If you're applying for an Azlo account, one of the trickier questions you'll see on the application is "What percentage of the business do you, and each of your business partners, own?"
The reason we ask this question is that we are legally required to gather certain information from each person who owns 25% or more of a business before we can open an account for that business. (Also, each of these owners must meet our eligibility requirements.)
If you're not quite sure how to answer the question, however, here are a few tips:
- If your business is a partnership, you may have a partnership agreement that documents the ownership percentage for each partner. If you don't, you can sit down with your business partners (and perhaps an attorney) to make this decision and create an agreement.
- If you have an LLC, your operating agreement should list the members of your business, their investments, their interest in the business (ownership) and how profit and loss will be distributed. An operating agreement, like a partnership agreement, is a document that you'll create with your business partners and possible an attorney's help.
- If your business is a corporation, business owners are called "shareholders" and their ownership percentage is determined by the number of shares they hold. These details should be listed on your Articles of Incorporations.
We may, during the application process, need to verify that the owners listed on your application are documented owners of the business. If we do, we'll ask you to provide an ownership verification document, and we can generally accept one of the documents described here (as well as other legal documents).