Arkansas Entity Types Guide

Published: July 9, 2025 • Incorporation
Arkansas Entity Types Guide | Complete Guide to LLCs, Corporations & Business Structures
🏛️ ARKANSAS
Arkansas Entity Types Guide

Complete guide to forming LLCs, corporations, nonprofits, and professional entities in Arkansas – MBCA-based modern statutes, protected series LLCs, and DAPT jurisdiction

💼
LLC Formation Fee
$50
🏢
Corporation Formation
$50
📋
Annual Franchise Tax
$150
⚖️
Business Hub
Natural State
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Arkansas Entity Types – Overview

🏛️ Welcome to Arkansas Business Formation

Arkansas offers a modern, MBCA-based business statute framework with competitive filing fees and advanced entity options. Whether you’re establishing a local business, managing real estate holdings, or setting up multi-jurisdictional operations, Arkansas provides modern uniform-act statutes, protected series LLCs, benefit corporation structures, and domestic asset protection trust (DAPT) capabilities.

Arkansas Business Entity Menu

The Arkansas Secretary of State’s Business & Commercial Services division recognizes the following business entity types:

Limited Liability Companies

  • Domestic LLC
  • Professional LLC (PLLC)
  • Protected Series LLC
  • Foreign LLC (registered)

Corporations

  • For-Profit Corporation (MBCA)
  • Professional Corporation (PC)
  • Benefit Corporation
  • Nonprofit Corporation
  • Foreign Corporation

Partnerships

  • General Partnership
  • Limited Partnership (LP)
  • Limited Liability Partnership (LLP)
  • Limited Liability Limited Partnership (LLLP)

Specialty Entities

  • Foreign Business Trust (registration)
  • Cooperatives
  • Public Water Authorities

Key Arkansas Advantages

✅ Arkansas Business Benefits:
  • MBCA jurisdiction: Modern Business Corporation Act of 1987 makes Arkansas predictable for out-of-state investors
  • Competitive fees: $50 formation fees for LLCs and corporations
  • Protected series LLCs: Arkansas Uniform Protected Series Act allows liability segregation within one LLC
  • DAPT jurisdiction: 2023 legislation established domestic asset protection trust provisions
  • Benefit corporation statute: Public-benefit overlay for mission-driven businesses
  • Modern uniform acts: ULLCA, UPA (1996), ULPA (2001) align with national best practices
  • Online filing: Arkansas.gov portal for 24/7 business filings

Arkansas vs Other Jurisdictions

Factor Arkansas Delaware Wyoming
LLC Formation Fee $50 $90 $100
LLC Annual Report $150 franchise tax $300 $60
Corp Annual Report $150 franchise tax $50 + franchise tax $60
Series LLC ✅ Protected Series Act ✅ Yes ❌ No
DAPT Jurisdiction ✅ Yes (2023) ✅ Yes ✅ Yes

When to Choose Arkansas Formation

✅ Choose Arkansas When:

  • Operating a business physically located in Arkansas
  • Real estate investments in Arkansas
  • Professional practice in Arkansas (law, medicine, etc.)
  • Need protected series LLC structure
  • Asset protection planning (DAPT + FLP/LLC structures)
  • Benefit corporation or social-impact business
  • Prefer MBCA predictability for investors

⚠️ Consider Delaware/Other States When:

  • Raising venture capital (VCs prefer Delaware C-corps)
  • Planning to go public (Delaware corporate law track record)
  • No physical Arkansas presence (may qualify as foreign entity)
  • Multi-state operations (consider operational headquarters state)
⚠️ Foreign Qualification Requirement:

If your business is formed in another state but conducts business in Arkansas, you must register as a foreign entity (foreign LLC or foreign corporation) with Arkansas. This requires filing with the Secretary of State and annual franchise tax ($150).

“Doing business” in Arkansas generally includes:

  • Having a physical office or location in Arkansas
  • Employing workers in Arkansas
  • Regular, ongoing sales or services to Arkansas customers (beyond isolated transactions)
  • Owning or leasing real property in Arkansas for business purposes

Quick Comparison: Arkansas Entity Types

This table provides a high-level comparison of Arkansas’s business structures. Scroll horizontally on mobile devices.

