Who should form an LLC in Arkansas?
Anyone who lives in Arkansas or runs their business from there. If you form in another state but operate in Arkansas, you will usually have to register there as a foreign LLC anyway, paying both states' fees. See home state or another state.
How do you form an LLC in Arkansas, step by step?
Choose and check the name
Search the state's business records and include "LLC", "L.L.C." or "Limited Liability Company" in the name.
Appoint a registered agent
A person or company with a physical street address in Arkansas. See what a registered agent is.
File the Certificate of Organization
Online through the Arkansas Secretary of State's business portal for $45, or on paper for $50. The form was renamed from Articles of Organization to Certificate of Organization.
Get an EIN and sign an operating agreement
The EIN is free from the IRS. See LLC operating agreement.
Register for state taxes
Sales tax and payroll as needed. Then note the first yearly filing date.
What does Arkansas require every year?
An Annual Franchise Tax Report with a flat $150 franchise tax, due by May 1 each year, starting in the year after the LLC is formed. File online with the Secretary of State. Late reports carry a penalty and interest, and long-unpaid franchise tax can lead to the LLC's charter being revoked. When closing an Arkansas LLC, a final franchise tax report and payment are due with the dissolution filing.
For deadlines, fees and late penalties in detail, see Arkansas LLC yearly filings.
What do the first two years cost?
| Item | Cost |
|---|---|
| Certificate of Organization | $45 online |
| Name reservation, optional | About $22.50 online |
| First Annual Franchise Tax Report, the following May | $150 |
The $150 franchise tax applies regardless of income, so budget for it even in a quiet year.
Should you file it yourself or use a formation service?
Filing yourself costs only the state fee, and the Arkansas filing is short enough for most owners to complete. A formation service saves time, can act as your registered agent and may send reminders for yearly filings, but compare total yearly costs: low headline prices are often paired with paid add-ons such as expedited filing, operating agreements or EIN applications, which you can do yourself free. Whichever you choose, keep the approved filing, the EIN letter and your operating agreement together. See how much an LLC costs.
Can a non-resident form an LLC in Arkansas?
Yes. Arkansas has no residency or citizenship requirement for an LLC's members or managers. You need a registered agent with a Arkansas street address and an EIN; a foreign owner without a Social Security number applies for the EIN on Form SS-4. A single-member LLC owned by a foreign person files Form 5472 with a pro forma Form 1120 every year, even with no US income. See can a non-resident own a US LLC and annual filings for foreign-owned LLCs.
What happens if you miss a required report?
The state usually charges a late fee and marks the LLC as not in good standing, which can block a certificate of good standing, a bank account or a loan. If the filing stays overdue, the state can administratively dissolve the LLC, ending its liability protection and its claim to the name. Reinstatement means filing every missing report and paying the fees owed, so put the dates in your calendar. See reinstating a dissolved LLC.
Which Arkansas taxes apply to an LLC?
Owners pay Arkansas income tax on their share of profit. Arkansas has a 6.5% state sales tax plus local taxes; register with the Department of Finance and Administration for a sales tax permit if you sell taxable goods.
If you sell online, see Arkansas sales tax for online sellers.
Federally, a Arkansas LLC is taxed like any other LLC. See how LLCs are taxed. For a side-by-side view of state costs, see how much an LLC costs.
Want your Arkansas LLC formed?
We file your Certificate of Organization, arrange the registered agent and EIN, and keep track of every Arkansas deadline for you.
Questions people ask
How much does it cost to form an LLC in Arkansas?
$45 online or $50 on paper for the Certificate of Organization.
What is the Arkansas LLC franchise tax?
A flat $150 a year, paid with the Annual Franchise Tax Report.
When is the Arkansas franchise tax report due?
By May 1 each year, starting the year after formation.
Is the Arkansas form called Articles of Organization?
It is now called a Certificate of Organization.
Sources
Every fee, date and rule on this page was taken from these official and primary sources.
- Arkansas Secretary of State: Business and commercial services
- Arkansas Department of Finance and Administration: Sales and use tax
- IRS: Get an employer identification number
- IRS: Employer identification number, including international applicants
Rules and fees change. If you are reading this long after October 1, 2026, confirm the figures with the source before you rely on them.
Related guides
More in State LLC formation
This guide is general information. It is not tax or legal advice for your situation.