Learn the steps to form an LLC in Arkansas – from choosing your name to filing your Certificate of Organization. $1 + $45 state fee. Start today.
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Filing fee: $45 online or $50 by mail (Certificate of Organization)
Processing time: 3-7 business days for online filings; 2-3 weeks by mail
State agency: Arkansas Secretary of State, Business & Commercial Services Division
Annual franchise tax due: May 1 every year — a flat $150 for LLCs, starting the year after formation. There is no separate annual report.
State tax rate: No entity-level tax on pass-through income — members pay Arkansas income tax at up to 3.7%; the statewide sales tax is 6.5%
Start your U.S. business journey today. Form your company with confidence and let Brio handle the paperwork.
Forming an LLC in Arkansas takes 5 steps: choose and check your business name, appoint a Registered Agent with a physical Arkansas address, file a Certificate of Organization online or by mail, draft an operating agreement, and get an Employer Identification Number (EIN) from the IRS. The state filing fee is $45 online or $50 by mail.
Arkansas is one of the cheapest states in the country to start an LLC — the $45 online filing fee is among the lowest anywhere, and state income tax rates keep falling, with a top individual rate of just 3.7%. An LLC gives you personal liability protection and pass-through taxation without the administrative overhead of a corporation — a combination that works well for most Arkansas entrepreneurs.
Arkansas also keeps ongoing paperwork light: there’s no general state business license, and the only recurring state filing is a single Annual Franchise Tax Report — a flat $150 due each May 1, no matter how much (or how little) your LLC earns. That makes the cost of staying compliant about as predictable as it gets.
Unlike some states, Arkansas doesn’t require you to reserve your name before filing — you simply claim it when you file your Certificate of Organization. If you’re not ready to file yet, you can optionally reserve a name through the Secretary of State. The fee is $22.50 online (or $25 by mail), and the reservation holds your name for 120 days.
Your LLC name must be distinguishable from other registered businesses in Arkansas and must include a designator like “Limited Liability Company,” “Limited Company,” “LLC,” “L.L.C.,” “LC,” or “L.C.” Check the Secretary of State’s business entity search before you file to avoid a rejection.
Every Arkansas LLC must have a registered agent — a person or entity designated to receive legal notices and government documents on behalf of the business. The agent must have a physical street address in Arkansas (a P.O. box doesn’t count) and be available during regular business hours.
You can serve as your own registered agent if you have a physical Arkansas address and can be there during business hours. Many business owners use a professional registered agent service instead — it keeps your personal address off public records and ensures someone is always available to receive documents.
The Certificate of Organization is the document that legally creates your Arkansas LLC — it was called the Articles of Organization until 2021, and some older guides still use that name. You file it with the Arkansas Secretary of State’s Business & Commercial Services Division. Online filing through the Corporations Online Filing System is the fastest option — processing takes 3-7 business days. You can also mail paper form LL-01, which takes 2-3 weeks.
The Certificate must include your LLC’s name, the street address of its principal place of business, your registered agent’s name and Arkansas street address, and the name and address of at least one member or manager. The state filing fee is $45 online or $50 by mail.
Arkansas doesn’t require you to file an operating agreement with the state, but you should have one. It’s the internal document that defines how your LLC is managed — who owns what, how profits are distributed, and how decisions get made. Without one, Arkansas’s default LLC statutes fill in the gaps, which may not reflect what you actually want.
Your operating agreement should specify whether the LLC is member-managed or manager-managed. In a member-managed LLC, all owners share day-to-day authority. In a manager-managed LLC, a designated manager handles operations while other members retain economic rights. A written agreement is the version that holds up when disputes arise.
An Employer Identification Number (EIN) is a 9-digit federal tax ID issued by the IRS. Your Arkansas LLC needs one to open a business bank account, hire employees, and file federal taxes. Applying online at irs.gov is free and issues your EIN immediately after you complete the application.
To use the IRS online application, the responsible party must have a valid Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN), and the business must have its principal place of business in the United States. The IRS does not charge a fee for issuing an EIN.
Arkansas LLCs have one recurring state filing: the Annual Franchise Tax Report, filed with the Secretary of State by May 1 each year. The tax is a flat $150 for LLCs — owed regardless of income or activity — and your first report is due the calendar year after your LLC is formed.
There’s no general Arkansas business license, but if you sell taxable goods or services you’ll need a sales tax permit — a one-time $50 fee — from the Department of Finance and Administration. Missing the May 1 franchise tax deadline adds a $25 penalty plus 10% annual interest, and continued non-payment can lead the state to revoke your LLC’s charter.
The required Arkansas state fee is $45 to file the Certificate of Organization online, or $50 by mail. After that, plan on the flat $150 Annual Franchise Tax each year, and reserving your name before filing is optional at $22.50 online. There’s no additional state fee to get your EIN; the IRS issues EINs for free.
Yes. Arkansas allows a single person to form and own an LLC – this is called a single-member LLC. You can complete the Certificate of Organization filing online through the Secretary of State’s Corporations Online Filing System without an attorney. You’ll still need to appoint a registered agent with a physical Arkansas address, but that can be yourself if you qualify.
No. Arkansas charges a $45 Certificate of Organization fee online, or $50 by mail – that’s a required state fee you can’t avoid. What you can avoid is paying extra for formation help. We handle your Arkansas LLC filing for $1; you only pay the required state fees.
Not exactly – Arkansas uses an Annual Franchise Tax Report instead. It’s filed with the Secretary of State by May 1 each year, costs a flat $150 for LLCs, and is owed even if your LLC made no money. Your first report is due the year after formation. Filing late adds a $25 penalty plus 10% annual interest, and ignoring it long enough can get your charter revoked.
Yes, every Arkansas LLC is required to have a registered agent. A registered agent is a person or entity that receives legal notices and official government documents on behalf of your LLC. The agent must have a physical street address in Arkansas (not a P.O. box) and be available during regular business hours. You can serve as your own registered agent or use a professional service.
The mistakes that come up most often are missing the May 1 franchise tax deadline – many owners assume no income means no filing, but the flat $150 is owed either way – using a P.O. box for the registered agent address (not allowed), and not having a written operating agreement. Business owners also get confused searching for “Articles of Organization” – Arkansas renamed the document the Certificate of Organization in 2021 – and forget the $50 sales tax permit when they start selling taxable goods.
Online filings through the Corporations Online Filing System are processed in 3-7 business days – Arkansas doesn’t offer expedited service, so online is reliably the fastest route. Paper filings by mail take 2-3 weeks of processing, plus mail time in both directions. If speed matters, file online.
Thinking about another state? Compare Wyoming, Delaware, Texas and Florida — or browse all 50 state guides.
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