LLC Operating Agreement: What It Is and Why Banks Ask for It
An Operating Agreement records who owns your LLC and how it is run. See what it contains, whether a single-member LLC needs one and who asks for it.
Does a single-member LLC need an Operating Agreement?
Yes, you should have one. An Operating Agreement is the internal document that states who owns the LLC, how it is managed and how money is distributed. It is not filed with the state, but banks, payment platforms and marketplaces often ask for it, and it helps show that the company is separate from you personally.
1What an Operating Agreement contains
- The company name, state and formation date.
- Each member and their ownership percentage.
- Whether the LLC is managed by its members or by a manager.
- How profit is distributed and how decisions are made.
- What happens if a member leaves or the company closes.
2Who asks for it
Financial platforms use it to confirm who owns and controls the company. Marketplaces and payment processors may request it during verification, together with the formation document and the EIN letter.
3Is it required by law?
A few states, including New York, California and Delaware, expect every LLC to have one. Most others do not require it but apply default state rules when none exists. Those default rules may not match what you want.
4Single-member and multi-member agreements
A single-member agreement is short and confirms that you own 100% of the company. A multi-member agreement matters more, because it sets each partner's share, voting rights and what happens in a dispute.
Every Be Filing formation plan includes a ready-to-sign Operating Agreement.
Official sources
Be Filing Inc is an IRS Certifying Acceptance Agent. This guide is general information, not legal or tax advice, and rules can change. Last reviewed in November 2026.
Quick questions, answered
Short, direct answers. If yours is not here, NIA or our team will help.
Ask on WhatsAppDo I file the Operating Agreement with the state?
No. You sign it and keep it with your company records.
Can I write my own Operating Agreement?
Yes, but it should match your state's LLC law and your real ownership structure.
Can I change the Operating Agreement later?
Yes. Members can amend it at any time by signing an updated version.
Does the Operating Agreement need a notary?
No. Signatures of the members are enough in every state.
Related guides
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