Multi-member LLC operating agreement

[George Liu]

Haven't found many materials that cover key clauses in multi-member LLC operating agreements. For equal % members, how do you determine contributions, distributions and exits? For instance if a member decides to take some cash out of the LLC down the road but the others don't how do you determine the new equity splits? TIA!!

[Eamonn McElroy]

@George Liu

An attorney should draft the operating agreement for you.  Although non-prorata distributions are permissible with a partnership, contributions and distributions should be done in harmony with the operating agreement, which is what all members ultimately agree to.