Starting a Business in Arkansas: Licenses, Registrations & Checklist

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Arkansas start-up checklist

Formation

  • Form your LLC or corporation with Arkansas Secretary of State. Official page
  • A trade name (DBA) is registered with the County clerk.

Tax registration

  • Register for state taxes with Arkansas Department of Finance and Administration. Official page
  • Business-level tax: Corporate income tax and franchise tax.
  • Sales tax: get a Arkansas sales tax permit from Arkansas Department of Finance and Administration before you sell taxable goods. Official page
  • Remote sellers must register once sales into the state pass $100,000 a year.
  • Local sales taxes are collected through the state return.
  • If you have employees, withhold Arkansas income tax from wages and register for withholding. Official page

Hiring

  • Register for unemployment insurance with Arkansas Division of Workforce Services. The 2026 taxable wage base is $7,000 per employee; experience-rated rates run from 0.1% to 6%. Official page
  • New employers start at 1.8%.
  • Workers' compensation through Arkansas Workers' Compensation Commission and private insurers. Required when: 3 employees
  • Post the required labor notices at your workplace. Official page

Recurring filings

  • File Annual Franchise Tax Report (LLCs, corporations and nonprofits): every year by May 1; fee $150.
  • (limited partnerships): every year by May 1; fee $15.
  • (limited liability partnerships): every year by April 1; fee $15.
  • State tax returns and payments (sales, withholding, unemployment) follow the schedule your agency assigns when you register.

Agencies

  • Business filings and annual reports: Arkansas Secretary of State. Official page
  • Taxes: Arkansas Department of Finance and Administration. Official page
  • Unemployment insurance and labor rules: Arkansas Division of Workforce Services. Official page
  • Workers' compensation: Arkansas Workers' Compensation Commission.
  • Contractor licensing: Arkansas Contractors Licensing Board.
  • Real estate licensing: Arkansas Real Estate Commission.
  • Alcohol licensing: Arkansas Alcoholic Beverage Control Division.
  • Child care licensing: Arkansas DHS Division of Child Care and Early Childhood Education.
  • Health facility licensing: Arkansas Department of Health.

Exceptions to watch

  • City business license (City clerk): Many Arkansas municipalities require a local business license.
  • Cannabis: medical licensing only, regulated by Arkansas Medical Marijuana Commission (licensing) and Alcoholic Beverage Control Division (enforcement).

Checked against official sources on October 13, 2026. Rules change; confirm each item with its agency.

Cities and counties in Arkansas

Choose a city to see its full list.

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