If you`re considering forming a limited liability company (LLC) in Indiana, you may have heard about a newer model known as the series LLC. This unique form of organization allows for each sub-company, or « series, » to have its own assets, liabilities, and members. However, before proceeding with a series LLC, it`s essential to draft a comprehensive operating agreement that outlines the rules and expectations for each series.

First and foremost, your operating agreement should address how each series is managed, including the roles and responsibilities of its members and managers. Indiana state law requires that every LLC have at least one member, and that member can also serve as the manager. However, the operating agreement can specify whether additional members or managers are allowed and how decisions are made by the series.

Next, your operating agreement should cover the finances of each series. A series LLC allows for the segregation of assets and liabilities between series, so it`s crucial to outline how each series`s funds will be managed and distributed. This can include rules for allocating profits and losses, as well as procedures for making contributions or withdrawals from each series`s account.

Another important aspect of your operating agreement is how disputes will be handled within and between series. This can include requirements for mediation or arbitration, the appointment of a neutral third-party arbiter, or even dissolution of the series if necessary.

Finally, your operating agreement should address any necessary legal requirements specific to Indiana law, such as annual reports and filings. It`s also essential to ensure that your agreement is in compliance with the Indiana Code and any requirements set forth by the Secretary of State.

In conclusion, a series LLC can be a great option for organizing multiple business ventures under one umbrella. However, a comprehensive and thoroughly drafted operating agreement is crucial to the success of each series and the overall LLC. Be sure to consult a qualified attorney to help you navigate the legal complexities and draft an agreement that meets your unique needs.