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A Quick Overview Of The Articles Of Organization For Arkansas

Starting a business is always an exciting experience. You may have had an idea for a sole proprietorship or partnership for many years. Once it is started, you always hope for the best. It is not just about succeeding, and making a profit, but avoiding any problems that may come your way. Unfortunately, we live in a litigious society where people, if you rub them wrong, or even if you don’t, they may come after you legally. That’s why it’s so important to set up a limited liability company in the state of Arkansas if you want to protect yourself and your assets. Let’s discuss how to do this and also go over what is called the Articles of Organization.


Articles Of Organization Arkansas

How LLCs Work

The easiest way to describe an LLC is that it is a form of protection. It is a barrier between you and the potential candidates that will come after you as a result of a legal problem. It could be a small problem, one that you could negotiate, or there are others that may lead to a long existence within a courtroom. To avoid the possibility of them getting your hard-earned assets, the LLC is going to protect you. That is because it is a literal separate entity, acting in your place, and that is what will protect you from legal problems. Setting one up is very easy to do in the state of Arkansas. It begins with the Articles Of Organization.

What Are The Articles Of Organization

This is simply paperwork that must be filled out when you are forming a limited liability company. Although they may look different in different states, or have different parameters, they are all designed for the same purpose. Once you have filled everything out and submitted this to the Secretary of State’s office, they can then approve it. It will then begin to provide you with that protection that is highly coveted by so many businesses. At the top of the paperwork, they are going to request that you place your LLC’s name. This is going to be followed by a comma, and then LLC. It is also possible that the letters are separated by three periods, and there are some states where you can leave off the comma after the name of your business. One other thing to check is whether or not that name is available. If it is not, or if there is something that is very close to the name of your business, you will want to choose something else. It does not matter what the name of that LLC is going to be. It could be completely different from the name of your business, yet it will still protect everything. Finally, you’re going to put the physical address of the business, and you will sign at the bottom. You will also need a registered agent which is often provided by the company that is providing you with the help to fill out the paperwork.

Do You Need To Have An Operating Agreement?

You really don’t need to have an operating agreement in Arkansas. This is simply paperwork that describes how you are conducting business. Although you could write one, it is not mandatory in regard to getting approved or not for your limited liability company. Although you do not need it, it still might be a good idea to consider writing this out. For example, if this is a brand-new company, it’s good to know how your business is going to run. You may not understand how to do your particular type of business right away, and therefore you may not know what to put down. That is why it is an optional thing in Arkansas, something that you can avoid, yet at the same time be approved for your limited liability company.

Forming an LLC can be an exciting time. You will change the name of your business, and even if it is different because there is a similar LLC, it is still something that can convey authority when people see the name. It’s going to provide you with protection, and it can be set up for under $50 if you fill out everything on the web. There is the small matter of paying taxes every year which is $150 paid to the Secretary of State’s office. Other than that, it’s a very straightforward process that provides anyone that forms an LLC in Arkansas with legal protection from those that would sue them for various reasons. Finally, if you have other businesses, you can also position them under the LLC. It’s an easy way to have that extra protection that so many people would like to have at a very affordable price for businesses in Arkansas that do not want to worry about losing their assets.