Adding a member to a Georgia LLC is usually pretty simple. Here are some things to keep in mind.
Yes. It’s common for an LLC to add or remove members as the business evolves. You will need to update your internal records and possibly file an amendment with the Georgia Secretary of State.
To add a member to your LLC, you will need to amend your Georgia LLC operating agreement. Your operating agreement contains your members’ names and addresses, so when you add a new member, you’ll need to update the operating agreement with the new member’s information.
To change your LLC operating agreement, you should follow your operating agreement’s own rules for how it can be amended. This process could look different depending on the policies your LLC has in place, but usually, you’ll need to do the following:
Not typically. You’re not required to include member information on the Georgia LLC Articles of Organization, so if you didn’t include your members’ names in your articles, you don’t need to file an amendment when you add a member. However, if you did include member information in your articles of organization, you will need to file a Georgia LLC amendment and pay a $30 filing fee ($20 online).
Yes, however, adding a member to a single-member LLC (SMLLC) requires one extra step. When you add a member to a single-member LLC, your business becomes a multi-member LLC, which has a different default tax classification with the IRS—single-member LLCs are taxed as disregarded entities by default, whereas multi-member LLCs are taxed as partnerships. When you add a member to what was formerly a single-member LLC, you’ll need to file IRS Form 8832 to change your entity classification.
