eSignature Licitness for Stock Certificate in United States

How to eSign a document: eSignature licitness for Stock Certificate in United States

[Music] hi this is the business guy and today we're talking about how to fill out llc membership certificates now an llc membership certificate represents your ownership in a limited liability company and filled out properly it gives you proof that you own the company and in addition it shows the taxing authorities and anybody who wants to sue you that you have completed the legal requirements by properly completing your llc formalities so your llc is more likely to hold up under legal attack or tax audit i am the business guy and i have been in the company formation field since 1991. our company started in 1906 i believe we have over 65 000 clients in our database we have attorneys on our staff and we are the nation's leading asset protection company and company formation firm and today we're talking about how to properly fill out your llc membership certificates and be sure to watch all the way to the end because we cover important information that you'll need to know and by the way if you are watching this on youtube please click the like button below and you can also click the subscribe button so that when more videos come out like this you'll get notified now certificates have different formats sometimes the state or country where the company is formed along with the company name is pre-printed on the certificate other times you'll need to write it in sometimes the number of membership units is in the upper right hand corner sometimes it's on a separate line sometimes you have to fill it in as a number sometimes you have to fill it in longhand so just fill it in as the certificate is formatted so let's take a look at a membership certificate and the different parts you'll need to fill out often the name of your company and the state and or country where your company is filed will be pre-printed on the certificate when you order an llc from us we automatically pre-print that information on the document so that will be pre-formatted for you next we talk about the number of membership units you'll need to fill in the name of the certificate owner or the member you'll need to fill in the number of units or the percentage of ownership that each certificate represents you'll also need to write down the date you'll need to have the certificate signed you can sign it in one place if it's a sole member company if there's multiple managers you can choose to have multiple managers sign the certificate and then you'll go ahead and use your company's seal to seal the center of the certificate now i might add this is not to be considered legal advice if you need legal advice go ahead and seek the advice of an attorney we do have attorneys on staff so this isn't considered legal advice for any individual so this is just informational purposes to help you fill out your certificates and for legal advice make sure to seek legal counsel the first part of the certificate we'll look at is the number of units now this can be written in standard form such as 50 units but i also like to write down the number of possible units that this llc can issue for example all right 50 of 100 and that shows that there are 100 possible units this llc can issue so if somebody changes different documentation in the llc documents they wouldn't be able to dilute your membership interest so if they change the number of units from 100 to a thousand and it shows that you only own 50 that would dilute your percentage down from 50 percent to only 5 percent of the ownership so that's why i like to write the total number of units available that can also be written in percentage form and that's the way i prefer to do it that's not the custom but that's the way i prefer that way it's clear the percentage of the llc that you own so i prefer to write 100 in the number of units if you own 100 of the llc okay let's say you own your llc in a trust how would you format that you would write down abc trust if that's the name of your trust you write the jurisdiction where your trust is formed in this example we have cook islands comma you write down the name of the trustee comma and the word trustee so for in this example this is abc trust cook islands comma klm limited comma trustee and that's how you would issue a certificate to a trust for example now let's take a look at how to issue a membership certificate to a subtrust for example if you have an ira sub trust within your trust this is how you'd fill it out you'd write ira subtrust of abc trust cook islands comma klm limited comma trustee so you specify this isn't owned just by the trust but it's owned by a sub trust within the trust and will often specify a subtrust if a portion of the trust is owned by your ira then let's say your llc is owned by a self-directed ira if the name of your ira custodian is usa trust you would say usa trust comma inc custodian for ira of pat smith account number one two three four five for example okay now let's say your ira is owned by a self-directed pension plan you would say usa trust comma inc pension administrator for pat smith account number one two three four five and that's how you put your llc into a self-directed pension plan now sometimes you need to fill out certificates different ways for different people for example let's say you're opening a bank account you will fill out the certificate in your own name because if it was in a trust the bank will want to see the trust they may need to see id and articles from the corporate trustee they may want to see their passport so fill out a certificate in your own name and then once you get your bank account open you can void that certificate and fill out another certificate with your trust slash trustee owning the company so i hope this is valuable to you and help you understand how to fill out an llc membership certificate in different ways depending on how you own it so if you want to form a us company or offshore llc feel free to give us a call at 1-661-310-2688 or visit companiesinc.com or offshorecompany.com and fill out a free consultation form and please be sure to share this video and subscribe below this is the business guide