If you’re looking to establish a limited liability company in the Natural State, it’s crucial to engage the most reliable LLC formation service in Arkansas to streamline your business setup procedure.
An ideal LLC formation service will proficiently file key documents on your behalf with the Arkansas Secretary of State, ensuring you get the most value-for-money services.
On the contrary, a subpar LLC formation service could prolong your registration process by weeks, leading to a deficit in required paperwork and wasted business hours.
I’ve painstakingly conducted a comprehensive four-stage analysis of Arkansas’s top 10 LLC formation services. Here are my findings:
Best LLC Services
The Best LLC Service in Arkansas
We recommend Northwest Registered Agent.
Northwest is Best-In-Class: Some other LLC services maybe cheaper but those other LLC services may also sell your private data.
Northwest is a professional firm with top-quality customer support and a policy of ‘Privacy by Default’ for their clients.
1. Northwest Registered Agent (Best LLC Service for Privacy)
My top pick for LLC formation service in Arkansas is Northwest Registered Agent.
Northwest provides business formations and registered agent services. Northwest has been providing LLC formation services for over 20 years.
They are known for exceptional customer service and are the industry leader in registered agent services.
Arkansas LLC formations with Northwest are discounted for our readers, just $39, and you also get a year of free registered agent service.
This keeps your start-up costs low. Northwest is our top choice, and it’s an LLC service that puts customer service above all else.
Northwest RA Pros and Cons
#2 Incfile (Best Budget LLC Service)
Incfile is another LLC service that has been in business for nearly 20 years. can be a great choice if you are concerned about start-up costs.
They offer free Arkansas LLC filing and registered agent services for the first year. A “free LLC” may be good for some, but Incfile needs to make money somehow.
This can be done by upselling needed features at a lofty price.
If privacy is important to you, Northwest emphasizes customer privacy more than any other LLC service I know.
Incfile may not have as many bonus features as its competitors. Still, they offer all the essentials for an additional fee: filing an EIN and registering a DBA, filing annual reports, and others.
Incfile Pros and Cons
#3 ZenBusiness (Best New LLC Service)
Thanks to competitive technology and a dedication to affordability, ZenBusiness has one of the most affordable LLC services available.
Formations start at $0 plus the state fee. ZenBusiness provides Arkansas registered agent services at an additional cost of $199/yr.
You can choose the Pro package ($199 annually) for a flat annual fee to get business formation, and an operating agreement template.
ZenBusiness Pros and Cons
#4 LegalZoom (Best for Ongoing Legal Services)
LegalZoom is a great way to get involved with a well-known brand.
LegalZoom was founded in 2001 and has grown to offer hundreds of services. LegalZoom is more expensive than the other Arkansas LLC services listed in this guide.
LegalZoom is not the only option if you need a complete legal service. Rocket Lawyer is another option for LLC services and online legal services.
LegalZoom gets pricey after the add-ons.
LegalZoom Pros and Cons
Arkansas Business Formation Tips
If you’re ready to start an LLC in Arkansas, there are important steps and considerations to keep in mind. Begin by conducting an Arkansas entity name search to ensure that your desired business name is available for registration.
Once you’ve confirmed availability, it’s crucial to draft an Arkansas LLC operating agreement, which outlines the internal structure and operational guidelines of your LLC. As you proceed, you have the option to act as your own registered agent in Arkansas or enlist the services of a professional registered agent.
It’s important to note that the time it can take to get an LLC in Arkansas varies, but typically ranges from a few weeks to a few months. To expedite the process, gather all necessary information and promptly submit your filings. Additionally, obtaining an Employer Identification Number (EIN) for an Arkansas LLC is crucial for tax purposes.
Consider utilizing a good LLC service in Arkansas to streamline the formation process and ensure compliance with all legal requirements. Decide if you plan to be your own registered agent. Engaging the services of the best registered agent services in Arkansas offers the advantage of efficient handling of important documents and legal notifications.
Don’t forget to acquire a business license in Arkansas, adhering to the specific licensing requirements relevant to your industry and location, and when budgeting for LLC formation, consider the cost to start an LLC in Arkansas, which typically includes filing fees and any additional services you choose.
