Arkansas Certificate of Formation (2026)

Fact-checked by the LegalGlass editorial team against primary sources · Published Aug 6, 2026 · Last updated Aug 6, 2026

To form an Arkansas LLC, you file Articles of Organization (Form LL-01) with the Arkansas Secretary of State and pay the $45 filing fee. This can be done online or by mail. You must appoint a registered agent with a physical street address in Arkansas, and the LLC will be subject to an annual franchise tax of $150.

Arkansas Agency and Form: Secretary of State, Form LL-01

An Arkansas Limited Liability Company (LLC) is officially created by filing Articles of Organization with the Arkansas Secretary of State. The specific form for this purpose is Form LL-01, available from the Secretary of State's website. The acceptance of these articles by the Secretary of State is the legal action that establishes the LLC's existence under Arkansas law.

Form LL-01 requires essential information about the LLC, including its name, the name and address of its registered agent, and the names and addresses of its organizers. The chosen name must include an LLC designator (such as "LLC," "L.L.C.," or "Limited Liability Company") and must be distinguishable from other entity names already on file with the Secretary of State. You can verify name availability using the Secretary of State's online business entity search. Filings can be submitted online through the Secretary of State's online filing system or by mail. For a general overview of LLC formation, refer to our guide on how to form an LLC.

How to Form an Arkansas LLC, Step by Step

Forming an Arkansas LLC involves several key steps, primarily centered around the Articles of Organization. Each step ensures compliance with Arkansas state law and federal tax regulations.

1. Choose and check your LLC name. Select a name that meets Arkansas's naming requirements, including an LLC designator, and is distinguishable from existing entities. Use the Arkansas Secretary of State's online tools to check name availability. If you're not ready to file immediately, you can reserve a name for 120 days by filing a Name Reservation Application (Form LL-02) with a $25 fee. Also, consider checking for federal trademark conflicts.
2. Appoint an Arkansas registered agent. Every Arkansas LLC must designate a registered agent who has a physical street address in Arkansas (the registered office). The agent, who can be an individual Arkansas resident or a qualified entity, must consent to this appointment. This agent is responsible for receiving legal documents and official correspondence on behalf of the LLC.
3. File the Articles of Organization (Form LL-01). Submit Form LL-01 to the Arkansas Secretary of State along with the $45 filing fee. Filing online is generally the quickest method, but mail submissions are also accepted. Your LLC officially begins its existence once the Secretary of State accepts the filing.
4. Create an operating agreement. While Arkansas law does not require filing an operating agreement with the state, it is a crucial internal document. An operating agreement outlines the LLC's ownership structure, management responsibilities, member rights and duties, and profit distribution methods. It helps prevent future disputes among members.
5. Get an EIN and register for state taxes. Obtain a free federal Employer Identification Number (EIN) from the IRS. This is necessary for opening a business bank account, hiring employees, and filing federal taxes. Additionally, register your LLC with the Arkansas Department of Finance and Administration (DFA) for any applicable state taxes, such as sales tax or withholding tax.

After these initial steps, it is advisable to open a dedicated business bank account (most banks will require the filed Articles of Organization and EIN) and ensure ongoing compliance with annual franchise tax requirements and registered agent maintenance.

Arkansas LLC Filing Fees (2026)

The primary state fee for forming an Arkansas LLC is the $45 filing fee for the Articles of Organization. Below is a table detailing common state fees for new LLCs, based on the Arkansas Secretary of State's fee schedule and the Department of Finance and Administration. All amounts are current for 2026.

The Arkansas Secretary of State does not offer expedited processing for LLC filings. Always confirm current fees directly with the Secretary of State before filing, as they are subject to change.

Arkansas Registered Agent Requirement

An Arkansas registered agent is a mandatory appointment for every LLC formed in the state. This individual or entity serves as the official point of contact for receiving legal documents, such as service of process, and official state correspondence. Arkansas law mandates that every domestic LLC must continuously maintain a registered agent and a registered office within the state.

