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How Much Does an LLC Cost in Arkansas?

An LLC in Arkansas costs $195 in Year 1: a $45 state filing fee plus $150 in recurring state fees ($150 / year franchise tax) for the first year. After that it costs $150 per year, for a 5-year state total of $795. That makes Arkansas the 10th most expensive state to form an LLC — the national average Year 1 cost is $220 and the median is $160.

State filing fee
$45
One-time, paid when you file
Annual cost
$150/yr
$150 / year franchise tax
Year 1 total
$195
Filing fee + first year
5-year total
$795
Filing fee + 5 years of fees

Arkansas LLC Fee Breakdown

FeeCost
State filing fee (one-time)$45
Recurring state fees — $150 / year franchise tax$150 / yr
Year 1 total (filing fee + first year)$195
5-year total (filing fee + 5 × annual)$795

How Arkansas Compares to Other States

  • Rank: Arkansas is the 10th most expensive state to form an LLC — #42 of 51 jurisdictions by 5-year state cost ($795).
  • Year 1 vs the nation: $195 in Year 1 — $25 less than the national average of $220 (median $160).
  • 5-year vs the nation: $795 over five years, against a national average of $586 and a median of $350.
  • Franchise tax: yes — Arkansas's recurring charge is a franchise tax ($150 / year franchise tax), already included in every total on this page.
  • Cheapest in the US: Arizona at $50 over 5 years. Most expensive: California at $4,120.

Arkansas LLC Annual Fees & Franchise Tax

Arkansas charges $150 per year in recurring state fees ($150 / year franchise tax). Over five years that is $750 in recurring fees alone — $795 including the one-time filing fee.

Yes. Arkansas charges an LLC franchise tax, and it is already included in the numbers on this page: $150 / year franchise tax ($150 per year). It forms part of the $195 Year 1 total and the $795 5-year total.

How to Form an LLC in Arkansas (Step by Step)

  1. Choose a name. Pick a distinguishable name that includes "LLC" and check it is available on the Arkansas Secretary of State website before you file.
  2. Appoint a registered agent. Name a person or service with a physical street address in Arkansas who can receive legal mail during business hours — be your own for free, or hire one (see our registered agent guide).
  3. File your formation document. File the Articles of Organization (called a Certificate of Formation in some states) with the Arkansas Secretary of State and pay the $45 filing fee.
  4. Create an operating agreement. Not filed with the state, but it records who owns what and how the LLC is run — banks and partners will ask for it.
  5. Get an EIN. Apply free on the IRS website in about 10 minutes — see our EIN guide. You need it to hire, pay taxes, and open a business account.
  6. Open a business bank account and stay compliant. Keep business money separate (see our business bank account guide), then keep up with Arkansas's recurring fees — $150 / year franchise tax — so the LLC stays in good standing (see our annual reports guide).

Good to Know About Arkansas LLC Costs

Cheapest filing fee in the South at $45 — but the $150 annual franchise tax (due May 1) makes the 5-year cost mid-pack. Don't judge this state by its filing fee.

File on the official Arkansas Secretary of State site →

Fees verified against official state sources — last checked October 26, 2026.

Arkansas LLC Cost FAQs

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

The state filing fee in Arkansas is $45. Adding the first year of recurring state fees ($150 / year franchise tax) brings the Year 1 state cost to $195. Optional extras — a registered agent service, an operating agreement template, or a formation service — cost extra, but the state itself charges $195 in Year 1.

How much does an LLC in Arkansas cost every year?

Arkansas charges $150 per year in recurring state fees ($150 / year franchise tax). Over five years that is $750 in recurring fees alone — $795 including the one-time filing fee.

Does Arkansas charge LLCs a franchise tax?

Yes. Arkansas charges an LLC franchise tax, and it is already included in the numbers on this page: $150 / year franchise tax ($150 per year). It forms part of the $195 Year 1 total and the $795 5-year total.

Do I need a registered agent for an LLC in Arkansas?

Yes. Every LLC in Arkansas must name a registered agent with a physical street address in the state who can receive legal and official mail during business hours. You can be your own agent if you live in Arkansas and are reliably available, or hire a service — typically around $125 per year — to keep your own address off the public record.

What is the cheapest way to form an LLC in Arkansas?

File it yourself on the official Arkansas Secretary of State website, linked on this page. Filing direct costs just the $45 state filing fee (plus the $150 / year franchise tax recurring fee) and skips formation-service markups. Use the free LLC cost calculator on this site first so you know your exact Year 1 and 5-year totals before you file.

Helpful Guides for Arkansas Founders

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