork for the company, tax forms and service of process (legal filings or proceedings). The registered agent will receive all official documents from the state government for tax and legal purposes, and the agent will forward all documents along to the business entity.
Often, first-time business owners choose to serve as their own registered agent. While that seems like it may be an easy task, it may present more challenges than the average entrepreneur recognizes. It can be a heavy drain on an already busy company owner, and can lead to embarrassing situations that may damage a small business’ reputation. That’s where appointing a professional service company as your registered agent can come in handy, with experts to ensure entrepreneurs meet important deadlines and are up to date with current tax requirements.
“The registered agent is the person who receives any legal summons, like a lawsuit, as well as important state tax documents,” says Karen Kobelski, executive member of the leadership team at BizFilings. “No one wants to have their place of business, or worse their home, be the place where the sheriff comes to hand you a lawsuit — and for the busy entrepreneur, you don’t want to find out in early April that you accidentally threw away an important tax document months ago.”
See more from Karen on registered agent benefits at BizFilings Small Business Roundtable.
While small business owners can act as their own registered agent at their own risk, a service provider who specializes in these tasks has experience, expertise and compliance software to make sure nothing falls through the cracks. Appointing BizFilings as a registered agent means entrepreneurs can count on getting all important state tax documents and updates in advance of events and due dates.>/p>
BizFilings is a full-service, online incorporation service provider, offering small business owners a fast, easy, and economical way to form a corporation, limited liability company(LLC), or other business structure online or by phone. BizFilings also offers a full range of business filing and compliance products, including nationwide Registered Agent Service, helping keep businesses in compliance with state regulations. BizFilings can be found online at http://www.BizFilings.com. BizFilings is a part of Wolters Kluwer Corporate Legal Services, a business of Wolters Kluwer, a market-leading global information services company.
Wolters Kluwer had 2011 annual revenues of €3.4 billion, employs approximately 19,000 people worldwide, and maintains operations across Europe, North America, Asia Pacific, and Latin America. Wolters Kluwer is headquartered in Alphen aan den Rijn, the Netherlands. Its shares are quoted on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices.