How to Start an LLC in Oklahoma: If you’re interested in setting up an Oklahoma LLC, you’ve come to the right place. Having an LLC not only protects your personal assets but also is less complicated than other business structures. Oklahoma laws make it easy to establish your LLC in Oklahoma. On this page, You’ll find all the steps that must be taken to ensure that your Oklahoma LLC has been correctly established. We recommend you read the whole article very carefully word by word, don’t miss anything 🙂
On this page, you’ll learn about the following:
- How to Start an LLC in Oklahoma
- After Starting Your Oklahoma LLC
- Oklahoma Foreign LLC
- Oklahoma LLC Formation Review
How to Start an LLC in Oklahoma
An LLC or a Limited Liability Company is a hybrid business entity combining a corporation’s characteristics with a partnership or sole proprietorship. It separates your personal assets from your business assets, thus giving you personal asset protection.
If you wish to start an LLC in Oklahoma, mainly you have to file your Certificate of Formation with the State and pay a filing fee of $100. There are some more steps to follow to get your LLC established in Oklahoma. The following steps explain everything you need to create your LLC in Oklahoma in 2022. Let’s get started!
Step 1: Decide a Name for Your Oklahoma LLC
The very first step while forming an LLC in Oklahoma is to give a proper name to your LLC. Before you name your business, you must know that the name should be easy to remember, available in the state, and follows all the LLC naming guidelines.
Oklahoma LLC Naming Guidelines
There are a few specific requirements all the LLCs in Oklahoma have to follow while naming their Company. Some of the most important requirements are as follows:
- Your business name should be available and no other existing business in Oklahoma can have the same name. Perform a name search from the below-mentioned source to be sure your name isn’t taken already.
- “Limited Liability Company”, “Limited Company”, “L.C.”, “LC”, “LLC”, and “L.L.C.” – any one of these has to be used as a suffix in your business name.
- You cannot use any name for your business that is confusing or misleading. Terms such as “Treasury”, “State Department”, “FBI”, “CIA”, etc. shouldn’t be included.
- Terms like “Bank“, “University“, “Attorney“, “Doctor“, etc can be added only after the additional requirements by Oklahoma State Government are fulfilled.
- (Optional) It’s better to name your business something for which your desired domain is available.
|Important Links –||Submit Offline Form to –|
|Oklahoma Business Entity Search – Online Name Search|
Name Reservation Form – PDF
Name Reservation Form – Online
Name Availability Standards – Guidelines
Oklahoma LLC Name Search – Instructions
|Oklahoma Secretary of State|
421 N.W. 13th, Suite 210
Oklahoma City, Oklahoma 73103
Reserve Business Name for Future
If you do not wish to file your LLC right now but want to hold the name you have decided then you can reserve your LLC name for 60 days. To keep the name, you have to file a name reservation application and pay $10 to reserve your name with the Oklahoma Secretary of State.
Doing Business As (DBA) or Trade Name
Once you have a legal name for your LLC, you can register it. However, it is not mandatory. You can, instead, use DBA, Fictitious Name, or Trade Name. In that case, you must register your name with the Oklahoma Secretary of State by submitting an Application to Register Trade Name in Oklahoma along with the filing fee of $25.
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Tailor Brands offer DIY website templates and incredible logo designs. If you plan to get a website then it is wise to have a “.com” domain for your business but these days you can also use other TLDs like “.company”, “.xyz” etc. With Tailor Brands, you can get everything you need at an affordable price.
It is not legally mandatory to use the word LLC in your domain name or email. If you want you can use it. However, it is recommended not to use LLC in the domain name. A domain name should be short and easy to remember.
Step 2: Assign a Registered Agent in Oklahoma
The second step to forming an Oklahoma LLC is to appoint a Registered Agent. A registered agent is a person or business entity that will act or work on your LLC’s behalf. This person or business will receive important tax forms, legal documents, all notices of lawsuits, and other official government correspondence in Oklahoma. Hence, hiring a competent Oklahoma Registered Agent for your LLC is necessary.