Factor Sole Proprietorship General Partnership LP/LLLP LLP LLC Corporation Benefit Corp PC/PLLC
Liability Shield ❌ None ❌ Joint & several ⚠️ GPs: none (LP) / limited (LLLP); LPs: limited ✅ Yes (except own acts) ✅ Yes ✅ Yes ✅ Yes ✅ Yes (except own malpractice)
Tax Default Schedule C Pass-through (K-1) Pass-through (K-1) Pass-through (K-1) Pass-through (or elect C-corp) C-corp (or elect S-corp) C-corp (or elect S-corp) C-corp, S-corp, or pass-through
Formation Fee $0 $0 (if unregistered) $50 $50 $50 $50 $50 $50
Annual Franchise Tax ❌ No ❌ No ✅ $150 ✅ $150 ✅ $150 ✅ $150 ✅ $150 ✅ $150
Owner Restrictions 1 person only 2+ persons 1+ GP, 1+ LP 2+ partners 1+ members 1+ shareholders 1+ shareholders Licensed professionals only
Best Use Cases Solo freelancers, minimal risk Small partnerships, low formality Real estate, FLPs, passive investors Law/accounting firms Most small/mid businesses VC-backed startups, going public Mission-driven businesses Lawyers, doctors, CPAs, etc.

Arkansas Limited Liability Companies (LLCs)

Arkansas LLCs are governed by the Arkansas Uniform Limited Liability Company Act, Ark. Code Ann. § 4-38-101 et seq. Arkansas also has a modern protected series statute for advanced liability segregation.

Standard LLCs: Formation

Articles of Organization

Arkansas LLCs are formed by filing Articles of Organization with the Arkansas Secretary of State.

Requirement Details
LLC Name Must include “Limited Liability Company,” “LLC,” or “L.L.C.”
Principal Office Address Physical address (can be in or outside Arkansas)
Registered Agent Name and physical Arkansas street address (no PO boxes)
Management Structure Member-managed (default) or manager-managed
Organizer Name and address of person forming the LLC
Effective Date Upon filing or specify future date

Filing Fees & Processing

Filing Method Fee Processing Time
Online (Arkansas.gov) $50 1-3 business days
Mail $50 7-10 business days

Operating Agreement

📋 Operating Agreement (Strongly Recommended):

While Arkansas does not require you to file an operating agreement, having a written operating agreement is essential. The operating agreement governs internal operations and member relationships.

Key provisions to address:

  • Member capital contributions and ownership percentages
  • Profit and loss allocation
  • Management structure (member-managed vs manager-managed)
  • Voting rights and quorum requirements
  • Transfer restrictions and buy-sell provisions
  • Dissolution and liquidation procedures

Annual Franchise Tax

Requirement Details
Required? ✅ Yes
Fee $150
Due Date May 1 annually
Filing Method Online via Arkansas Secretary of State

Protected Series LLCs

Arkansas adopted the Arkansas Uniform Protected Series Act, Ark. Code Ann. § 4-37-101 et seq., which allows an LLC to establish multiple “protected series” within a single umbrella entity.

How Protected Series Work

🔒 Protected Series Concept:

One umbrella LLC can create multiple protected series, each with:

  • Separate associated assets and liabilities
  • Limited liability segregation (creditors of Series A cannot reach assets of Series B if formalities respected)
  • Independent business purposes (e.g., Series A = Property 1, Series B = Property 2)
  • Separate record-keeping requirements

Formation & Requirements

  • Operating Agreement: Must explicitly authorize protected series
  • Record-Keeping: Separate books and records for each series
  • Asset Segregation: Assets must be clearly associated with specific series
  • Notice: Third parties must receive notice of series structure
  • Registration: Each series may require separate filing with Secretary of State (check current rules)

Best Use Cases for Series LLCs

  • Real estate holdings: Each property in a separate series to limit cross-liability
  • Investment funds: Multiple investment portfolios under one umbrella
  • Multi-brand businesses: Separate brands or product lines with liability segregation
  • Asset protection planning: Coupled with DAPT structures for sophisticated planning
⚠️ Series LLC Complexity:

Series LLCs require sophisticated legal structuring and ongoing compliance. Formation costs and legal fees are higher than standard LLCs. Consult with an attorney familiar with Arkansas protected series law before forming.

Professional Limited Liability Companies (PLLCs)

Arkansas allows licensed professionals to form Professional LLCs (PLLCs) for the practice of their profession.