The registered agent must be either an individual resident of Arkansas or a domestic or foreign entity authorized to transact business in Arkansas. The registered office must be a physical street address in Arkansas, not solely a post office box. The initial registered agent is designated directly on Form LL-01. It is crucial that the appointed agent consents to serve in this capacity, and while not filed with the state, it is good practice to keep a written consent on file. You may serve as your own registered agent, appoint an LLC member or manager, or hire a commercial registered agent service. If you need to change your registered agent or office, you must file Form LL-07, Statement of Change of Registered Office or Agent, with the Secretary of State. There is no filing fee for this form. Failure to maintain a registered agent can lead to the administrative dissolution of your LLC by the Secretary of State. For more detailed information, consult our registered agent overview.

Arkansas Annual Franchise Tax

Arkansas LLCs are subject to an annual franchise tax, which is administered by the Arkansas Secretary of State. This is a recurring obligation separate from the initial filing fee. The annual franchise tax is $150 and is due by May 1st each year. This tax is a fee for the privilege of doing business in Arkansas and is not an income tax.

The annual franchise tax report must be filed online through the Secretary of State's website. Failure to file the annual report and pay the franchise tax can result in penalties, including the administrative dissolution of the LLC. It is important to keep your contact information updated with the Secretary of State to ensure you receive reminders and notices regarding this annual requirement. Unlike some states, Arkansas does not require a separate annual report filing beyond the franchise tax report for LLCs.

Arkansas State Income Tax and Other Taxes

Arkansas imposes an individual income tax on its residents. For LLCs, the default tax classification by the IRS is as a pass-through entity. This means that the LLC itself generally does not pay state income tax. Instead, the LLC's profits and losses "pass through" to the owners' personal income, and the owners report these on their individual Arkansas income tax returns. The Arkansas Department of Finance and Administration (DFA) oversees state income tax collection.

If your LLC sells tangible goods or certain services in Arkansas, you will likely need to collect and remit sales and use tax. You must register with the Arkansas DFA to obtain a sales and use tax permit, which is free. The DFA also administers other business taxes, such as withholding tax if your LLC has employees. While Arkansas does not have a general statewide business license, specific industries or professions may require licenses or permits from state agencies or local governments. It is essential to research these requirements based on your specific business activities and location. For more information on business taxes, see our business tax guide.

EIN and Business Licenses

A federal Employer Identification Number (EIN) is a unique nine-digit number assigned by the IRS, similar to a Social Security number for businesses. It is free to obtain and is essential for most LLCs. You will need an EIN to open a business bank account, file federal and state tax returns, and if your LLC has employees or more than one member. The IRS provides the EIN application (Form SS-4) online, by fax, or by mail. For detailed instructions, refer to our guide on how to get an EIN.

Beyond state-level registration, your Arkansas LLC may need various business licenses and permits depending on its industry and location. While Arkansas does not have a single general business license, many professions are regulated at the state level (e.g., healthcare, construction, cosmetology). Additionally, cities and counties often have their own licensing requirements, such as general business licenses, zoning permits, or health permits. It is crucial to identify and secure all necessary licenses and permits before commencing business operations to avoid penalties. You can often find information on state-level licenses through the Arkansas Department of Commerce or specific professional boards, and local licenses by contacting your city or county clerk's office. For a broader understanding, see our business licenses guide.

Penalties for Non-Compliance

Failure to comply with Arkansas's LLC requirements can lead to significant penalties. If an LLC fails to file its annual franchise tax report or pay the $150 fee by the May 1st deadline, the Secretary of State may impose late fees and, eventually, administratively dissolve the LLC. Administrative dissolution means the LLC loses its legal standing and protection, potentially exposing its owners to personal liability for business debts.

