The Operating Agreement: How Decisions Get Made

What the Operating Agreement does

The Operating Agreement is the legal contract between every co-owner of an LLC. It controls how decisions get made, who pays what, who can use the asset when, and what happens when someone wants out.

Why Slivvy uses standardized templates

Custom-drafted operating agreements are expensive and inconsistent. Slivvy generates every agreement from the same vetted template, with only your structural choices (share count, fees, voting thresholds, etc.) filling in the variables. This keeps disputes predictable and lets Slivvy's tools enforce the same rules everywhere.

What you'll configure when listing

• Share structure — total shares, minimum/maximum per buyer
• Voting rights — per-share, with thresholds for routine vs. major decisions
• Usage allocation — annual days per share, peak-season method (rotating, lottery, or auction)
• Fees — monthly maintenance, reserve contribution, onboarding fee, overage fee for extra usage
• Buy-sell provisions — right of first refusal, exit pricing methodology, forced-sale threshold
• Capital calls — when and how co-owners are asked to fund unexpected expenses
• House rules — pets, smoking, guests, subletting
• Dispute process — direct messaging → Slivvy-facilitated mediation → binding arbitration

Voting basics

• Routine decisions — simple majority of shares (vendor selection, minor repairs)
• Major decisions — supermajority (typically 75%) for capital improvements, fee structure changes, selling the asset
• Operating Agreement amendments — unanimous or near-unanimous, depending on the section being amended

Amending the agreement later

Any co-owner can propose an amendment. Slivvy generates the redlined version, all members vote, and if it passes, every member e-signs the new version. The signed amendment is stored in the asset's Document Vault.

Where to find your Operating Agreement

Once executed, the Operating Agreement and any amendments live in your Document Vault → Legal. You can download the latest version anytime, and version history is preserved.