Thank you in advance for your input.
You need to see a Georgia Lawyer or a Chartered Accountant.
There are several solutions to the situation.
Each has different tax and liability consequences.
Put y9ur wife on the account.
Capital interest does not have to be same as profits interst. Consider amending operating agreement to give you 100% capital and keep wifes profit share the same.
georgia may now allow single person llc’s
check into it, makes life simpler
some states over time now allow this
What is the purpose of the change? Divorce/Lack of Trust/Set up wrong from the beginning? Each one of these have consequences especially if wife is/or has not been involved in the business.
In other words why do you want this now as opposed to when you set it up?
Your post is very confusing, but it sounds to me like the bank reviewed the operating agreement, saw that your wife owns the majority interest, and is questioning why as a minority owner you would be the signer on the account. Would I be correct in assuming that your wife has the majority interest because you're doing some government business where there is a preference for women owned businesses?
Not an accountant, nor resident in Georgia.
But, many financial institutions want to see that any accounts they open conform to the organization documents of the entity involved.
For example, I had some investment accounts, and had to make sure that the ownership on the accounts matched the revocable trust I had set up, and they had to agree that was the case. They’re worried about lawsuits against them down the road.
Shouldn’t be a big deal to fix... but whether you do it, or have a lawyer do it is up to you. Sounds to me like you should talk to a lawyer, and it might take a couple of hours of his billable time.
The more important question is, and the one the bank cares about is, why would you open an account for your company which is in your name only? At least that’s what it sounds like you were applying for.
I do not live in GA, I am neither a banker or a Lawyer - but it seems odd to me that your bank is giving you legal advice.
Ask them to provide you the “why” along with appropriate references. If there is a controlling law or statute, they should be able to reference it. If it is their policy or just some managers opinion ......
And then by all means, contact an attorney for legal advice.
Divorce.
Legal advice you get on the internet is worth what you pay for it. You need to talk to a lawyer in your state.
I have a 3 member LLC
I am the managing member.
When I open a new account, the bank always insists that the other 2 partners come down and sign a “signature” card to be on record as legal authorization with access to the account.
This is honest practice by a bank and totally legit.
If my partners never signed that card, I still have a new account, but legally they are partners and can scan and email a signature card whenever they find the time.
Access to the accounts should be decided and recorded in your articles of incorporation and filed with the state.