Make sure your registered agent is a resident of Oklahoma or has a physical street address. Their business address or the principal address should be in Oklahoma. Most LLC formation companies also provide registered agent services. Below are two great LLC setup services, even if you buy their cheapest plan (normally $49/year) you also get registered agent service and other services at a reasonable price.
These LLC formation services are recommended registered agent services as they are authorized to conduct business in Oklahoma. Some LLC formation services offer standalone Oklahoma registered agent services. You can purchase only Registered Agent services from them without purchasing any other LLC formation services.
A person who is above 18 years of age and has a physical address in the state of Oklahoma can be a Registered Agent. A Registered Agent can be an independent person or can be a business entity. One who is responsible for handling all the legal documents.
Yes, you can be your own registered agent if you are a resident of the state of Oklahoma and you are above 18 years of age. To become a registered agent you must have the authority to conduct any type of business in Oklahoma.
Registered Agent Consent Application
In Oklahoma, there is no separate Consent Letter to be produced to the Secretary of State. At the time of change of Registered Agent (or the name or address), the new Registered Agent has to sign the consent letter. It comes with the Application form to Change the Registered Agent. The filing fee of $25 should be paid for it. For more information on the same, read our guide on Oklahoma Registered Agent.
Step 3: File Articles of Organization in Oklahoma
The third and most important step in forming an Oklahoma LLC is to file the Certificate of Formation. This Oklahoma Articles of Organization is a legal document needed to officially register your business with the Secretary of State. It costs $100 (by mail and $208 online) to file your formation certificate in Oklahoma. (Read more on LLC cost in Oklahoma).
The Certificate of Formation includes details like the name of the LLC, registered agent’s name, address, employees’ details, and structure of the company (member-managed or manager-managed). Before hiring employees in Oklahoma LLC, one should know about the rules and regulations thoroughly. Also if you are expanding your existing business (an LLC) to Oklahoma then you need to register as an Oklahoma Foreign LLC.
How to File Online
Go to the Secretary of State Online Service. You will get the online service page. You do not need to log in to start filing your LLC. You can provide your name and email ID and start filing your LLC. Click on the “Online Filing” button below. Read more about the Oklahoma Articles of Organization for online registration.
How to File by Mail
If you prefer filing real-life forms for your Oklahoma LLC registration, then you can download Domestic LLC Formation Form. Read the form thoroughly, fill it out, and mail it to the following address,
Oklahoma Secretary of State
421 N.W. 13th Suite 210
Oklahoma City, OK 73103
Processing Time: It takes 2 business days to get an LLC in Oklahoma if you file it online. For the mail filing, it takes 7-10 business days to get an LLC. By paying an additional fee, it can be expedited.
Recommended: Online LLC Formation service can provide all these documents within 6-8 days with lifetime customer support and 100% accuracy. We recommend using –
Tailor Brands – ($49 + State Fees) Online LLC Setup
Step 4: Create Your Oklahoma LLC Operating Agreement
Moving on to the fourth step, filing your operating agreement. An operating agreement is a document that legally outlines the proprietorship and operating procedures of your LLC. This document is vital as it ensures that all business owners are on the same page regarding how they operate, thus reducing future conflicts.
When it comes to filing an Oklahoma LLC Operating Agreement, the state does not require you to have a comprehensive operating agreement, but it is ideal to have one that contains all the details of your business operation. Like Oklahoma, there are other states that do not have a mandatory rule to file operating agreements. But, this document would be useful if you decide to dissolve Oklahoma LLC later. Hence, having an operating agreement may not be necessary but it is definitely ideal.
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Step 5: Filing an Oklahoma LLC EIN
The Employer Identification Number or, simply, the E.I.N. is a nine-digit number given by the Internal Revenue Service (IRS) to make it easier to identify the type of business for tax purposes and taxes in general. The EIN is necessary for any active business or any form of business for that matter.
