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Multi Member Operating Agreement
"I need a Multi Member Operating Agreement for a technology startup with four founding members, including provisions for future equity investors and protection of intellectual property, to be implemented by March 2025."
1. Parties: Identifies and provides details of all members entering into the agreement
2. Background: Sets out the context and purpose of the agreement, including the business objectives
3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes interpretation principles
4. Formation and Name: Details of business registration, trade name, and establishment
5. Purpose and Powers: Specifies the business purpose and scope of activities
6. Capital Contributions: Details initial and ongoing capital contributions requirements from members
7. Membership Interests: Defines ownership percentages and classes of membership interests
8. Management Structure: Outlines the management framework and decision-making processes
9. Meetings and Voting: Procedures for member meetings and voting requirements
10. Financial Affairs: Covers accounting, banking, and financial management procedures
11. Distributions: Rules for profit distribution and allocation of losses
12. Transfer of Interests: Procedures and restrictions for transferring membership interests
13. Exit Provisions: Processes for member withdrawal, retirement, or expulsion
14. Dissolution: Circumstances and procedures for winding up the business
15. Dispute Resolution: Procedures for handling disputes between members
16. Confidentiality: Obligations regarding confidential information
17. General Provisions: Standard boilerplate clauses including notices, amendments, and governing law
1. Intellectual Property: Required when the business owns or develops significant IP assets
2. Employment of Members: Needed when members may also be employed by the business
3. Competition Restrictions: Include when non-compete and non-solicitation provisions are necessary
4. Insurance: Detailed insurance requirements when business has specific risk profiles
5. Related Party Transactions: Include when members may conduct business with the company
6. Tag-Along and Drag-Along Rights: Include for businesses that may seek future investment or sale
7. Pre-emptive Rights: Include when members want first right to purchase other members' interests
8. External Financing: Include when the business anticipates seeking loans or external funding
9. Special Purpose Vehicles: Required when business structure includes subsidiary entities
10. International Operations: Include for businesses operating across multiple jurisdictions
1. Schedule 1 - Member Details: Complete member information including contact details and initial capital contributions
2. Schedule 2 - Business Plan: Initial business plan and strategic objectives
3. Schedule 3 - Membership Interest Register: Current register of all membership interests and their holders
4. Schedule 4 - Valuation Methodology: Agreed methods for valuing membership interests
5. Schedule 5 - Deed of Accession: Template for new members joining the business
6. Schedule 6 - Initial Officers: List of initial management team and their roles
7. Appendix A - Consent Forms: Standard forms for member approvals and consents
8. Appendix B - Meeting Procedures: Detailed procedures for conducting meetings
9. Appendix C - Financial Procedures: Detailed financial management and reporting procedures
Authors
Professional Services
Technology
Manufacturing
Retail
Construction
Healthcare
Food and Beverage
Real Estate
Financial Services
Consulting
Agriculture
Mining
Education
Transport and Logistics
Creative Industries
Legal
Corporate Governance
Executive Leadership
Finance
Compliance
Risk Management
Operations
Company Secretariat
Board of Directors
Business Development
CEO
Managing Director
Company Secretary
Chief Financial Officer
Chief Legal Officer
General Counsel
Business Development Manager
Operations Manager
Finance Director
Compliance Officer
Corporate Lawyer
Business Owner
Partner
Board Member
Executive Director
Risk Manager
Company Director
Founding Member
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