Who May Form a PLLC

  • Licensed attorneys
  • Physicians and surgeons
  • Dentists
  • Architects
  • Engineers
  • Accountants (CPAs)
  • Other licensed professionals (check with licensing board)

PLLC Requirements

  • Members: All members must be licensed in the same profession (or related professions if board allows)
  • Managers: If manager-managed, managers must be licensed professionals
  • Name: May need to include profession or “PLLC” / “Professional LLC” (check licensing board rules)
  • Liability: No shield for own malpractice; PLLC protects from other members’ malpractice and general business debts
  • Licensing board approval: Some professions require pre-formation approval from licensing authority

✅ When to Choose LLC/PLLC

  • Want liability protection with pass-through tax
  • Flexible management and profit allocation
  • Operating a small/mid-sized business or real estate holdings
  • Professional practice (if PLLC authorized for your profession)
  • Not raising venture capital or planning IPO
  • Asset protection planning (especially with series or DAPT)

❌ When to Avoid LLC/PLLC

  • Raising venture capital (VCs prefer C-corps)
  • Going public (must be corporation)
  • Want to issue stock options/equity grants to employees
  • Your profession requires PC (not PLLC) per licensing board

Arkansas Corporations

Arkansas corporations are governed primarily by the Arkansas Business Corporation Act of 1987, Ark. Code Ann. § 4-27-101 et seq., a modern MBCA-based statute. Legacy corporations may still operate under the older Chapter 26 statute.

For-Profit Corporations

Formation: Articles of Incorporation

Corporations are formed by filing Articles of Incorporation with the Arkansas Secretary of State.

Required Content for Articles of Incorporation

  1. Corporate name (must include “Corporation,” “Company,” “Incorporated,” or “Limited,” or abbreviation; cannot end with “Company”/”Co.” if immediately preceded by “and” or “&”)
  2. Number of authorized shares (and classes/series if more than one)
  3. Registered agent name and Arkansas street address
  4. Principal office address
  5. Incorporator(s) name and address
  6. Director information (if initial directors named)

Filing Fee

  • Articles of Incorporation: $50
  • Processing: Online filings typically processed within 1-3 business days

Annual Franchise Tax

Requirement Details
Required? ✅ Yes
Fee $150
Due Date May 1 annually

Corporate Governance

  • Shareholders: Elect directors, approve major transactions
  • Board of Directors: Manage business and affairs; delegate to officers
  • Officers: CEO, CFO, Secretary, etc.; appointed by board
  • Bylaws: Required (not filed; kept in corporate records)
  • Meetings: Annual shareholder meetings required

Tax Treatment

Tax Election How It Works
C-Corporation (default) Entity-level tax on corporate income; dividends taxed to shareholders (double taxation)
S-Corporation (election) Pass-through tax; income flows to shareholders on K-1; must meet IRS eligibility (≤100 shareholders, all U.S. individuals/estates/trusts, one class of stock)

Benefit Corporations

Arkansas enacted the Arkansas Benefit Corporation Act, Ark. Code Ann. § 4-36-101 et seq., for mission-driven businesses.

Formation & Requirements

  • Articles designation: Articles of incorporation must state that the corporation is a benefit corporation
  • General public benefit: Must pursue “material positive impact on society and the environment” assessed using a third-party standard
  • Specific public benefit (optional): May also identify specific benefits (e.g., environmental restoration, underserved communities)
  • Annual benefit report: File with Secretary of State and provide to shareholders; must use third-party standard (e.g., B Lab)
  • Shareholder approval for conversion: Typically requires two-thirds shareholder vote to convert to or from benefit corporation status

Governance & Accountability

🌱 Benefit Corporation Directors:

Directors must consider:

  • Shareholders and financial interests
  • Employees and workforce
  • Customers and product/service recipients
  • Community and societal factors
  • Local and global environment
  • Long-term interests of the benefit corporation

Shareholders have standing to enforce benefit purposes through benefit enforcement proceedings.

