Limited Liability Companies For Dummies, 4th Edition

Chapter 11

Membership Moves: Mastering LLC Transfers

IN THIS CHAPTER

Understanding the basics of transferring membership

Setting up your operating agreement to manage transfers

Creating individual buy-sell agreements

Finalizing and amending your operating agreement

In Chapter 8, I explain the basics of an operating agreement and help you start creating your own. In Chapter 9, I go over how to choose your partners (carefully!) and structure your partnership. In Chapter 10, I show you how to bring on investors. After reading these chapters and putting your plan in place, sometimes things just don’t progress as intended. In this chapter, I show you what to do when your plans go awry and a partner needs to go. I will also show you how to finish and amend your operating agreement when needed. Think of this chapter as your insurance plan: You structure your company and your operating agreement now in a way that allows you to get out of future problem situations with your partners pain-free.

I know this is a touchy subject to bring up with your partners — especially when you’re just getting ...