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Michigan LLC Operating Agreement Template

Not required by statute; the Act defines the operating agreement as a written agreement of the sole member or of all members (MCL 450.4102(2)(r)), so the statutory term does not cover oral arrangements. Fill in the form to build a Michigan operating agreement for a single-member or multi-member LLC, governed by the Michigan Limited Liability Company Act. Download it as PDF or Word and keep the signed copy with the company records; it is not filed with the state.

This template is a starting point, not legal advice, and Jupid is not a law firm. LLC law differs by state, and Michigan courts apply Michigan law. Have an attorney licensed in your state review the agreement before every member signs, especially if members contribute property, receive unequal rights, or plan to bring in investors.

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Governed by the Michigan Limited Liability Company Act. Not required by statute, but strongly recommended. Michigan rules

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Match what your Articles of Organization says, if it states the management structure.

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Lets the LLC continue without a gap in ownership. Coordinate with your will or trust.

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Operating Agreement of Blue Harbor Studio LLC

A Michigan single-member, member-managed limited liability company

This Operating Agreement (this "Agreement") of Blue Harbor Studio LLC (the "Company") is made effective as of March 2, 2026 (the "Effective Date") by its sole member listed in Schedule A (the "Member").

Article 1. Formation

1.1 Formation. Blue Harbor Studio LLC (the "Company") was formed as a Michigan limited liability company on March 2, 2026 by filing its Articles of Organization with the Michigan Department of Licensing and Regulatory Affairs. The Michigan Limited Liability Company Act (the "Act") and this Agreement govern the Company. Where this Agreement differs from a default rule of the Act, this Agreement controls to the extent the Act allows.

1.2 Purpose. The purpose of the Company is graphic design, branding and marketing services, and any other lawful business for which a limited liability company may be formed under the Act.

1.3 Principal Office. The Company's principal office is at 1200 Main Street, Suite 300, Lansing, MI, or at another place the Member chooses.

1.4 Registered Agent. The Company's registered agent and registered office in Michigan are those stated in its most recent filing with the Michigan Department of Licensing and Regulatory Affairs.

1.5 Term. The Company continues until it is dissolved and its affairs are wound up under Article 10.

Article 2. Sole Member and Capital

2.1 Sole Member. Alex Rivera (the "Member") is the sole member of the Company and owns 100% of the membership interests. The Member's address and Capital Contribution are listed in Schedule A.

2.2 Capital Contribution. The Member has contributed or will contribute the money, property or services stated in Schedule A. The Member is not required to make any additional contribution but may do so at any time.

2.3 No Interest on Capital. The Member earns no interest on its Capital Contributions. A loan from the Member to the Company is not a Capital Contribution.

Article 3. Allocations and Distributions

3.1 Profits and Losses. All profits and losses of the Company are allocated to the Member.

3.2 Distributions. The Member decides when the Company makes distributions and in what amounts.

3.3 Limits on Distributions. The Company will not make a distribution if, after the distribution, the Company could not pay its debts as they become due in the ordinary course of business, its total liabilities would exceed its total assets, or the distribution would otherwise violate the Act.

Article 4. Tax Classification

4.1 Classification. The Company has one Member. Under Treasury Regulations Section 301.7701-3(b)(1)(ii), it is disregarded as an entity separate from its owner for federal income tax purposes unless the Member elects otherwise by filing IRS Form 8832 or Form 2553. Being disregarded for income tax purposes does not change the Company's separate legal existence or the Member's limited liability under the Act.

Article 5. Management

5.1 Management by the Member. The Company is member-managed. The Member has full authority to run the business, sign contracts, open accounts and take any other action for the Company. The Member may act by signing a written consent and is not required to hold meetings.

5.2 Officers and Agents. The Member may appoint officers or agents, give them titles and delegate authority to them in writing.

Article 6. Transfers and Additional Members

6.1 Transfers. The Member may transfer all or part of its membership interest. A person who receives the Member's entire interest is admitted as a member when the transfer takes effect.

