How do I Change a Member on an LLC in WI?

By Salvatore Jackson

Wisconsin law regulates the creation and maintenance of all businesses organized in Wisconsin, including limited liability companies, or LLCs. The owners of an LLC are called members. During the life of an LLC, it may become necessary to either add or remove LLC members. Neither the Wisconsin Department of Financial Institutions nor the Wisconsin Department of Revenue requires LLCs to disclose either a list of their members or changes to the membership of an LLC.

Step 1

Determine whether the LLC has an operating agreement that specifically regulates the admission and removal of members. An operating agreement is a written contract formed among members of an LLC that regulates the management of an LLC. An operating agreement will typically provide a method for adding and removing members. If there is no operating agreement, the Wisconsin Limited Liability Company Act provides default procedures for adding and removing members.

Step 2

Follow the voting procedures of the operating agreement if there is one. Typically, an operating agreement will require either a majority or unanimous consent of members to admit a new member.

Ready to start your LLC? Start an LLC Online Now

Step 3

Contract to have the new member acquire an interest in the LLC if there is no operating agreement and you are adding a member. Under the default procedures found in the Wisconsin LLC statute, any individual who acquires an interest in the LLC automatically becomes a member. There is no provision requiring a vote of LLC members to admit a new member.

Step 4

Have the member submit written notice of resignation to the LLC or conduct a vote among members of the LLC if there is no operating agreement and you are removing a member. Under the Wisconsin LLC statute, more than 50 percent of LLC members must approve of the removal of a member.

Ready to start your LLC? Start an LLC Online Now
How do I Remove LLC Board Members?

References

Related articles

What Are the Advantages of an LLC in Michigan?

There are a number of advantages to forming a Limited Liability Company (LLC) in Michigan. Michigan changed its laws related to LLCs in 1997 in order to create a more favorable business climate in the state and in doing so, it adopted a number of rules that make forming an LLC in Michigan easier and cost effective for more types of businesses.

How to Leave an LLC

Death, bankruptcy, voluntary withdrawal and assignment of interest are the primary ways to leave a limited liability company. Look to the articles of organization or the operating agreement for direction, as these documents usually set out all the ways a member may leave the LLC and prescribe a procedure for each. The various ways to leave an LLC are essentially the same across state jurisdictions and apply to members whether they are individuals or business entities.

Maryland's LLC Dissolution Law

By properly dissolving your limited liability company, you can ensure that creditors and state agencies are notified and your finances and professional reputation are protected. An LLC is a common business structure that combines the management flexibility of a partnership with the limited liability of a corporation. The operating agreement or articles of organization may provide when and how the LLC may be dissolved and how you should distribute its assets. Maryland law regulates how LLCs are dissolved if not spelled out in the operating agreement.

LLCs, Corporations, Patents, Attorney Help

Related articles

Does an LLC Have to Have a President or CEO?

A limited liability company, or LLC, is a form of business organization popular among individuals looking to start a ...

How Do I File an LLC With the Texas Secretary of State?

A limited liability company (LLC) is a form of business organization that has features of both a corporation and a ...

How to Change the Address on a Texas PLLC Incorporation

A professional limited liability company in Texas is a limited liability company that engages in a professional ...

Is an Operating Agreement For an LLC Public Record?

A limited liability company, or LLC, is a flexible form of business association popular among individuals looking to ...

Browse by category
Ready to Begin? GET STARTED