How Much Does an LLC Cost in Oklahoma (Fees You Need to Pay)
If you're thinking about establishing a limited liability company (LLC) in Oklahoma, understanding the full range of business formation costs is essential.
Drawing on my expertise as a renowned Mergers and Acquisitions specialist and following consultations with LLC authorities within the state, we will offer a comprehensive overview of the expenses involved in setting up an LLC in Oklahoma.
Quick Summary
- An LLC in Oklahoma costs $100 to register the Articles of Organization.
- Additional expenses that you may need to shoulder include a registered agent service, license fees, annual certificate, taxes, and other relevant business documents.
- According to the IRS, more than 90% of new businesses obtain their EIN for free through the agency's efficient online application process.
- To protect the LLC, I recommend that business owners keep a copy of all documentation in file for compliance and legal purposes.
Cost to Start an LLC in Oklahoma
Before you can form an LLC in the state, there are mandatory and optional fees that should be covered for your business to be approved.
1. LLC Formation Filing Fee ($100 - Mandatory)
Establishing your Oklahoma LLC entails submitting Articles of Organization to the Oklahoma Secretary of State and paying a $100 filing fee.
The state does not currently offer expedited service since online applications are processed within 2-3 business days. In my experience, my documents were reviewed and approved in a span of 2 days.
According to statistics from the Oklahoma Secretary of State's office, over 95% of online filings are completed within this timeframe, reflecting the state's efficiency in handling business registrations.
2. Registered Agent Service Fee ($80-$300 – Optional)
In Oklahoma, every LLC is legally required to have a registered agent.
Though some members of an LLC may choose to act as their own registered agent in Oklahoma to save money, doing this requires them to remain available from 9:00 am - 5:00 pm Monday through Friday for all 52 weeks out of the year.
Employing the services of a registered agent will cost you $80 to $300 a year.
3. Name Reservation Fee ($10 - Optional)
You can have your desired LLC name reserved for 60 days by filing a Name Reservation Form that costs $10.
In my experience, new business applications were denied and delayed because the LLC members failed to verify if their desired name was still available.
Expenses Following the Approval of Your LLC
There are additional expenses that need to be addressed once the business is operational.
1. Business License (Depending on the Line of Business - Mandatory)
You're accountable for ensuring you have the necessary state, federal, or local business licenses to operate your organization.
Specific associated fees require one-time payments, while others are recurring costs.
Depending on the situation, permits and licenses can vary significantly based on the following:
- If your Limited Liability Company is involved in any particular industry (e.g., a restaurant would need health permits), you must obtain the necessary certifications and licenses before commencing operations.
- Whether in Tulsa or outside of it, having an LLC license from the city is essential for conducting business.
A colleague was required to acquire professional licenses and permits and comply with HIPAA requirements to operate a medical clinic.
2. Annual Certificate Fee ($10 - Mandatory)
To remain compliant with Oklahoma state regulations, it is essential to periodically file an Annual Certificate that confirms the details of your LLC.
Filing this certificate with the Oklahoma Secretary of State and paying the $10 fee will guarantee that your company remains in good standing [1].
3. LLC Taxes (Mandatory)
If you're an LLC owner in Oklahoma, you must be aware of the various taxes of this type of business.
These annual costs can range significantly depending on your circumstances and may include the following:
- Federal taxes
- State income tax
- Local income tax
- Business taxes
- Franchise tax
As a Master’s Degree holder in tax law, I remind clients that taxes for an Oklahoma LLC are contingent on the line of business and the amount of sales activity, so an exact figure is out of the question.
Every company has distinct parameters when it comes to taxes, which is why we advise inquiring with the Oklahoma Tax Commission regarding how a proprietor in this state files their tax returns.
4. EIN ($0 - Optional, but Recommended)
An Employer Identification Number (EIN) or Federal Employer Identification Number (FEIN) is an invaluable number that provides a wealth of benefits, including the ability to file income taxes, open LLC bank accounts, and even hire employees.
Obtaining an EIN for your LLC doesn't have to cost you a cent. The online filing is free and can be completed directly with the Internal Revenue Service (IRS).
According to data from the IRS, over 90% of new businesses apply for their EIN online, taking advantage of the no-cost, efficient process that typically concludes with immediate EIN issuance.
5. Certificate Of Good Standing ($20 - Optional)
Specific organizations may ask you to demonstrate your LLC's conformance with regulations and taxation restrictions.
Should it become necessary to verify that you've complied with such commitments, an Oklahoma Secretary of State Certificate of Good Standing will be required.
I was able to quickly get one online for a nominal fee of $20.
6. Operating Agreement (Optional, but Recommended)
The operating agreement outlines the LLC's management structure, rights and responsibilities of the members, voting requirements, and how profits and losses are distributed.
You can draft an operating agreement yourself at no additional cost. However, you can employ a lawyer or use an online LLC formation service. The price range is between $100 to $200.
"An Oklahoma LLC Operating Agreement serves as a written agreement among the LLC Members, containing comprehensive details about ownership, management structure, and profit distribution within the LLC."
- Jon Morgan, CEO, Co-Founder & Editor-in-Chief of Venture Smarter
Related articles:
- How to Dissolve an LLC in Oklahoma
- How Long Does It Take To Create an LLC in Oklahoma
- How to Change a name for an LLC in Oklahoma
FAQs
How Much Does An Oklahoma Business Bank Account Cost?
The Oklahoma business bank account costs can vary. Before you get an LLC business bank account, call to inquire about the potential for waiving the typical monthly fees ($10-20).
Many banks will waive these charges if certain conditions are met – like a minimum balance or direct deposits.
How Much Do I Have To Pay To Reinstate My Oklahoma LLC?
You don’t have to pay any fees to reinstate your Oklahoma LLC. Instead, the state requires you to pay all delinquent annual fees.
References:
- https://www.sos.ok.gov/business/fees.aspx
