How to Start an LLC in Arkansas

Last updated on 03 Apr 2025

How to Form an LLC in Arkansas | Complete Guide

A Step-by-Step Guide

How to Form an LLC in Arkansas

If you are going to start a business in Arkansas, creating a Limited Liability Company (LLC) is a good decision. An LLC protects your personal assets and gives flexibility in operations. Follow our comprehensive guide to ensure a smooth and efficient process.

Key Benefits

Liability Protection

Members are usually not liable personally for business debts or obligations, safeguarding personal property such as cars or homes.

Tax Flexibility

An LLC provides liability protection like a corporation combined with tax advantages and flexibility like a partnership.

Simple Formation

Create your Arkansas LLC with just three simple steps: select a unique name, choose a registered agent, and file with the state.

Formation Process

Select a Distinctive Name for Your LLC

When choosing an LLC name, ensure that it is distinctive and follows Arkansas naming guidelines. Your LLC name should not be identical to another business name in the state.

Availability Check: Verify name availability by performing a search via the Arkansas Secretary of State's business entity database.
Required Words: The name should have the words "Limited Liability Company" or an abbreviation like "LLC," "L.L.C.," "Limited," or "Ltd."
Professional Services: If the business is providing professional services (e.g., medical or legal), the name must contain the words "Professional Limited Liability Company" or abbreviations like "P.L.L.C." or "P.L.C."
Member Names: The name cannot have the name of a person who is not an LLC member except in the event of their death.
Government Terms: The name should not suggest that the LLC is a public or government agency.
Domain Name: It's a good idea to see if your domain name is available for your LLC's website, even if you don't intend to open one immediately.

Name a Registered Agent

All LLCs in Arkansas need a registered agent. The registered agent is your link to the state, handling such things as official documents from lawsuits, state communications, and tax notices.

Self-Appointment

You may be your own registered agent, appoint another member of your LLC, or retain a professional registered agent service. The registered agent must have an Arkansas physical address and be accessible during regular business hours.

Professional Service

Most business owners opt for a registered agent service for compliance and confidentiality. This ensures your LLC stays compliant with state requirements and provides an extra layer of privacy.

Recommended Registered Agents

ZenBusiness

ZenBusiness is a great option for LLC registration and registered agent services in Arkansas. They provide speedy and low-cost LLC registration and offer compliance services, such as registered agent services, for $199 per year.

Low-cost and speedy LLC registration
Compliance reminders
5-star reviews

Northwest Registered Agent

Northwest Registered Agent is a trustworthy provider with many years of experience serving businesses in all 50 states. They provide Arkansas LLC registration and registered agent service, emphasizing privacy and data security.

A+ Better Business Bureau rating
Privacy and data security emphasis
Full range of LLC and corporation services

File with the State

After choosing a name and a registered agent, the next step is to file your Articles of Organization with the Arkansas Secretary of State. This document legally forms your LLC.

Online Filing

You may file online with a fee of $45. Online filings are generally processed in 2-3 business days.

Paper Filing

If you prefer to file by mail, the fee is $50. Send the completed forms to:

Arkansas Secretary of State
1401 W. Capital Ave., Suite 250
Little Rock, AR 72201

Paper filings take 1-2 weeks to process.

After Filing

After your application is accepted, you will be issued a Certificate of Formation, and your LLC will be registered.

What's Next After Forming Your LLC

Once your LLC is registered, it's time to get your business off the ground. Here are a couple of important steps:

Open a Business Bank Account: Keep your personal and business money separate. This will safeguard your personal assets and simplify tax time.
Hire a Business Accountant: A professional accountant will be able to guide you through taxes, prevent penalties, and keep your books in check.
Get Business Insurance: While the law in Arkansas doesn't mandate business insurance, it's a wise decision to insure your business against unforeseen circumstances.
Comply with State Requirements: Arkansas requires LLCs to file an annual report, which includes updated contact information. Be sure to file your report on time to avoid penalties.

After Formation

Once your LLC is established, take these important steps to maintain good standing and protect your business:

Separate Business Finances

Keep your personal and business money separate. This will safeguard your personal assets and simplify tax time. Opening a dedicated business bank account is essential for maintaining the liability protection of your LLC.

Hire a Business Accountant

A professional accountant will be able to guide you through taxes, prevent penalties, and keep your books in check. They can also help with bookkeeping and payroll services if you have employees.

Get Business Insurance

While the law in Arkansas doesn't mandate business insurance, it's a wise decision to insure your business against unforeseen circumstances. Workers' compensation insurance is necessary if you have employees.

Comply with State Requirements

Arkansas requires LLCs to file an annual report, which includes updated contact information. The report must be filed with the Arkansas Secretary of State and is due every year on the anniversary of the formation date of the LLC.

FAQs

What are the costs associated with forming an LLC in Arkansas?

The filing fee for your Articles of Organization is $45 if you file online and $50 if you file by paper. You might also pay for a registered agent service, which is usually between $125 and $199 per year.

Do I require a Trade Name or DBA for my Arkansas LLC?

A Trade Name (DBA) is not required unless you plan to do business under a name that is different from your registered LLC name. However, it is recommended to file for a DBA if you intend to use a name other than your LLC's legal name.

How long does it take to form an LLC in Arkansas?

If you file electronically, your LLC formation will be processed in 2-3 business days. If you file by mail, it will take 1-2 weeks.

Do I need a Registered Agent in Arkansas?

Yes, every LLC in Arkansas is required to have a registered agent. The agent must have a street address in the state and be present during business hours to accept official documents.

Do I need to reside in Arkansas to create an LLC?

No, you are not required to be an Arkansas citizen to start an LLC in the state. Nevertheless, your LLC is required to possess a registered agent who has a physical address in Arkansas.

Ready to Start Your Arkansas LLC?

Take the first step toward establishing your business with the protection and benefits of an LLC structure. Our comprehensive guide makes the process simple and straightforward.

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