Which document often outlines the rights of LLC members?

The Operating Agreement is the key document that outlines the rights and responsibilities of members within a Limited Liability Company (LLC). This agreement serves as a foundational document that governs the internal affairs of the LLC, detailing how the company is managed, how profits and losses are distributed, the procedures for admitting new members, and the rights of members to make decisions about the company.

Unlike corporate bylaws, which apply to corporations and detail management structures, or shareholder agreements that pertain to the relationships among shareholders in corporations, the Operating Agreement is specifically tailored for LLCs.

Additionally, minutes of the annual meeting are records of what transpired during meetings of the LLC members, but they do not typically contain the foundational guidelines or entitlements of the members as found in an Operating Agreement. Thus, it's clear that the Operating Agreement is essential for clearly delineating member rights and ensuring smooth operations within the LLC structure.