LLC Operating Agreement

Resources

Ohio LLC Operating Agreements (2)

Or
Any other for you find that addresses at LEAST the scenarios described below.

Scenario:
Widget World (WW) is an idea 4 friends created in their garage. They agree they will be even partners in the business and share everything equally. They expect that each person will have to kick in $2000 at first to start the business. Also, each member is expected to work 10 hours a week to manufacture the widgets they need to sell. They think they can produce 100 widgets a week and will charge $10 per widget.

They have heard they need to have an Operating Agreement and find one that seems to be good from the internet in the resource provided. They print off the Agreement in PDF form and mark the appropriate boxes.

Create an Operating Agreement that will be the foundation of your organization.
Specifically, address the following questions (at the beginning or end of your paper and reference the Operating Agreement section/paragraph/etc.) and answer according to the Operating Agreement provided in the resource you created.
Lets say WW LLC sells $1000 worth of widgets. If there are 4 members, how much will each member get?
When will the 4 members actually receive their money from the sale of the widgets?
What happens if a machine breaks and the 4 members need to fix and pay a $5,000 bill? How much does each person pay? Or does the Company have retained earnings?
What happens if Member A doesnt work as hard as everyone else (He often only work 5 hours/week and even if he does, produces half the widgets as everyone else!)?
What happens if Member B wants to quit the business because he doesnt want to commit 10 hours a week?
What happens if Member C dies and has a wife? Does she become a member?

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