EIN is needed when the LLC hires employees. Hiring employees in Oklahoma LLC requires following specific rules and regulations. On the other side, EIN for Oklahoma foreign LLC should be obtained if your LLC is based in other states.
To obtain EIN (aka FEIN) one has to fill up a form (Online or by mail) and submit it to the IRS. Enter details of your LLC, and finally complete the form and send it to the address given. You can also get an EIN Assistant who can help you with the process.
Mail to: Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999
Fax: (855) 641-6935 | Fee: Free
Recommended: This hassle will be reduced when you hire an LLC formation service. They take care of obtaining EIN and all other things for your LLC. We recommend using –
Tailor Brands – ($49 + State Fees) Online LLC Setup
Note: You don’t need a Social Security number when getting an EIN. You can proceed to fill out I.R.S. Form SS-4 and leave section 7b blank. You must then call the IRS at (267) 941-1099 to complete your application. Agents or employees will help you with that.
Congratulation, you are now done with all the necessary steps to form your Oklahoma LLC. If you do it yourself it should take you a long time to properly understand and do all the steps.
However, if you use TailorBrands it should take fewer hours and you always have live chat with expert support for any help you need.
After Starting Your Oklahoma LLC
After forming your LLC, there are still some things that you will need. Take note of the following:
- Get a company business bank account
- File Oklahoma business permits & licenses
- Get general liability insurance and professional liability insurance with coverage for employees
- File an Oklahoma LLC annual report or biennial report
This page has provided you with steps to LLC formation and filing processes. You now have to remember upcoming filing deadlines and filing fees or filing costs, including fees for late filings to make sure your LLC is up-to-date.
Cost of Oklahoma LLC
Forming an LLC in Oklahoma is no doubt more cost-effective than other structures of a business. There are some fees and charges one has to bear to form an Oklahoma LLC. LLCs have pass-through taxation. Hence, your Oklahoma LLC won’t bring you a massive tax burden. Here are some of the fees and taxes are needed to be paid while forming an LLC in Oklahoma,
|Fees/Tax||Amount to be Paid|
|Name Reservation Fee||$10|
|DBA filing fee||$25|
|Articles of Organozation Fee||$100|
|LLC Annual Fee||$25|
In Oklahoma, an LLC name reservation is not mandatory. You can register your LLC name at the time of registering your LLC. If you wish to hold the name for some time without registering your LLC, then you can do that online. Your LLC name will be reserved for 60 days without registering your LLC. It can be renewed by paying $10.
In Oklahoma, an Annual Report has to be produced every year. It costs $25. Also, the State of Oklahoma requires LLCs to pay a Sales Tax of 4.5% every year. Read our guide on LLC costs in Oklahoma for more information.
Oklahoma Foreign LLC
If you are interested in forming a Foreign LLC in Oklahoma then you need to file the Certificate of Foreign LLC to the Oklahoma Secretary of State. Foreign LLCs allow you to operate your business in more than one state. Along with the Certificate of Foreign LLC, you need to submit some more documents like the Certificate of Good Standing, etc. to the Oklahoma SOS to form your foreign LLC in Oklahoma. To know more in detail, check out our guide on Oklahoma Foreign LLC.
Reasons to Start an LLC in Oklahoma
Oklahoma is becoming a dream destination for a start-up to incorporate and start an LLC. This is the cost of labor low in the state, which will provide the same qualified labor as in the other states. Other than this, the state offers various business funding options and a reduction in tax liabilities as well. Read more on Oklahoma’s classification of LLC tax. Also, it provides a supportive environment for business flourishment to the business with the help of several incentives, of which some are discussed below.
Oklahoma Quality Job Program
When an LLC is set up in Oklahoma, it is sure that it will require some extraordinary people to work for them. For this, the entrepreneurs also start hiring for such quality people and start providing them jobs. Still, little they are known that with providing quality jobs, an Oklahoma LLC is also going to be benefited financially.