If you ever want to change your registered agent in Arkansas check out our guide on that.
Finally, should the need arise, understanding how to close and dissolve an Arkansas LLC is vital for properly concluding your business operations. Seek guidance LLC professionals like Incfile’s LLC dissolution service to navigate the dissolution process effectively, ensuring compliance with Arkansas state regulations.
These are the top Arkansas LLC services that stood out in terms of package service features, response time, price, registered agent service, and customer support.
I have a personal story to tell
In 2008 I started a business and hired an attorney to do the LLC formation paperwork. I thought it would be complicated.
I paid $600 plus a $50 state fee to the lawyer in his office. The lawyer got on his computer, entered my name, and some basic information, and then printed out several pieces of paper and said “sign here and here”.
The whole process took about 10 minutes for $600. That same lawyer today probably charges $900 for these 10 minutes of work.
After that, I have only worked with online services.
LLC Formation Lawyers in Arkansas
If your business is particularly complex, or if you don’t mind spending $100s of dollars more and want the peace of mind that comes with having an experienced business attorney to form your business entity, you could hire a lawyer instead of a formation service.
Business Attorneys in Arkansas
As I just mentioned, hiring an attorney is more expensive than using an online LLC service, but you will obtain a level of competence and experience that can only be provided by an attorney.
I evaluated a long list of Arkansas business attorneys on AVVO’s website to find the most qualified LLC formation lawyers.
These three Arkansas business attorneys are highly rated on AVVO.
Tier 2 – Other Arkansas LLC Services
Swyft Filings was launched in 2012 and are one of the latest services for LLC formation.
Prices start at $0 + state fee. If you need an EIN and LLC operating agreement, the price is $199 + state fee. Swyft Filings charges $199/year for registered agent services.
MyCompanyWorks has a basic LLC service package that costs $79 and includes assistance with Articles of Organization, Operating Agreement assistance, an online portal to store legal documents, compliance alerts, and assistance with registering with the Arkansas Secretary of State.
They have maintained mostly positive reviews online. You will need to buy their premium package for $279 if you want a Arkansas registered agent.
Inc Authority, like Incfile, allows you to file your company formation paperwork free of charge, but each offer comes at an additional cost.
Ask the “free LLC” if they plan to sell your private information. I believe the “Free LLC” is a gimmick just to get you in the door. Yes, their filing service is “free” plus the state fee.
You will need to buy their $399 basic package if you require assistance drafting an Operating Agreement or accessing an EIN.
You will also need to buy their premium $799 package if you want to receive express processing.
Tailor Brands is a bit different than the others on my list.
Like their name says, they build brands. Tailor Brands promotes itself as a comprehensive business formation service that provides a complete list of services to entrepreneurs, including compliance and LLC formation, logo design, and branding features.
Tailor Brands offers three formation plans.
Incorporate.com offers a $99 base package that includes very few services, similar to Rocket Lawyer or LegalZoom. They offer an online account and assistance in filing your Articles of Organization, and that’s nothing else.
CorpNet has been in business for over 20 years. They will file the initial LLC documents and provide compliance alerts to maintain good standing with the Secretary of State. All for $79.
MyCorporation is owned and operated by the check printing company Deluxe Corp. Their LLC formation services are like many others on our list.
They charge $133 to prepare your Operating Agreement and process your Articles of Organization. Each additional, comprehensive service comes at an additional cost.
Incorporate Fast offers Arkansas LLC formation services at a low $99 price. This includes assistance with filing documents, assistance with filing them, and an Operating Agreement template.
They offer “same-day” filings. They will process and file your documents within 24 hours of receipt.
If you can upgrade to their $199 package, you get an EIN.
BizFilings, another Arkansas LLC service provider, charges $99 for the basic package. This includes assistance in filing your limited liability company formation documents and a year of their registered agent services.
Like each of the LLC services, they have additional features for additional fees.
Similar to LegalZoom, Rocket Lawyer offers online legal services. They also offer LLC services such as registering an agent, filing your formation documents, and an online document storage portal.