6.2 Additional Members. The Member may admit additional members by written consent. When a second member is admitted, the members will sign an amended operating agreement that covers voting, distributions and transfers. Once the Company has two or more members, it is classified as a partnership for federal income tax purposes unless it has elected to be taxed as a corporation.

Article 7. Death or Incapacity of the Member

7.1 Successor on Death. On the Member's death, the person who inherits the Member's interest under the Member's will or trust or under the laws of intestacy succeeds to the Member's entire interest and is admitted as the member effective as of the date of death, so that the Company continues without dissolution. Until the successor is admitted, the Member's personal representative may exercise all of the Member's rights to manage the Company.

7.2 Incapacity. If the Member becomes unable to manage the Company because of a physical or mental condition, the Member's agent under a durable power of attorney, or a court-appointed guardian or conservator, may exercise the Member's management rights until the Member can act again.

Article 8. Books, Records, Bank Accounts and Separateness

8.1 Books and Fiscal Year. The Company keeps complete and accurate books of account. Its fiscal year is the calendar year unless tax law requires otherwise, and its books are kept on the cash or accrual method the Member chooses for its tax returns.

8.2 Records. The Company keeps the records required by MCL 450.4213, at the location that section requires, including a copy of its Articles of Organization and all amendments, this Agreement and all amendments, a current list of its Member with addresses, Capital Contributions, and its federal, state and local tax returns and financial statements for at least the three most recent years.

8.3 Bank Accounts. All Company money is deposited in accounts in the Company's name and used only for Company purposes. Company funds are never mixed with the personal funds of the Member. The Member, and anyone they authorize in writing, may sign on Company accounts.

8.4 Separate Existence. The Company holds itself out as a legal entity separate from the Member. It signs contracts in its own name, pays its debts from its own funds, keeps its own books and accounts, and does not pay the personal expenses of the Member. These practices help preserve the limited liability the Act gives to the Member.

Article 9. Limited Liability, Exculpation and Indemnification

9.1 Limited Liability. To the fullest extent the Act allows, no Member or officer is personally liable for any debt, obligation or liability of the Company, whether arising in contract, tort or otherwise, solely because of that role. A failure of the Company to observe formalities is not a ground for imposing personal liability on the Member.

9.2 Exculpation. No Member or officer is liable to the Company for any act or omission in good faith on behalf of the Company, except for gross negligence, willful misconduct, a knowing violation of law, a transaction from which the person received an improper personal benefit, or a breach of this Agreement.

9.3 Indemnification. To the fullest extent the Act allows, the Company will indemnify and hold harmless the Member and each officer against losses, judgments, settlements and reasonable legal fees arising from claims related to the Company's business, except for conduct listed as an exception in Section 9.2. The Company may advance legal fees if the person agrees in writing to repay them if it is later determined that the person was not entitled to indemnification.

9.4 Insurance. The Company may buy insurance on behalf of any person it may indemnify.

Article 10. Dissolution and Winding Up

10.1 Events of Dissolution. The Company dissolves only on:

  1. the Member's written decision to dissolve;
  2. the sale of all or substantially all of its assets, after the sale proceeds are collected;
  3. the Company having no member, if no successor is admitted under Article 7 and the Company is not otherwise continued as the Act permits;
  4. entry of a court order of dissolution; or
  5. any other event that requires dissolution under the Act.

10.2 Winding Up. On dissolution, the Member will wind up the Company's affairs, sell or distribute its assets, and file the dissolution or cancellation documents the Michigan Department of Licensing and Regulatory Affairs requires.

10.3 Order of Payment. Company assets are applied in this order: first, to creditors, including the Member if it is a creditor, in satisfaction of the Company's debts; second, to reasonable reserves for contingent liabilities; and third, to the Member.

Article 11. General Provisions

11.1 Governing Law. This Agreement is governed by the laws of the State of Michigan, including the Michigan Limited Liability Company Act (MCL 450.4101 et seq.).

11.2 Entire Agreement. This Agreement, including its schedules, is the entire agreement of the Member about the Company and replaces any earlier oral or written agreement on the same subject.

