Forming a limited liability corporation (LLC) can be a smart move if you’re looking to launch a business in Arkansas. An LLC is a type of business organization that combines the tax advantages of a partnership with the liability protection of a corporation. But how much does it cost in Arkansas to form an LLC? Let’s look at it.
The filing fee and the registered agent charge are the two main costs associated with forming an LLC in Arkansas. The cost to file your articles of organization with the secretary of state of Arkansas is known as the filing fee. The Arkansas LLC filing fee is $50 as of 2021. The cost of having a registered agent for your LLC, as required by Arkansas law, is known as the registered agent fee. A registered agent is a person or business that will receive court filings and government notifications on your LLC’s behalf. Depending on the business you select, the registered agent charge in Arkansas can change, but it normally runs from $50 to $300 yearly. How Long Does It Take in Arkansas to Form an LLC?
In Arkansas, the procedure to create an LLC can take a few days to several weeks. The Arkansas Secretary of State will check your application to make sure it complies with all legal requirements once you file your articles of organization. You’ll get a Certificate of Organization from the state if your application is accepted. Up to two weeks may pass throughout this process. However, if you prefer to file quickly, you can pay an extra $25 and get your Certificate of Organization within 24 hours.
1. Pick a name for your LLC that is distinct and hasn’t been taken by another company in Arkansas. 2. Submit your articles of incorporation and the filing fee to the secretary of state in Arkansas. 3. Pick an LLC registered agent and pay the registered agent charge.
4. For your LLC, draft an operating agreement that spells out the duties and rights of each member. 5. Obtain for your LLC the required business licenses and permissions.
Although an LLC has many advantages, there are a few drawbacks to take into account. An LLC can be more expensive to establish and manage than other business arrangements, like a sole proprietorship or partnership, which is one of its main drawbacks. An LLC might not be the greatest option for companies that want to go public or raise a lot of money, too.
Yes, your LLC in Arkansas does require a registered agent. Legal paperwork and formal notices must be delivered to a registered agent on behalf of your LLC, as required by law. To accept these documents, your registered agent must have a physical location in Arkansas and be accessible during regular business hours. Although you have the option of serving as your own registered agent, most companies opt to use a reputable registered agent service instead.
In conclusion, forming an LLC in Arkansas can be a rather easy and inexpensive process. You can benefit from the liability protection and tax advantages that come with this form of business structure by completing the processes mentioned above and paying the required fees.