If you like having access to ongoing legal assistance for a fee, Rocket Lawyer might be a good fit for you.
Active Filings is another LLC formation service, they are based in Dania Beach, Florida. Active Filings has been in business since 2001 but is still a small player in this industry.
According to the company website, they have only four employees.
Direct Incorporation offers the same LLC services that MyCorporation but includes a banking resolution as well as an Employer Identification number. They charge $174 for these services.
If you need an LLC operating agreement, you need to get the next package at $297. They also offer logo design, trademarks, a business website, and email.
InCorp costs $99. plus state fees to file your Articles of Organization. Registered agent services are $129 per year.
Nationwide Incorporators offers basic LLC filing services for $200, and for $475, you get an LLC operating agreement. You get to talk to an attorney. Pricey!
SunDoc Filings has a $79 base package for filing your Articles of Organization. $70 for an EIN and $69 for an LLC operating agreement.
What is a Arkansas LLC?
An Arkansas LLC, short for limited liability company, is an entity type that combines the flexibility of a sole proprietorship with the financial protection of personal assets.
That’s not a bad thing. Let’s find out what this means.
You would operate as a sole proprietorship if you started selling handcrafted apparel out of your home. Sole proprietorships are legal entities.
This means that everything the business owns, from fabrics to sewing machines, is owned solely by the proprietor. The proprietor pays all taxes.
If the business is sued or taken to court by a third party, the owner may lose all of his or her personal property to pay the damages.
Business entities, such as LLCs, have personal asset protection. This is because the business itself is considered an independent legal entity.
The business can have assets, open a bank account, and be sued. If the business goes under, members of the company cannot lose their assets.
LLCs aren’t subject to a lot of complex requirements, unlike corporations. This makes it an attractive choice for entrepreneurs who want to keep their filings simple and still protect their assets.
Pros and cons of starting a limited liability company in Arkansas
An LLC is one of the most common types of entity in America. However, it’s not the right type of entity for everyone.
Only you know your business best and can choose the entity type most appropriate for you. Your vision is clear for the future and your products.
It’s important to understand the pros and cons of LLCs to decide if an LLC is right for your needs.
- It is easier to create and manage than a corporation
- Protection of personal assets
- A flexible tax structure can be paid as a partnership (or a corporation)
- Exclusive use of a business name within a state is prohibited
- No authority can issue stock. Therefore, capital-raising opportunities are limited.
- Some states have higher annual fees and taxes than sole proprietorships or partnerships.
- Some entrepreneurs may not be comfortable with the extra paperwork.
How to set up a Arkansas LLC on your own
You don’t need to use an LLC formation service such as LegalZoom or ZenBusiness. While these services can be very helpful, you can save money by doing it yourself.
1. Choose a company name
Arkansas LLCs need a memorable name that can give potential clients an idea of the products or services available. Names should be unique for both legal and business reasons.
2. Appoint a Registered Agent in Arkansas
As we have mentioned, every LLC requires an agent to accept service of process on its behalf. You can be your own registered agent in most states as long as there is a physical address.
However, we recommend that you appoint another person (an online service) as your agent.
3. File the Articles for Organization
Once completed and filed, this document officially forms your Arkansas business. Some important information will be required, such as your contact information, business address, signatures of your LLC members, and other details. Arkansas charges a $45 filing fee.
It’s easy to set up an LLC. However, it is the maintenance requirements that can be a little more difficult.
4. Register and pay taxes
You will need an IRS Employer Identification Number if you have employees. There are also state-specific taxes. Arkansas has graduated income taxes. Individual rates are between 5% to 6.9%, and corporate rates are between 1% to 6.5%. The Franchise Tax is the largest tax burden. Other taxes, such as sales taxes (6.5%) or miscellaneous taxes, will need to be included.
5. Get permits and licenses
Arkansas does not have a general business license, but many cities and counties do require one. You might also need to apply in order for an industry license.
6. Create a Arkansas LLC Operating Agreement
Even single-member LLCs need to create a master document that outlines how the business will function in the future.
