How can you sign on behalf of your LLC in a real estate transaction?

To sign on behalf of your limited liability company (“LLC”), if you are buying or selling real estate, you will need to show that you have authority to sign on behalf of the LLC and that the LLC is active and in good standing in the state it was formed.

Common LLC documents that will need to be produced include the Articles of Organization, amendments to the Articles, Good Standing Certificate, Operating Agreement, and/or a Resolution authorizing you to sign on behalf of the LLC.

When buying real estate, you may be required to produce a Resolution stating you can sign on behalf of the LLC and the LLC is authorized to purchase the property.

When selling real estate, you will likely need to sign an LLC Affidavit and a Resolution. An LLC Affidavit is a document where you swear or affirm under penalty of perjury that the LLC is active, in good standing, identify whether the LLC is member or manager-managed, whether the LLC has filed for bankruptcy since acquiring title to the property, and indicate that you are authorized to sign on behalf of the LLC. The purpose of a Resolution is to prove that you are authorized to sign on behalf of the LLC and the real estate transaction is approved by a majority of the members of the LLC.