Why Small Businesses Need Registered Agents?

September 01, 2025•3 min read

R. Kenner French explains the importance of registered agents for businesses. Many entrepreneurs set up LLCs in other states and don’t even realize they already have a registered agent appointed by their attorney. A registered agent’s role is to accept official legal and government documents—such as lawsuits, tax notices, and state communications—on behalf of a business or sometimes even individuals. This is not the same as handling normal mail.

A key function of a registered agent is being available during business hours to receive official notices. Without one, a business risks missing legal documents, which can result in default judgments and major financial losses. Registered agents ensure that documents are received, logged, and forwarded promptly to business owners, helping to protect them from lawsuits and compliance failures.

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Kenner highlights that registered agents provide continuity of service, reinforcing the separation between an individual and their business entity. This separation is crucial for liability protection. While individuals could theoretically serve as their own agent, most businesses employ professional, commercial registered agents like Vast Solutions Group, which maintains offices in all states to handle these duties reliably.

The service is relatively inexpensive—typically ranging from $200 to $500 annually—but it acts as a form of insurance against legal risks. Vast Solutions Group uses its proprietary “Einstein” portal to streamline communication with clients, ensuring that deadlines, compliance requirements, and official documents are handled efficiently. He emphasizes that timely responses from business owners are also critical once documents are forwarded.

Finally, Kenner frames registered agents as part of a larger asset protection strategy. VastSolutionsGroup.com has deep expertise in tax, finance, and asset protection, partnering with top legal professionals in the field. To encourage business owners, He offers a free copy of his book Entrepreneurs Manifesto for those who email the firm. He closes by reaffirming the importance of maintaining a registered agent as a foundational step in protecting and growing a business.

Takeaways

• A registered agent is essential for receiving legal documents.

• Registered agents must be available during business hours.

• Having a registered agent can prevent significant legal issues.

• Registered agents provide continuity of service for businesses.

• It's important to differentiate between normal mail and legal notices.

• Registered agents help in asset protection strategies.

• The cost of a registered agent is relatively low compared to potential losses.

• Technology can enhance the efficiency of registered agent services.

• Business owners must respond timely to communications from their registered agent.

• Employing a registered agent is a necessary annual task for business owners.

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