Capital Contribution Agreement for LLCs
⬇ Download free template (PDF)A capital contribution agreement records the investment that each member makes to the LLC—whether in cash, property, or services—and formally updates ownership percentages. Our free template is designed for both initial and additional contributions to help keep your company’s financial records accurate and official.
DOWNLOAD CAPITAL CONTRIBUTION TEMPLATE
What Is a Capital Contribution?
Capital contributions are funds or other assets that members invest into an LLC in exchange for ownership interest. These contributions help fund the company’s operations and establish each member’s share. Both initial and subsequent contributions should be documented formally in an agreement.
What’s Included in the Agreement
- LLC legal name, formation date & state
- Names of contributing members
- Prior ownership percentages & valuations
- Contribution amounts and types (cash, property, or services)
- New ownership percentages and updated capital balances
- Signatures and dates from each contributing member
Why Document Contributions?
Helps maintain clear ownership records
Capital contributions directly affect ownership percentages and profit allocation. A written agreement ensures these details remain transparent and enforceable.
Supports liability protection
Proper documentation shows that your LLC is capitalized and operated separately from personal finances—a key aspect of limited liability protection.
Handles later contributions or changes
Members may add capital later. An agreement provides a formal way to record these changes and recalculate ownership shares accordingly.