11.3 Amendments. This Agreement may be amended only by a writing signed by the Member.

11.4 Severability. If any provision of this Agreement is held invalid or unenforceable, the rest of the Agreement stays in effect, and the provision is enforced to the greatest extent allowed.

11.5 Binding Effect; No Third-Party Beneficiaries. This Agreement binds and benefits the Member and its permitted successors and assigns. No creditor or other third party may enforce it.

Signatures

The Member signs this Agreement effective as of the Effective Date.

Member: Alex Rivera

Date: ________________

Schedule A: Member

MemberAddressCapital contributionPercentage interest
Alex Rivera48 Oak Lane, Lansing, MI$5,000 (Cash)100%
Total$5,000100%

Template from jupid.com. Not legal advice; Michigan law varies, so have an attorney review this document before signing.

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Michigan Operating Agreement Facts

LLC statute

Michigan Limited Liability Company Act (MCL 450.4101 et seq.)

Required?

Not required by statute; the Act defines the operating agreement as a written agreement of the sole member or of all members (MCL 450.4102(2)(r)), so the statutory term does not cover oral arrangements.

Filed with the state?

No. You file the Articles of Organization with the Michigan Department of Licensing and Regulatory Affairs; the operating agreement stays with the company records.

What the statute calls it

operating agreement

Records rule

Keep copies of operating agreements at the registered office or principal place of business in Michigan (MCL 450.4213(e)).

Annual or biennial report

Annual Statement, $25, due February 15 each year after formation; an LLC formed after September 30 skips the February 15 immediately following formation; $50 penalty if late.

Community property state

No.

Michigan's statutory definition requires a writing

Michigan LLCs are organized under the Michigan Limited Liability Company Act, 1993 PA 23 (MCL 450.4101 et seq.). The Act does not require members to adopt an operating agreement, but it defines the term narrowly: an operating agreement is a written agreement by the sole member, or between all of the members, about the company's affairs and the conduct of its business (MCL 450.4102(2)(r)). An oral understanding among members does not meet that definition, so the defaults below are changed through a written agreement among all members.

The agreement is not filed with the Department of Licensing and Regulatory Affairs (LARA), which receives the articles of organization. The company must keep copies of its operating agreements at its registered office or principal place of business in Michigan (MCL 450.4213).

Default rules Michigan applies

Members manage the company unless the articles of organization state that it is managed by managers, and member-managers carry the duties of managers (MCL 450.4401). Manager management is chosen in the articles, not only in the agreement.

If the agreement does not allocate votes, each member of an LLC formed on or after July 1, 1997 has one vote, and a matter passes with a majority in interest of the members entitled to vote unless the Act, the articles or the agreement set a higher threshold (MCL 450.4502(1)(b), (8)). Only members, not managers, can authorize dissolution, a merger, a conversion or an amendment to the articles (MCL 450.4502(4)).

Distributions are shared equally among members when the agreement is silent, for companies formed on or after July 1, 1997 (MCL 450.4303). Older companies that allocated by contributions keep that method until the agreement changes it.

A member may withdraw only as an operating agreement provides (MCL 450.4509). If the agreement permits withdrawal but says nothing about payment, the departing member is entitled to the fair value of the interest within a reasonable time (MCL 450.4305). An assignee receives only the distributions the assignor would have received and gains no management rights through the assignment (MCL 450.4505).

Michigan items to settle in writing

Every LLC files an Annual Statement with LARA by February 15 each year for a $25 fee. A company formed after September 30 is not required to file on the February 15 immediately after formation, and a statement received late carries a $50 penalty (LARA). Michigan also gives members a statutory claim: a member can sue in circuit court over acts of those in control that are illegal, fraudulent or willfully unfair and oppressive, and the court may order relief including a purchase of the member's interest at fair value (MCL 450.4515). A written agreement that defines withdrawal rights, valuation and voting thresholds narrows the room for that kind of dispute. Check the current statute before relying on a default rule.

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