A New York single-member LLC operating agreement is a legal document that establishes the rights, powers, obligations, and liabilities of a sole proprietor in relation to their limited liability company. New York is one of five states that require companies to implement an operating agreement in order to conduct business. In addition to outlining the core principles of the company, the document formally separates the liabilities of the LLC from those of the owner. This means that if the company faces bankruptcy or any litigation in the future, the owner’s personal exposure would be limited. Unlike the Articles of Organization, an operating agreement does not have to be filed with the state and can be kept internally at the company.