✅ When to Choose Corporation

  • Raising venture capital or planning IPO
  • Want stock options/equity incentive plans
  • Multiple classes of stock needed (preferred, common)
  • S-corp election for self-employment tax savings
  • Established corporate governance structure desired
  • MBCA predictability for investors

✅ When to Choose Benefit Corporation

  • Mission-driven or social-impact business model
  • Want legal protection for pursuing public benefit alongside profit
  • B Corp certification planned or desired
  • Need stakeholder governance framework
  • Attract impact investors or mission-aligned capital

Professional Entities

Professional Corporations (PCs)

Arkansas authorizes Professional Corporations under the Arkansas Professional Corporation Act, Ark. Code Ann. § 4-29-201 et seq. The Act makes the Business Corporation Act applicable to PCs “including their organization, corporate structure and powers” unless inconsistent.

Who May Form a Professional Corporation

  • Attorneys
  • Physicians and surgeons
  • Dentists
  • Chiropractors
  • Veterinarians
  • Certified Public Accountants (CPAs)
  • Architects
  • Professional engineers
  • Other licensed professionals (consult licensing board)

Formation & Ownership Restrictions

  • Purpose: PC must be organized solely for practice of licensed profession
  • Shareholders: Only licensed professionals in same field (or related fields if allowed by licensing board)
  • Directors/Officers: Must be licensed professionals
  • Name: Must comply with licensing board rules (typically “P.C.” or “Professional Corporation”)
  • Filing fee: $50 (same as regular corporation)
  • Licensing board approval: Some professions require pre-formation approval or notification

Liability

🚨 No Malpractice Shield:

A professional corporation does not shield individual professionals from personal liability for their own malpractice or negligence. The PC limits liability for:

  • Other professionals’ malpractice
  • General business debts
  • Contractual obligations

Each professional remains personally liable for their own professional acts.

PC vs PLLC Comparison

Factor Professional Corporation (PC) Professional LLC (PLLC)
Structure Corporation (MBCA + PC Act overlay) LLC (ULLCA + professional overlay)
Tax default C-corp (can elect S-corp) Pass-through (can elect C-corp/S-corp)
Formality High (board, bylaws, minutes, shareholder meetings) Medium (operating agreement, less formality)
Annual franchise tax $150 $150
Liability shield Yes (except own malpractice) Yes (except own malpractice)
Best for Traditional firms; S-corp tax planning; investor-backed practices Modern firms; pass-through simplicity; flexible management

Choosing Between PC and PLLC

Choose PC When:

  • Licensing board requires or prefers PC structure
  • S-corp election desired for self-employment tax savings
  • Traditional corporate governance preferred
  • Malpractice carrier requires corporate form
  • Planning to bring in investors or go public eventually

Choose PLLC When:

  • Licensing board allows PLLC (most do)
  • Prefer pass-through tax treatment by default
  • Want flexible management structure
  • Lower formality and simpler governance desired
  • Modern, streamlined professional practice

Partnerships

General Partnership

General partnerships in Arkansas are governed by the Arkansas Uniform Partnership Act (1996), Ark. Code Ann. § 4-46-101 et seq., a modern RUPA-style statute.

Formation

  • No formal filing required: Partnership arises by default when two or more persons carry on a business for profit as co-owners
  • Partnership agreement: Recommended but not required (oral or written)
  • Optional trade name registration: If doing business under name other than partners’ names

Liability

🚨 Joint & Several Liability:

Each partner is jointly and severally liable for all partnership debts and obligations. One partner’s actions can bind the entire partnership and expose all partners to personal liability.

Limited Liability Partnership (LLP)

Arkansas allows general partnerships to register as LLPs to obtain liability protection.

Formation

  • General partnership files statement of qualification with Arkansas Secretary of State
  • Fee: Check current SOS fee schedule (typically $50-$100 range)
  • Name requirement: Must include “LLP,” “L.L.P.,” or “Limited Liability Partnership”
  • Annual report: Required (consolidated with franchise tax filing)

Liability Protection

LLP partners are NOT personally liable for partnership obligations arising from errors, omissions, negligence, or misconduct of another partner or employee. Each partner remains liable for:

  • Their own professional malpractice or negligence
  • Obligations they personally guarantee
  • Certain partnership obligations (check Arkansas LLP statute for specifics)

Best Use Cases

  • Law firms: Lawyers want protection from other partners’ malpractice
  • Accounting firms: CPAs shielded from co-partner negligence
  • Architecture/engineering firms: Professional liability isolation
  • Consulting practices: Multi-partner professional services

Limited Partnership (LP)

Arkansas LPs are governed by the Arkansas Uniform Limited Partnership Act, Ark. Code Ann. § 4-47-101 et seq.