7. Get your annual report.
Arkansas’ annual report is a companion to the annual franchise tax. You will file your Arkansas annual report with the Department of Finance and Administration and not with the Secretary of State. A minimum tax is $150 per year.
8. Get business insurance
All businesses with employees need to have workers’ compensation insurance. A general business liability policy may be an option.
9. Open a bank account for your business
Register for a bank account in your business name to write checks and make business purchases
Our Selection Method
This is how I found the best LLC service in Arkansas.
I formed an LLC a few years ago and did a lot of research before doing so. Because I have spent so much time on this subject, I believe I am very capable of finding and recommending the best LLC formation services.
I also recommend using a registered agent service rather than being your own.
How did I research and choose the best LLC service in Arkansas?
My research approach included these four steps to select the best Arkansas LLC formation service.
Step 1: Reviews
I began by analyzing the reviews of online customers for the top 19 LLC services in Arkansas.
I spent many nights scrolling through the customer feedback on Trustpilot and Google Business Profiles (among other review websites) to discover which LLC services were new, which seemed questionable, and which were legitimate.
Step 2: Website Analysis
Once I had a good idea of who I could trust, I could go to their websites and see exactly what they offered.
To find out who offered what products or business services, I looked through pricing pages and looked at detailed breakdowns.
Step 3: Talking with real customers
Online customer reviews are only one way to learn. To truly understand the experience of using a service, it is important to talk to the people who use it.
I sought out the opinions of customers who I had recommended to me over the years in order to get a clear understanding of Arkansas LLC services. I wanted to know how easy the system was, how helpful and polite their support staff is, and how fast they process applications.
This direct feedback from customers helped me to see which promises were fakes and which were legitimate.
Step 4: Talking with their Sales Team
The last step was to talk to their sales team to find out how difficult they were with upsells.
I asked several questions that a first-timer would. Then I waited to see how many times I was encouraged to get additional services.
My Testing and Rating Criteria for Arkansas LLC Services
While I was completing my investigative analysis, I was constantly evaluating these LLC formation services on the basis of these four aspects.
1: Features and Services
There are many steps involved in starting an LLC. If you have read at least half of the above, you will know this. Fill out and file your Articles of Organization. You will need an EIN to open bank accounts. Choose a premium registered agent in to get an address in Arkansas. And a lot more.
To ensure you get as many completed projects as possible when you invest your money, I first assessed each LLC formation company on the business and product services they offer.
I checked if they charge extra for a lot of pricey add-ons that are not mentioned at first. I liked the very clear services and upfront with everything. The best value LLC formation services rose to the top.
3: Ease of use
It’s a good idea to sign up for a business formation service that offers a variety of products at a reasonable price without any trouble navigating their system.
I created an account with each Arkansas LLC formation service and attempted to register my fictional LLC. This was to ensure that all the systems were easy to use and simple to navigate.
4: Customer service
I was not satisfied with my customer service experiences after the recent corporate trend to outsource customer support to unaffiliated phone centers. These representatives know little about the service they are supporting and the laws and regulations that it is subject to.
I did my best to test their customer service teams to determine the quality of their business formation services. I sent them polite questions, called them to inquire about obvious information, and jumped onto their online chat portals. I also complained about inappropriate things. I wanted to know how they dealt with my comments and requests and how fast it took for them to reply.
Conclusion: Arkansas LLC Formation Services
My investigative analysis resulted in my picking Northwest Registered Agent as the best LLC service for Arkansas.
What factors should be considered when selecting the best LLC formation services in Arkansas, and how do these services cater to Arkansas’ specific regulations for establishing a Limited Liability Company?
If you’re looking to start a business in Arkansas, forming a Limited Liability Company (LLC) is often recommended due to its versatile business structure and liability protections. To navigate through the process smoothly, it’s essential to choose a top-rated LLC service that caters to the state requirements and ensures legal compliance.
First and foremost, consider customer reviews when evaluating different providers. This will offer insights into the professional services provided, the efficiency of their turnaround time, and the overall quality of their legal services. Pay attention to pricing plans as well, especially if you’re a small business with budget considerations.
