Summary
The fact that you may need to register with state agencies like Arkansas Secretary of State is a sneaky misconception that many folks miss.
However, with the rise of remote work, states have begun cracking down and levying penalties for those who (unknowingly) fail to register.
If you're considering operating in Arkansas, use this guide to:
- Explore the that triggers the need to register with the Arkansas Secretary of State, including criteria such as physical presence, economic activity, and advertising efforts.
- Determine where and how to register with the Arkansas Secretary of State.
- Understand additional requirements such as Registered Agents, registration with other state departments, and ongoing annual reports.
What criteria would trigger the requirement to register with the Arkansas Secretary of State?
What's considered "doing business" in Arkansas? Arkansas has a broad definition of what it considers "doing business". This includes:
- Physical Presence: Maintaining an office, store, warehouse, or other physical location within the state.
- Employees in Arkansas: Having employees who work and reside in Arkansas.
- Economic Nexus: Deriving income or economic benefit from activities or transactions within the state. This includes selling products or services to Arkansas customers, even if done remotely.
- Licensing Intangibles: Licensing intangible property (trademarks, patents, copyrights) to another entity within Arkansas.
Examples of Activities Considered "Doing Business"
- Selling goods to customers in Arkansas (even through online platforms).
- Providing services to customers located in Arkansas.
- Owning or leasing property in Arkansas.
- Having a sales representative or agent located in Arkansas.
- Participating in trade shows or conferences in Arkansas with the intent of soliciting business.
Where do I register, and what else is required?
- A Certificate of Good Standing is required
In addition:
A Registered Agent is required to serve as the company's physical in-state presence to receive important legal documents. Do not fall victim to the common misconception that you can leverage an in-state employee as your Registered Agent. It's far too risky.
You'll want to review the other registrations required in Arkansas. Here's a Arkansas specific guide we put together.
What is the registration fee?
The fee charged by Arkansas is $45 - $300.
How long does Arkansas usually take to process?
Arkansas usually takes approximately 1 - 2 weeks to process registrations.
What is required ongoing?
Each state has a complex schedule of required annual reports, which can vary by entity type. Let's take a look at Arkansas's:
C-Corporation
- Filing Date: May 1
- Filing Frequency: Annual
LLC
- Filing Date: May 1
- Filing Frequency: Annual
Non-Profit
- Filing Date: August 1
- Filing Frequency: Annual
There is an Easier Way
Automate registration and annual report tracking in AbstractOps.This guide should definitely help reduce some of the confusion for Arkansas. However, if you have multiple states to worry about, you may look to:
Automate state registrations and annual reports
Centralize email, snail mail, state ID’s, and registered agents, and
Take control of action items, eliminating risks before they become penalties.
Start the AbstractOps product demo to see how easy this can be.
Note: For the avoidance of doubt, nothing provided here shall contemplate, constitute or include tax or legal advice. Always double check with state agency websites for the most up-to-date requirements.
