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<v Dan>To start an LLC in Arkansas, you file a Certificate of Organization, Form LL-01,

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<v Dan>with the Arkansas Secretary of State, and pay $45 online.

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<v Maya>Forty-five dollars. Is that really all?

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<v Dan>For the formation, yes. After that there's a $150 franchise tax report every

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<v Dan>year.

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<v Maya>This is The Business Formation Podcast.

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<v Maya>Today, Arkansas for 2026, in six steps, with what it all costs and the three best

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<v Maya>ways to have it filed for you.

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<v Maya>What do I do first?

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<v Dan>Include limited liability company, limited company, or an abbreviation like LLC or

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<v Dan>LC. It also has to be distinguishable from names on record.

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<v Maya>How do I look it up?

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<v Dan>The Secretary of State has a free business search.

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<v Maya>And holding a name?

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<v Dan>A reservation lasts 120 days. It's $22.50 online.

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<v Maya>What does an Arkansas registered agent have to be?

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<v Dan>A person or a business located at an Arkansas street address.

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<v Maya>Can I use a mail drop?

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<v Dan>No. A P.O. box or mail drop isn't allowed.

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<v Maya>Is the agent's information public?

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<v Dan>Yes. That's why many owners use a commercial agent.

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<v Dan>And changing agents later is free.

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<v Maya>How do I file?

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<v Dan>Submit Form LL-01 through the Secretary of State's online filing system.

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<v Dan>It's $45.

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<v Maya>And on paper?

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<v Dan>$50.

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<v Maya>What does the form ask for?

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<v Dan>The name, a principal office, the registered agent, and at least one officer for

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<v Dan>franchise tax purposes.

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<v Maya>I'm Maya, by the way, here with Dan.

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<v Dan>Good to meet you, Maya. And the wait is short: most filings are done within two

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<v Dan>business days.

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<v Maya>Does the state need my operating agreement?

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<v Dan>No. It isn't filed with the Secretary of State, and there's no state fee.

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<v Maya>Then why write one?

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<v Dan>Arkansas law counts even an oral or implied agreement.

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<v Dan>So put yours in writing.

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<v Maya>What goes in it?

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<v Dan>Who owns what, how profits are split, who makes decisions, and what happens if a

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<v Dan>member leaves.

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<v Maya>Next is the federal part?

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<v Dan>Right. Apply for your EIN free with the IRS at IRS.gov, after the state files your

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<v Dan>Certificate.

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<v Maya>And speed?

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<v Dan>If the online application is approved, the number is issued right away.

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<v Dan>You'll need it for the franchise tax report, too.

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<v Maya>Beneficial ownership report?

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<v Dan>Skip it. FinCEN no longer requires it from U.S.

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<v Dan>companies.

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<v Maya>What's due every year?

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<v Dan>The Annual LLC Franchise Tax Report.

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<v Dan>You file it and pay the flat $150 tax by May 1.

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<v Maya>When does it start?

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<v Dan>The year after you form.

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<v Maya>Is there an extension?

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<v Dan>No extensions.

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<v Maya>And if I'm late?

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<v Dan>A $25 penalty plus interest. Keep not paying, and the state can revoke the LLC,

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<v Dan>while the tax keeps adding up.

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<v Maya>Give me the do-it-yourself total.

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<v Dan>$45 to form online. Then $150 a year in franchise tax.

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<v Maya>And the EIN?

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<v Dan>Free.

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<v Maya>So what's my first full stretch?

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<v Dan>$45 to form. The first $150 comes due the next May 1.

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<v Dan>That's $195 across those two steps.

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<v Maya>How much do I save going online?

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<v Dan>$5. It's $45 online and $50 on paper.

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<v Maya>Does the franchise tax change?

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<v Dan>No. It's a flat $150 either way.

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<v Maya>And if I hold the name first?

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<v Dan>Add the $22.50 reservation. That brings formation to $67.50

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<v Dan>online.

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<v Maya>Could I be my own agent?

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<v Dan>If you're a person at an Arkansas street address, the rules allow it.

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<v Maya>What about a friend?

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<v Dan>Same test. A person or business at an Arkansas street address, no P.O.

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<v Dan>box or mail drop.

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<v Maya>Commercial or not, does it matter?

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<v Dan>Either kind works, as long as the address qualifies.

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<v Dan>Changing later costs nothing.

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<v Maya>Let me press on May 1. What if I miss it?

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<v Dan>There's a $25 penalty plus interest.

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<v Maya>And if I keep ignoring it?

