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In this video, Jim Hart, the founding attorney at Hawthorn Law, discusses the importance of an operating agreement for LLCs. He highlights that the operating agreement serves as a contract between the business owner and themselves, particularly for single-member LLCs. Hart emphasizes that having an operating agreement is crucial to protect your business legally and avoid common mistakes that entrepreneurs make during LLC formation. He refers viewers to additional resources for further understanding and the implications of lacking an operating agreement. The episode aims to clarify what an operating agreement is and its role in safeguarding and growing a business.