If you’re starting a business in Arizona, you may be wondering if it’s possible to be your own registered agent. After all, a registered agent is responsible for receiving important documents from the state, such as service of process or tax notices. It can save you money to act as your own registered agent instead of hiring one. But is it the right choice for your business? Let’s take a look at the pros and cons of acting as your own registered agent.
The Pros of Acting as Your Own Registered Agent
One of the biggest advantages of acting as your own registered agent is that you don’t have to pay any fees. Most companies charge an annual fee for their services, which can add up over time. By being your own registered agent, you can save money on this expense.
Another advantage is that you will always be aware of what is going on with your business. When someone else acts as your registered agent, they will handle all communication with the state and forward any important documents to you in a timely manner. However, there may be some instances where they do not pass on information quickly enough or accurately enough for legal purposes. By being your own registered agent, you are in complete control of who receives information from the state and when they receive it.
The Cons of Acting as Your Own Registered Agent
One of the biggest drawbacks to acting as your own registered agent is that it requires more work than hiring someone else to do it for you. You must be available during regular business hours (or longer if necessary) to accept documents from the state and make sure all communication is handled properly. This can become time consuming if there are multiple documents or tasks that need to be taken care of on a daily basis.
Another potential problem with being your own registered agent is that if the state discovers that there has been a lapse in communication or paperwork filing due to negligence on your part, it could lead to fines or other legal consequences for both yourself and your business. This could ultimately cause more problems than simply hiring a professional who knows how to handle these types of issues correctly and efficiently without risking any legal repercussions down the line.
Acting as your own registered agent for an Arizona business can have its advantages—like saving money—but there are also some risks involved too like running into legal trouble due to negligence or having difficulty managing all communications between you and the state in a timely fashion . Ultimately, whether or not this option makes sense depends on how comfortable you feel handling these types of tasks yourself versus handing them off to someone else who specializes in this area. If done correctly though, being our own registered agents can help us stay informed about our businesses while also keeping our costs down at the same time!