- LLC will receive a 5% return on the yearly package of the quality jobs they are offering. The government is offering this incentive quarterly for a duration of 10 long years.
- If the LLC provides a high-impacting quality job, it will receive a rebate of 2.5% on the employee’s taxable wage. This policy lasts for 6 years duration.
- The last program is for small employers who will receive 5% as a cashback of their employee’s payroll for 7 years in a row.
Oklahoma Enterprise Zone
If we consider Oklahoma state, then more than 30% of people in the state live below poverty, and the government is making continuous efforts to lift their status. For this reason, they have formed Enterprise Zone in such areas to attract LLCs and entrepreneurs. They bring along with their investment and unique ideas, which will create jobs in the enterprise zones.
Many tax benefits are given to such people to keep on generating jobs in the state and expand their business. Oklahoma Local Development handles this incentive program and provides timely incentives to LLC in Oklahoma.
Tax Credit Programs Of Oklahoma
If you want to start an LLC in Oklahoma, you must get yourself ready to receive tax benefits bundles. Some of them are:-
- There are some certified Community Development Entities in which the small businesses make some equity investment. From this investment, the LLC will get a tax rebate.
- After that, there is an incentive to create new jobs in the manufacturing sector and by property. A tax credit will be provided to the businessman for both activities.
Top Businesses in Oklahoma
Oklahoma is one of the most significant industrial areas with lots of ups and downs in its economy. That is why before a businessman thinks of starting an LLC in Oklahoma State, one should know the details about the state’s top businesses.
Forestry and Agriculture
The forestry industry flourished in Oklahoma from time immemorial. It is noticed that the state is one of the largest producers of sandalwood timber in the state, with 20% of forest cover. Also, the state is known for the production of the below-mentioned products.
- Wheat accounts for 6.1% of the state total.
- Hogs and Broilers
- Dairy products
- Pigs and cattle
The overall contribution of this sector to the economy of the state is $6.1 billion.
The energy production sector of Oklahoma is dependent mainly on non-renewable resources, primarily coal and natural gas. Renewable energy is significantly less manufactured in the state due to the non-supporting environment. Still, the business sector is the main contributor to the state’s economy that is $41.47. This value includes the value of oil and gas extraction and the production sector of energy.
The value of minerals that is present in the soil of Oklahoma is enormous. There are various stones and elements found in the statistics of soil testing. Iodine is produced the most in Oklahoma state and also supports its refineries businesses.
Apart from that, it is the 3rd largest producer of natural gases and 5th in crude oil. This important sector of the state contributes around $35 billion to its overall GDP, which is the highest for any sector. Also, the labor force of this sector is happy due to their higher pay scales.
Some small businesses that are established in the state are:-
- Recycling and its pick up
- Food truck
- Healthcare consultancy
Oklahoma LLC Formation Review
Time needed: 5 minutes.
Just to recap, here are the easy steps again when forming an LLC in Oklahoma. Click on the steps in this list to read the full detail.
- Name your Oklahoma LLC
The first thing you must do is to choose a company name, which should be unique, easy to find, and available in the state.
- Choose a Registered Agent
In Oklahoma, it is mandatory to select a registered agent for your LLC. Get a professional Registered Agent from LLC formation services like NorthWest Registered Agent to get things done hassle-free.
- File a Formation Certificate
Filing a formation certificate is necessary when forming an LLC in Oklahoma. Depending on the state, it could be called any of the following: Certificate of Formation, Articles of Organization, or Certificate of Organization.
- Create an Operating Agreement
An operating agreement is not a strict requirement in Oklahoma but something encouraged when you start an LLC to avoid future conflicts.
- Get an EIN
The Employer Identification Number (EIN), also called Federal Tax Identification Number, serves to identify a business entity like a social security number but for a company.