Structure

  • General partners: Manage partnership; unlimited personal liability (unless LLLP)
  • Limited partners: Contribute capital; limited liability (capped at investment); no management control

Formation

  • Filing: Certificate of Limited Partnership with Arkansas Secretary of State
  • Fee: $50
  • Annual franchise tax: $150

Best Use Cases

  • Real estate investments: GP manages properties, LPs provide capital
  • Family limited partnerships (FLPs): Estate planning and wealth transfer
  • Passive investment vehicles: Active manager + passive investors

Limited Liability Limited Partnership (LLLP)

Arkansas recognizes LLLPs under the LP statute – limited partnerships where even general partners have limited liability protection.

  • Formation: File as LP with LLLP designation or election
  • Benefit: All partners (GPs and LPs) have limited liability
  • Fee: $50 formation fee
  • Annual franchise tax: $150
  • Use case: Preferred over standard LP when general partners want liability protection; common in asset protection and FLP structures

Nonprofit Corporations

Arkansas Nonprofit Corporation Acts

Arkansas has two parallel nonprofit statutes:

  1. Arkansas Nonprofit Corporation Act of 1993, Ark. Code Ann. § 4-33-101 et seq. – applies to most new nonprofits; classifies entities as public benefit, mutual benefit, or religious
  2. Old nonprofit code, Ark. Code Ann. § 4-28-201 et seq. – older entities may still be organized under it; SOS fee schedule distinguishes between old-code and new-code nonprofits

Formation

Articles of Incorporation

  • Filing: Articles of Incorporation with Arkansas Secretary of State
  • Fee: Typically lower than for-profit corporations (check current fee schedule)
  • Required content:
    • Corporate name (need not include corporate designator if nonprofit)
    • Statement that corporation is nonprofit
    • Purpose (charitable, educational, religious, scientific, or other nonprofit purpose)
    • Classification (public benefit, mutual benefit, or religious under 1993 Act)
    • Registered agent and office
    • Initial directors (if named)
    • Dissolution clause (assets must go to another tax-exempt entity)

Annual Reports & Franchise Tax

Requirement Details
Annual report required? Check with SOS; nonprofits may have reduced or waived reporting
Franchise tax? Generally exempt if organized for exempt purposes, but check with Arkansas DFA

Federal Tax-Exempt Status

⚠️ State Formation ≠ Federal Tax Exemption:

Forming an Arkansas nonprofit corporation does not automatically grant federal tax-exempt status. To obtain 501(c)(3) or other tax-exempt status:

  • File IRS Form 1023 (501(c)(3) application) or Form 1024 (other exemptions)
  • Meet IRS requirements for charitable/exempt purposes, governance, and operations
  • Obtain IRS determination letter confirming exemption
  • Register with Arkansas Attorney General if soliciting charitable contributions (separate requirement)

Governance & Compliance

  • Board of Directors: Required; must be at least 3 directors for public benefit corporations
  • Members vs. Non-Member: Can be member-based (members elect board) or non-member (board self-perpetuating)
  • Conflict of interest policy: Recommended for 501(c)(3) organizations
  • Annual meetings: Board meetings required; member meetings if member-based
  • Attorney General oversight: Public benefit nonprofits are subject to AG oversight for charitable assets and compliance

Charitable Solicitation Registration

Arkansas requires charities soliciting contributions to register with the Attorney General’s office. Check the AG’s charitable organizations division for current requirements and exemptions.

✅ When to Choose Nonprofit

  • Exclusively charitable, educational, or religious purpose
  • Want 501(c)(3) tax-exempt status
  • Seeking foundation grants and government funding
  • No profit distribution to owners/members
  • Tax-deductible donations for donors
  • Public benefit mission

Public vs. Mutual Benefit

  • Public benefit: Serves public or broad charitable class; subject to AG oversight; typical 501(c)(3) structure
  • Mutual benefit: Serves members or defined group (e.g., trade association, social club); less AG oversight; may qualify for other 501(c) exemptions
  • Religious: Formed primarily for religious purposes; special governance and oversight rules

