You might be asking whether you have to register your sole proprietorship with the state of Arkansas if you’re beginning your own firm there. Yes, you do need to register your company with the Secretary of State’s office in Arkansas.
As a result, sole proprietors must file a “Doing Business As” or DBA registration with the state of Arkansas in order to be registered. All businesses that use a name other than the owner’s legal name must register their DBA. This registration guarantees that the company name is not already being used by another registered corporation and enables the state to keep track of all businesses operating in Arkansas.
You can submit the DBA registration form online through the website of the Arkansas Secretary of State to register your sole proprietorship there. The five-year registration is $25, and there is a $25 registration fee.
You must formally dissolve your company with the state of Arkansas if you choose to shut down your small business there. You must submit Articles of Dissolution to the Secretary of State’s office in Arkansas in order to accomplish this. Articles of Dissolution filing fees are $50. Any business licenses or permissions you have obtained from the federal, state, or local governments must likewise be canceled.
Depending on the kind of business you run and where it is located, different business licenses in Arkansas cost different amounts. Additional licenses or permits can also be necessary in some Arkansas counties and localities. To learn more about the particular criteria for your firm, get in touch with your local government offices.
You must make a request for a Certificate of Good Standing from the Arkansas Secretary of State’s office. A Certificate of Good Standing is a record that attests to the fact that your company is registered with the state and in accordance with all applicable rules and laws. In Arkansas, a Certificate of Good Standing costs $10.
In conclusion, it’s crucial to file a DBA registration with the state of Arkansas if you’re launching a single proprietorship there. If you need to shut down your company, you must cancel all of your licenses and permits as well as submit Articles of Dissolution with the state. Depending on your region and type of business, the cost of an Arkansas business license varies, and you can pay a fee to the Arkansas Secretary of State’s office to receive a Certificate of Good Standing. You may make sure that your sole proprietorship is running lawfully in Arkansas by following these instructions.
The lack of liability protection offered by a DBA (Doing Business As) is one of its key drawbacks. This implies that any debts, claims, or other legal responsibilities of the company fall under the personal responsibility of the owner. Additionally, since the company is still regarded as a sole proprietorship for tax purposes, a DBA does not offer any tax advantages or benefits. Last but not least, certain banks and lenders might be reluctant to work with companies that simply have a DBA because they might consider them to be less established or legitimate than companies that are registered as an LLC or corporation.