⬤ Arkansas · LLC Formation
How to Form an LLC in Arkansas
Form your Arkansas LLC for one of the lowest fees in the country – CountSure files your $45 Certificate of Organization and keeps your May 1 franchise tax on schedule. Just $45 online to file – among the cheapest states.
Requirements, costs & steps for an Arkansas LLC
Arkansas has one of the lowest LLC filing fees in the country – just $45 online – which makes it an affordable place to get started. The catch every owner needs to know about is the flat $150 annual franchise tax, due May 1, which applies to LLCs here and not only to corporations. This guide covers the real costs, the filing order, and that franchise-tax deadline in plain terms. Want it handled for you? Our Arkansas LLC formation service files everything and keeps your franchise tax on schedule.
⬤ Key takeaways
What you need to know?
- Filing fee: $45 online / $50 by mail for the Certificate of Organization, filed with the Arkansas Secretary of State.
- Franchise tax: Flat $150 every year, due May 1 - applies to Arkansas LLCs, not just corporations.
- First payment timing: Your first franchise tax is due May 1 of the year AFTER formation, so a late-year formation can be forward-dated to January 1.
- Registered agent: Required - must have a physical Arkansas street address (no PO box).
- No expedited filing: Arkansas doesn’t offer paid expedited processing online is simply faster than mail.
Arkansas LLC at a glance
The essentials for forming and maintaining an Arkansas LLC.
| Requirement | Detail (2026) |
|---|---|
| Formation document | Certificate of Organization (Form LL-01) |
| Filing agency | Arkansas Secretary of State (Business & Commercial Services) |
| State filing fee | $45 online / $50 by mail |
| Typical processing time | ~3–7 business days online; 2–4 weeks by mail |
| Expedited option | None |
| Registered agent | Required; physical Arkansas address |
| Annual franchise tax | Flat $150, due May 1 (year after formation) |
| Name reservation (optional) | 120 days for $22.50 online / $25 mail |
| Income tax | 3.9% to 3.7%, retroactive to January 1, 2026 |
| Sales tax | State 6.5% + local (standard sales tax) |
⬤ Step by step
How to form an Arkansas LLC, step by step
Seven steps from name check through your first May 1 franchise tax.
Choose and check your LLC name
Your name must include “LLC,” “L.L.C.,” or “Limited Liability Company,” and be distinguishable from existing Arkansas entities. Search the Secretary of State’s business database; you can optionally reserve a name for 120 days for $22.50 online.
Appoint a registered agent
Choose an individual Arkansas resident or a registered agent service with a physical in-state address (no PO box) available during business hours. CountSure can serve as your registered agent.
File your Certificate of Organization (Form LL-01)
File online for $45 (fastest) or by mail for $50. You’ll provide the LLC name, principal address, registered agent, and organizer details. Note: Arkansas renamed this from “Articles of Organization” in 2021, so you may see both terms.
Create an operating agreement
Not filed with the state, but strongly recommended – it sets ownership, profit splits, and management and reinforces your liability protection.
Get an EIN from the IRS
Free, and needed for banking, hiring, and state tax accounts.
Register for state taxes and licenses
If you sell taxable goods/services, register for sales tax with the Department of Finance and Administration, and check city/county business license requirements.
Every Arkansas LLC owes the flat $150 franchise tax by May 1 each year, starting the year after formation. Set a reminder – non-payment can revoke your LLC.
⬤ Naming & ownership
Naming & member requirements
A compliant name and a clear management structure keep your filing moving. Here’s what Arkansas requires.
- Required ending: “LLC,” “L.L.C.,” or “Limited Liability Company.”
- Restricted words: erms implying banking, insurance, or regulated activity generally need approval.
- Optional reservation: Hold an available name for 120 days for $22.50 online / $25 by mail.
- Minimum members: One - Arkansas allows single-member LLCs. No residency or age requirement.
- Management: Member-managed or manager-managed; you indicate this on the Certificate of Organization.
Ongoing Arkansas LLC compliance & taxes
Annual franchise tax - $150
Under the Arkansas Corporate Franchise Tax Act (A.C.A. § 26-54-101 et seq.), every Arkansas LLC owes a flat $150 franchise tax each year, due May 1. Unlike many states, this applies to LLCs – not just corporations. Your first report is due May 1 of the year after your LLC’s effective date. Non-payment blocks any further Secretary of State filings and can revoke your LLC’s charter; anyone “substantially connected” to a revoked LLC may also be barred from forming new Arkansas entities.
Sales and income tax
Arkansas has a standard sales tax (6.5% state plus local rates); register with the Department of Finance and Administration if you sell taxable goods or services. LLC profits pass through to your personal return by default, taxed under Arkansas’s graduated income tax.
EIN and licenses
Get a free EIN from the IRS. Arkansas has no statewide general business license, but many cities/counties require a local license, and some industries need specific permits.
Arkansas LLC cost breakdown
What you’ll actually pay to form and run an Arkansas LLC.
| Item | Cost (2026) · paid to |
|---|---|
| Certificate of Organization | $45 online / $50 mail · Secretary of State (one-time) |
| Annual franchise tax | $150 / year · Secretary of State, due May 1 |
| Name reservation (optional) | $22.50 online / $25 mail · 120-day hold |
| Registered agent (optional service) | ~$100–$300/yr · third party |
| EIN | $0 · IRS (free) |
Insight from our team
Our guidance reflects hands-on filing experience across all 50 states and the District of Columbia, reviewed against current Secretary of State and Department of Revenue requirements.
“Arkansas is one of the cheapest states to get an LLC off the ground – forty-five dollars online is about as low as it gets. The piece people miss is that the $150 franchise tax applies to LLCs here, not just corporations, and it’s a hard May 1 deadline with real teeth: miss it and you can’t make any other state filing until it’s paid. If a client forms in the last quarter of the year, we forward-date to January 1 so they aren’t paying franchise tax on an entity that barely existed.”
Parth Shah
CountSure
⬤ Keep exploring
Related guides & services
- All state formation guides
Frequently asked questions
The state filing fee is $45 online ($50 by mail) for the Certificate of Organization. After that, the flat $150 annual franchise tax is your main recurring state cost.
Yes. Arkansas charges a flat $150 franchise tax to LLCs (as well as corporations), due May 1 each year, starting the year after formation.
May 1 of the year after your LLC’s effective date. For example, an LLC formed anytime in 2026 files its first report by May 1, 2027.
Arkansas doesn’t offer paid expedited processing. Filing online (about 3–7 business days) is simply faster than filing by mail (2–4 weeks).
Yes. You must appoint a registered agent with a physical Arkansas address. You can serve as your own, but many owners use a service for privacy and reliability.
Non-payment blocks further Secretary of State filings and can revoke your LLC’s charter. People connected to a revoked LLC may also be barred from forming new Arkansas entities until it’s resolved.
Get Started
Start your Arkansas LLC with CountSure
From the Certificate of Organization to your EIN, registered agent, and that all-important May 1 franchise tax, CountSure handles your Arkansas LLC end to end.
- Free 30-minute consultation with a CPA
- Fixed-fee, fully transparent pricing
- 100% remote - no travel or visa required