Formation Process & Fee Summary

Arkansas Filing Fees Summary

Service Fee Notes
LLC Articles of Organization $50 Online or mail
Corporation Articles of Incorporation $50 For-profit corporation
Benefit Corporation Articles $50 Same as for-profit corp
Professional Corporation $50 Same as for-profit corp
Nonprofit Corporation Check SOS May be reduced fee
Limited Partnership Certificate $50 LP or LLLP
LLP Registration Check SOS Convert GP to LLP
Foreign LLC/Corp Registration $50 Certificate of Authority
Name Reservation $25 120 days
Registered Agent Change Check SOS Amendment fee

Annual Franchise Tax

Entity Type Annual Franchise Tax Due Date
LLC (domestic or foreign) $150 May 1
Corporation (for-profit, domestic or foreign) $150 May 1
Professional Corporation $150 May 1
Benefit Corporation $150 May 1
Limited Partnership $150 May 1
LLP $150 May 1
Nonprofit Corporation Generally exempt N/A
⚠️ Franchise Tax is Separate from Income Tax:

The $150 annual franchise tax is a privilege tax for doing business in Arkansas. It is separate from and in addition to Arkansas income tax or other taxes your entity may owe.

Step-by-Step Formation: LLC Example

Arkansas LLC Formation Checklist

  1. Choose LLC name (must include LLC/L.L.C.)
  2. Check name availability on Arkansas Secretary of State website
  3. Optional: Reserve name ($25 for 120 days)
  4. Appoint registered agent (Arkansas resident or entity with AR address)
  5. Draft operating agreement (strongly recommended; not filed)
  6. File Articles of Organization online ($50) or by mail ($50)
  7. Obtain EIN from IRS (free, apply online at irs.gov)
  8. Open business bank account
  9. Register for Arkansas taxes (sales tax, withholding if employees)
  10. Obtain business licenses/permits as required by city/county/industry
  11. Mark calendar: Annual franchise tax due May 1 each year ($150)

Post-Formation: First 90 Days

Timing Action
Immediately File Articles of Organization; obtain EIN
Within 7 days Adopt operating agreement; open business bank account
Within 30 days Register for Arkansas sales tax (if applicable); obtain local business licenses
Within 60 days Set up accounting/bookkeeping system; consider S-corp election if beneficial (Form 2553)
Within 90 days Review insurance needs (general liability, professional liability, etc.); establish contracts/templates

Ongoing Compliance & CTA/BOI Status

Annual Compliance Requirements

Entity Type Franchise Tax Required? Fee Due Date
LLC (domestic) ✅ Yes $150 May 1
Foreign LLC ✅ Yes $150 May 1
Corporation (for-profit) ✅ Yes $150 May 1
Nonprofit Corporation Generally exempt N/A N/A
Professional Corporation ✅ Yes $150 May 1
Limited Partnership ✅ Yes $150 May 1
LLP ✅ Yes $150 May 1
General Partnership ❌ No N/A N/A

Other Ongoing Requirements

All Arkansas Entities Must:

  • Maintain registered agent and registered office
  • File annual franchise tax (if required)
  • Keep internal records (operating agreements, bylaws, etc.)
  • Comply with Arkansas tax filings (sales tax, income tax, etc.)
  • Maintain separate bank accounts
  • Update filings if name, RA, or address changes

Corporations Specifically Must:

  • Hold annual shareholder meetings
  • Hold board meetings (as needed or per bylaws)
  • Maintain corporate records book
  • Issue stock certificates
  • Document resolutions for major decisions
  • File annual benefit report (if benefit corporation)

Corporate Transparency Act (CTA) & Beneficial Ownership Information (BOI)

✅ Major Update (March 2025):

FinCEN issued an interim final rule that removed BOI reporting requirements for all U.S. companies and U.S. persons under the Corporate Transparency Act.

  • Domestic Arkansas entities (LLCs, corporations, partnerships formed in Arkansas): NO BOI reporting required as of March 2025
  • This eliminates federal beneficial ownership reporting burden for Arkansas businesses

Foreign Reporting Companies (Still Subject to BOI)

⚠️ Foreign entities registered in Arkansas:

Entities formed under foreign law (e.g., Canadian corporation, Cayman Islands LLC) that register to do business in Arkansas are still BOI reporting companies unless they qualify for a statutory exemption.

