Creating a limited liability company (LLC) in Arkansas is authorized by the Small Business Entity Tax Pass Through Act. As the name of the act suggests, a limited liability company is a form of business structure primarily designed for small businesses who desire to retain the tax benefits of a sole proprietorship or partnership, but also desire the protection from personal liability provided by a corporation. A limited liability company is created by filing the appropriate documents with the Secretary of State.
Check the availability of the name for your limited liability company. Arkansas law requires that the name be distinguishable from all other business entities on record with the Secretary of State. You can use the business name search on the Secretary of State's website (see Resources) to check name availability.
Prepare the Articles of Organization for your LLC for filing with the Secretary of State. This can be done in one of two ways: by downloading the form from the Secretary of State's website, printing the form and filling it out, or by completing and submitting the form online (see Resources). The information required for completing the Articles of Organization is the same no matter how you prepare it. You must insert the name of your company, the principal address, the name and address of the agent for service of process and, if control of the company is to be vested in one manager instead of all members, then the name and address of the manager is included in the articles.
Complete the Articles of Organization by signing and dating where indicated on the form. If the articles are prepared and submitted online, the filing fee is $45. If the articles were downloaded, printed and prepared in hard copy, submit the articles by mail to the Secretary of State's office (see Resources).The fee is $50 when the articles are filed by mail.
Prepare for filing the Franchise Tax Registration form, which you can also obtain from the Secretary of State's website. Your LLC must file an annual franchise tax report with the Secretary of State; filing this registration form ensures that you will receive the required annual franchise tax reporting form. You should file this form when you file your Articles of Organization. There is no filing fee for this form.
- Although a limited liability company created under Arkansas law is not required to have an operating agreement among its members, the law does require all operating agreements to be in writing.
- Arkansas law requires that the name for your company include words that identify it as a limited liability company or use a designation such as LLC.
- Arkansas Secretary of State: Limited Liability Company
- Arkansas Secretary of State: Search Incorporations, Cooperatives, Banks and Insurance Companies
- Arkansas Secretary of State: Articles of Organization for Limited Liability Company
- Arkansas Secretary of State: Limited Liability Company Franchise Tax
- Arkansas Secretary of State: Business Entity Service Fees, Forms and Procedures