Operating Agreement - Right To Enter Loan

[Aksel A.]

Greetings,

I got the following feedback from underwriting:

DOCUMENTS DUE AT CLOSING AND FOR SIGNING:

- *Amended Operating Agreement to reflect Member-Managed signature block is needed. There has to be an area regarding the authority for you to give you the right to enter into a loan 

My operating agreement is quite standard, so I am not sure what exact verbiage the above requires. Is that a 1 line quick sentence, or a full broken down chapter to be added in the operating agreement (I guess in the General Provisions section)?

[Carl Fischer]

@Aksel A.

You need a paragraph or 2  that says as a member manager you are authorized to buy, sell, mortgage, use property as collateral for loan, encumber, protect,  open bank accounts, ...... should be a 5 minute insert for attorney in your state.