Most LLC packages will offer assistance with business registration, which in Arkansas involves filing Articles of Organization. Your chosen service should handle these company filings, as well as provide a registered agent, which is a requirement for state filings in Arkansas. They should also guide you through acquiring any necessary business licenses.
An operating agreement, while not a mandatory requirement in Arkansas, is advised for effective corporate governance and internal compliance. A good LLC formation service should offer assistance with drafting this critical document.
Additionally, securing a Business Tax ID (EIN) or Employer Identification Number is vital for tax identification and federal taxation purposes. The formation service should also guide you through opening a business bank account, helping you keep your personal and business finances separate.
If you’re debating between a sole proprietorship vs LLC, consult business advisors offered through these services. Their business consulting can be invaluable in making a sound decision, and their advice can be crucial for business planning moving forward.
The best LLC formation services in Arkansas will offer a one-stop solution, covering all aspects from document filing to ongoing legal compliance. Additional features to look out for may include help with annual reports, the provision of a company seal, and clarity about all filing fees involved in the process.
In summary, choosing an online formation service with a comprehensive formation package will make the entire process of forming an LLC in Arkansas more straightforward, allowing you to focus on growing your business rather than getting tangled in red tape.
What are some crucial evaluation metrics for comparing LLC formation services available to entrepreneurs in Arkansas, especially with respect to budget considerations, time constraints, and user experience?
For aspiring entrepreneurs in Arkansas, choosing an LLC formation service can be a daunting task, especially with reputable options like LegalZoom, Rocket Lawyer, Incfile, ZenBusiness, Northwest Registered Agent, and MyCompanyWorks at your disposal. When deciding which service suits your needs, consider three main parameters: pricing, turnaround time, and customer support.
Pricing is often the starting point for most entrepreneurs. Incfile is a budget-friendly choice that offers a good balance of essential services, including a year of free registered agent services. ZenBusiness is also reasonably priced and has an ease of use that appeals to those new to the LLC formation process. LegalZoom and Rocket Lawyer are generally more expensive but offer bundled services that can include banking services and accounting software, which can be a boon for business owners looking for a one-stop-shop for their needs.
Turnaround time is another crucial aspect, particularly if you are keen to start operating your business as soon as possible. MyCompanyWorks specializes in speedy service, particularly when it comes to filing the Articles of Organization. Customer support is an area where Northwest Registered Agent shines; their personalized service helps you through the maze of annual report filings with the Secretary of State and EIN obtainment from the Internal Revenue Service (IRS).
Most of these services will assist you in creating a comprehensive Operating Agreement, which is crucial for any LLC. It’s worth noting that guidelines from the Small Business Administration (SBA) are often mirrored in these services, ensuring your LLC is compliant with local and federal laws.
Before settling on a service, be sure to look at reviews and ratings to gauge customer satisfaction. BBB Ratings, customer reviews, and industry publications can offer valuable insights into the strengths and weaknesses of each service. Most of these companies also provide guidance on obtaining the necessary business licenses, a crucial step in the formation of your LLC in Arkansas.
Finally, for additional resources and information, make sure to consult each service’s company websites. These platforms usually offer free educational content and FAQs that can be very helpful as you navigate the LLC formation process.
In summary, forming an LLC in Arkansas requires a balanced evaluation of pricing, turnaround time, and customer support. Depending on your needs, LegalZoom, Rocket Lawyer, Incfile, ZenBusiness, Northwest Registered Agent, and MyCompanyWorks offer a variety of options. A thorough check of reviews and ratings, as well as consideration for added features like banking services and accounting software, will provide a well-rounded perspective to help you make the best choice for your Arkansas LLC.
Brian Wilson is the content manager and founder of LLC Radar.
Brian grew up in North Texas, just outside of Dallas, and has a bachelor’s degree in business journalism from Southern Methodist University. Since graduating from SMU, Brian has gained over 10 years of experience in business writing for several online publications.
Brian resides in Plano, Texas and he can be reached by email: email@example.com