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<v Dan>The state can revoke the LLC. The tax keeps adding up in the meantime.

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<v Maya>So paying late is more than a one-time fee.

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<v Dan>Right. Interest builds, and with no extensions, May 1 is firm.

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<v Maya>You said the form asks for an officer.

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<v Maya>I thought LLCs had members.

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<v Dan>The form asks for at least one officer for franchise tax purposes.

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<v Maya>Is that on Form LL-01 itself?

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<v Dan>Yes. It's one of the items right alongside the name, the principal office, and the

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<v Dan>registered agent.

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<v Maya>So I should decide that before I file.

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<v Dan>Yes. Have the officer, the agent, and the principal office ready, and the filing is

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<v Dan>quick.

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<v Maya>Let me test the calendar. I form in the fall of this year.

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<v Maya>When is my first franchise tax?

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<v Dan>The year after you form, by May 1.

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<v Maya>So nothing this year?

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<v Dan>Right. The report starts the year after formation, and it's the flat $150.

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<v Maya>And the year after that?

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<v Dan>Every year on May 1, with no extensions.

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<v Dan>So set the reminder early.

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<v Maya>You said Arkansas counts an oral agreement.

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<v Maya>Does that mean I can skip writing one?

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<v Dan>You could, but I wouldn't. Arkansas law counts even an oral or implied agreement, so

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<v Dan>something unwritten still governs you.

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<v Maya>So there's a risk in leaving it vague.

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<v Dan>Right. Writing it down means you decide who owns what, how profits are split, and

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<v Dan>who makes decisions, rather than leaving it open.

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<v Maya>And the state never sees it?

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<v Dan>Never. It isn't filed, and there's no fee.

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<v Maya>Give me the numbers I should memorize.

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<v Dan>$45 to form online. $50 on paper.

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<v Dan>$150 franchise tax. May 1 deadline.

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<v Maya>And the penalty?

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<v Dan>$25 plus interest if you're late.

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<v Maya>And the free items?

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<v Dan>The EIN, and changing registered agents.

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<v Maya>Give me the order of operations.

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<v Dan>Search the name. Choose an agent at an Arkansas street address.

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<v Dan>File Form LL-01 online for $45.

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<v Dan>Then get your EIN and write your operating agreement.

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<v Maya>And the calendar?

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<v Dan>The franchise tax report, with the $150, by May 1 every year.

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<v Maya>What if I want someone else to file it?

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<v Dan>Here are the three best ways to file in Arkansas.

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<v Dan>Number one, our pick, is Mainstay Filing, $199 a year plus the state fee.

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<v Dan>With the $45 state fee, checkout comes to $244.

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<v Maya>What does it cover?

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<v Dan>Your Form LL-01 filed, your EIN application, and your registered agent every

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<v Dan>year. It renews at the same $199.

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<v Maya>And the franchise tax report?

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<v Dan>In Arkansas, Mainstay files it before May 1 every year.

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<v Dan>You pay only the $150 tax.

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<v Maya>Number two?

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<v Dan>AR Registered Agent.org. It prepares and files your Certificate for

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<v Dan>$199 plus the state fee, also $244 at checkout.

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<v Dan>The first year of agent service is free, then it's $99 a year.

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<v Maya>And number three?

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<v Dan>Arkansas Registered Agent.co. Same offer.

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<v Dan>$199 plus the state fee, first year of agent service free, then $99 a

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<v Dan>year.

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<v Maya>How do I choose?

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<v Dan>If you'll file your own franchise tax report, numbers two and three cost less from

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<v Dan>year two, at $99 a year for the agent alone.

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<v Dan>The $150 tax is the same either way.

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<v Maya>Give me the three-year comparison.

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<v Dan>Mainstay is $199 a year, so $597.

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<v Dan>Number two or three is $199 in year one, then $99 in each of the next

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<v Dan>two years, for $397.

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<v Maya>A $200 gap.

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<v Dan>Yes, and in Arkansas, that gap pays for having your franchise tax report filed

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<v Dan>before May 1.

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<v Maya>One more pass?

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<v Dan>Choose a name with LLC in it, name a registered agent at an Arkansas street address,

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<v Dan>file Form LL-01 online for $45, write an operating agreement, get your free

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<v Dan>EIN, and file your $150 franchise tax report by May 1 every year.

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<v Maya>The links to all three services and every official source are in the show notes.

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<v Maya>Thanks for listening to The Business Formation Podcast, and good luck with your new

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<v Maya>Arkansas LLC.