Deadlines for foreign reporting companies:

  • Already registered before March 21, 2025: April 25, 2025
  • Register on or after March 21, 2025: 30 days after registration

CTA/BOI Summary by Arkansas Entity Type

Entity Type BOI Reporting Required?
Arkansas LLC (domestic) ❌ No (exempt as of March 2025)
Arkansas Corporation (domestic) ❌ No (exempt as of March 2025)
Arkansas Partnership (domestic) ❌ No (exempt as of March 2025)
Foreign entity registered in Arkansas ✅ Yes (unless exempt)

Common Compliance Pitfalls (Law-Office Perspective)

🚨 Most Common Arkansas Entity Mistakes:
  • Missing May 1 franchise tax deadline: Late fees and potential administrative dissolution
  • No operating agreement: Default statutory rules may not match owners’ intentions; disputes arise
  • Commingling funds: Using personal accounts for business transactions pierces the veil
  • Ignoring registered agent requirements: Must maintain Arkansas-based agent; service of process failures cause defaults
  • Failing to register as foreign entity: Out-of-state entity doing business in Arkansas without registration loses standing in Arkansas courts
  • Professional entity violations: Non-licensed owners or managers in PC/PLLC invalidate structure
  • Series LLC formality failures: Not maintaining separate records for each series destroys liability segregation
  • Benefit corporation reporting lapses: Failing to file annual benefit report jeopardizes benefit corp status

My Services – Arkansas Entity Formation

I handle Arkansas entity formations as an attorney-led service. You work directly with me—an experienced business attorney—through the entire process.

What’s included: State filing fees and a registered agent (state requirement) fee for one year. A company (LLC or Corporation) formed in one of the standard-fee states (DE, CA, WY, SC) at the base price. Formation in premium-fee states (TX, MA, NV, NY, IL, TN, AR) is available with an additional fee to cover higher state costs.

Service Packages

Starter

$500

Best for: Single-owner businesses or simple partnerships using standard templates with basic information inserted.

Delivery Time 14 days
Number of Revisions 0

Includes:

  • EIN (Tax ID Number)
  • Basic Bylaws/Operating Agreement

Standard

$750

Perfect for: Most businesses requiring customized founding documents with professional guidance on entity type, state selection, and taxation.

Delivery Time 5 days
Number of Revisions 2

Includes:

  • EIN (Tax ID Number)
  • Customized Bylaws/Operating Agreement
  • 30min Consultation

Advanced

$850

Ideal for: Complex business structures requiring sophisticated legal frameworks, multiple owners, investors, or specialized provisions.

Delivery Time 3 days
Number of Revisions 5

Includes:

  • EIN (Tax ID Number)
  • Customized Bylaws/Operating Agreement
  • 1hr Consultation
  • Advanced Corporate Structuring & Custom Drafting
    (Ownership transfers, investor terms, multiple share classes, etc.)

Arkansas-Specific Add-On Services

Service Fee
Foreign LLC/Corp registration (Certificate of Authority) $800
Protected series LLC setup (with operating agreement and series designation) $2,000+
Benefit corporation setup (with benefit report template) $1,200+
Professional corporation/PLLC setup (with licensing board coordination) $1,500+
S-corp election (Form 2553 preparation and filing) Included in Standard/Advanced
Registered agent service (annual) $200/year
Annual franchise tax filing service $200/year
Arkansas tax registration (sales tax, withholding) $300

Why Work With Me?

  • Attorney-led service: I personally handle your formation, not a paralegal or automated system
  • Arkansas expertise: Deep knowledge of Arkansas’s MBCA statutes, protected series LLCs, and benefit corporation requirements
  • DAPT & asset protection: Experience with Arkansas DAPT planning and FLP/LLC structures
  • Professional entity specialization: I help navigate PC/PLLC licensing board requirements
  • Series LLC structuring: Sophisticated drafting for protected series and multi-property holdings
  • Fixed fees: No surprise bills; all packages are flat-fee with clear scope
  • Long-term relationship: I’m here for amendments, compliance, and growth as you scale

Contact & Booking

Ready to form your Arkansas business entity? Let’s discuss your needs and determine the right structure.

📧 Email: owner@terms.law
📅 Schedule a call: Use the Calendly link below to book a 30-minute strategy session.

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Ready to Form Your Arkansas Business?

Let’s discuss your entity structure, tax strategy, and Arkansas compliance roadmap.

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