Similarly, if an LLC fails to maintain a registered agent and registered office, the Secretary of State can initiate administrative dissolution after providing notice. Reinstating an administratively dissolved LLC typically involves filing all delinquent reports, paying all outstanding fees and penalties, and submitting a reinstatement application. Maintaining compliance with registered agent requirements and annual franchise tax obligations is crucial for the continued legal operation and protection of your Arkansas LLC.

Closing an Arkansas LLC

To properly close an Arkansas LLC, you must follow a formal dissolution process. This involves winding up the business affairs, settling debts, and distributing remaining assets. The final step is to file Articles of Dissolution (Form LL-06) with the Arkansas Secretary of State. Before filing the Articles of Dissolution, it is advisable to ensure all state tax obligations, including the annual franchise tax, are satisfied with the Secretary of State and the Department of Finance and Administration. Simply ceasing business operations without formal dissolution can leave the LLC liable for ongoing fees and potential penalties. For comprehensive guidance on closing an LLC, refer to our general guide on how to dissolve an LLC.

Frequently Asked Questions

How much does it cost to start an LLC in Arkansas?

The state filing fee for the Articles of Organization (Form LL-01) is $45, paid to the Arkansas Secretary of State. There is also an annual franchise tax of $150 due each year.

What form do I file to create an Arkansas LLC?

You file Form LL-01, Articles of Organization for a Limited Liability Company, with the Arkansas Secretary of State. It can be filed online or by mail with the $45 fee.

Does an Arkansas LLC need a registered agent?

Yes. Every Arkansas LLC must continuously maintain a registered agent and a physical Arkansas street address. The agent must be an Arkansas resident or a qualified entity and must consent to the appointment.

Does Arkansas have an annual report for LLCs?

Arkansas requires an annual franchise tax report and payment of $150. This report is due May 1st each year to the Secretary of State.

Does an Arkansas LLC pay state income tax?

Arkansas imposes an individual income tax. LLCs are typically pass-through entities, meaning profits are taxed at the owner's individual income tax rate. The LLC itself does not pay state income tax unless it elects corporate taxation.

How do I change my Arkansas registered agent?

File Form LL-07, Statement of Change of Registered Office or Agent, with the Arkansas Secretary of State. There is no filing fee for this form.

Related

• How to form an LLC (cluster hub)
• Arkansas registered agent requirements
• How much does an Arkansas LLC cost?
• How to get an EIN
• Arkansas annual report and franchise tax
• How to dissolve an LLC in Arkansas
• How to form an LLC in Missouri (sibling)

Sources

1. Arkansas Secretary of State - Limited Liability Company Information (general LLC overview).
2. Arkansas Secretary of State - LLC Forms (Form LL-01 Articles of Organization; Form LL-02 Name Reservation; Form LL-07 Statement of Change).
3. Arkansas Secretary of State - Business & Commercial Services Fee Schedule (PDF) ($45 Articles of Organization; $25 Name Reservation).
4. Arkansas Secretary of State - Registered Agent Information (requirements for registered agents).
5. Arkansas Secretary of State - Business Entity Search (name availability check).
6. Arkansas Secretary of State - Online Filing System (for Articles of Organization and annual reports).
7. Arkansas Secretary of State - Franchise Tax Information ($150 annual franchise tax; May 1st due date).
8. Arkansas Department of Finance and Administration - Individual Income Tax (LLC pass-through taxation).
9. Arkansas Department of Finance and Administration - Sales and Use Tax (permit requirements).
10. Arkansas.gov - Business Licensing and Permits (general information on state licenses).
11. Arkansas.gov - Starting a Business in Arkansas (overview of steps).
12. Arkansas.gov - Closing a Business in Arkansas (dissolution guidance).
13. IRS - Limited Liability Company (LLC) (federal default classification).
14. IRS - Get an Employer Identification Number (free EIN).

LegalGlass provides general information for educational purposes and is not a law firm or a substitute for advice from a licensed attorney or tax professional. Laws, fees, and thresholds change; verify current requirements with the Arkansas Secretary of State and Arkansas Department of Finance and Administration before acting.