Multiple Partners in LLC

[Atchut Neelam]

If a LLC is formed by multiple owners, does hard money lenders or lenders accept, one or more partners signing the documents on behalf of the LLC or should all partners sign the loan documents ? Thanks in Advance

[Brandon Plombon]

You should make it clear in your operating agreement who can do what and what signatures are valid to conduct financial transactions. The banks will require all owners of 25% or more to be disclosed for beneficial ownership. As far as signing goes - I've had a 4 person structure (all 25% owners) and the operating agreements states that any of the four can sign and conduct business of their behalf without requiring others signatures. So on the loan documents only 1 person was needed to sign the note but we required the other parties to Docusign personal gurantees, W9s, ect. Long answer but it depends on how your entity is setup and the bank will be required to follow your legal entity documents.