How Fast Can I Form an LLC in Oklahoma
If filing for LLC in Oklahoma via mail, it may take up to 2 business days. And if you are filing through mail it may take up to 7-10 business days.
How Fast Can I Form an LLC in Oklahoma? There are a number of different ways to form an LLC in Oklahoma. You can file your Articles of Organization online, by mail, or in person. Mail filings can take up to two days to process, while walk-in filings can be completed within an hour. Credit card filings will incur a 4% service fee. Listed below are the steps for each method of filing an Articles of Organization in Oklahoma.
Select a name. If you’re forming an LLC in Oklahoma, you’ll want to choose a name that reflects your business’s identity. The name must be distinctive, which means that it can’t be confused with another LLC that has the same name as you. Be sure to research any names that are available. Slight variations in punctuation, spelling, or suffixes won’t be enough – you’ll need to submit an application for an alternative name.
Then, you’ll want to designate a registered agent. If you have employees, you’ll have to pay unemployment insurance tax as well. Other taxes may apply to your business, and you can file with the Oklahoma Tax Commission. Remember to file a report yearly. Many companies will prepare and file your annual report for a small fee. If you’re in a hurry, filing your documents online can save you money.
Another option for how to form an LLC in Oklahoma is through a Certified Community Development Entity. This entity accepts equity investment from small businesses and gives them a tax rebate. The government also offers an incentive for high-impact quality jobs. If your business involves occupational licensing, you might want to consider a professional limited liability company instead. It’s similar to an LLC, but with more tax benefits. If you have the funds, you can start forming an LLC in Oklahoma today.
The Articles of Organization are the key documents that will help your LLC establish itself. They contain information about your business, like the name and street address of the principal place of business. You can submit your Articles of Organization to the Oklahoma Secretary of State online or by mail. The fee is $100. Once your LLC is registered, you’ll need to maintain compliant status by filing annual reports. The Secretary of State can help you get started.
Once you have the necessary paperwork and documents, you can open an LLC bank account for the business. A bank account for your business will protect your personal finances from the money you earn. In Oklahoma, it’s important to get a business bank account for the LLC. Once you’ve gotten your business bank account, you’ll need to present your original formation documents and a valid driver’s license. If you’re a member of a corporation, you must provide both of them.
You can delay the filing of your Articles of Organization. However, you should be aware that if you don’t pay the filing fees, your LLC’s effective date will expire. Failure to file the annual reports can result in administrative dissolution, which could result in penalties and fines. That’s why it’s best to pay your fees and keep your business on the right side of the law.
If you are a resident of Oklahoma, then you can file your LLC by yourself. However, it is always worth having a professional than doing it yourself to handle legal complexities, paperwork, and other documentation.
Apart from the formation fee of $100 (domestic LLC) and $300 (foreign LLC), LLC costs in Oklahoma include $25 for Annual Reports every year. LLCs are liable to pay sales tax of 4.5% every year
It takes 2 business days to get an LLC in Oklahoma if you file it online. For the mail filing, it takes 7-10 business days to get an LLC. If you hire a professional LLC service, then it might take less than that. We recommend Tailor Brands which has impeccable turnaround time.
Every year all the LLCs have to submit an Annual Report and pay $25 to the Oklahoma Secretary of State and renew the LLC. It is mandatory to renew your LLC every year.
Generally, for the LLCs, it is a default tax structure. Once you will obtain the EIN, you will get the various tax structure options to select. Sometimes LLCs choose S Corp to reduce federal tax burdens. Read more on the Oklahoma Classification of LLC Tax.
LLCs are easier to establish than other business structures. Small businesses, especially start-ups can easily start an LLC in Oklahoma at a bare minimum cost. LLCs have a ‘pass-through taxation’ advantage for which they are excluded from certain taxes. The formation of limited liability companies requires much lesser documents and legal processes. Share your queries with us, and leave a comment below.