Kansas LLC Formation – Basics & Helpful Information
How to Start a Kansas LLC
A general overview of the Kansas LLC formation process; including information about how to start a Kansas LLC and other basic issues related to Kansas LLCs.
Kansas Filing Fees
The Kansas Secretary of State charges $165.00 for paper filing of the Articles of Organization to form a Kansas LLC. The Articles of Organization can be filed online for a fee of $160.00.
Kansas Filing Time
Processing time is 2-3 days for mail-in paper filing. Processing time is immediate for online filing of the Articles of Organization if accompanied by electronic check or credit card information.
Kansas Annual Compliance Requirements
Kansas LLCs are required to file annual reports to remain in compliance. The Annual Report is due by the 15th day of the fourth month following the tax closing month. For example, if the tax closing month is December, the due date is April 15 of the following year. The annual report may be filed as early as January 1. You can file the Annual Report online for a fee of $50.00. Annual reports filed online are processed immediately. Mail-in Annual Report filings will set you back $55.00 and requires additional time to process.
Kansas LLCs do not pay franchise or privilege taxes.
How to Start a Kansas LLC
You can use this checklist to help guide you through the process of forming a Kansas LLC:
Step 1: Decide on a Business Name
The first step in creating an LLC in Kansas is naming your business. You’ll need to check with the Kansas Business Center at the Secretary of State’s office to make sure the name you’ve chosen is available. You can do this online via the Kansas Business Search.
It is also highly recommended that you check the US Patent and Trademark Office to see if someone has a federal trademark of the business name you want (the Kansas Secretary of State will not check other state’s databases or the federal trademark database). You can click here to have a comprehensive name availability search performed for you.
Your LLC name must contain the words “limited liability company” or “limited company” or the abbreviations “L.L.C”, “LLC”, “L.C.” or “LC”. The name of the LLC may contain the name of a member or manager.
See Kansas LLC Naming Criteria →Kansas Trademarks
The state of Kansas does not register DBA, Assumed Name, Fictitious Name, or Sole Proprietorships. You can, however, register a trade/service mark in Kansas.
See Kansas Trademarks and Service Marks →Step 2: Register your LLC with the State
Kansas Articles of Organization
Your Kansas LLC is formed by signing and filing the Articles of Organization with the Kansas Secretary of State. You can also e-file the Kansas Articles of Organization. The Kansas Secretary of State staff will examine the Articles for statutory compliance and will either approve the articles for filing or reject the articles with instructions on how to resubmit the document.
The Articles of Organization must include at a minimum:
- Name of the Kansas LLC
- Registered Agent’s name and registered street address
- Mailing address of the LLC in Kansas
- Tax closing month of the LLC
- Effective date of LLC
- Organizer’s signature and date
Kansas Registered Agent Information
Kansas requires that the LLC have a Registered Agent (sometimes called a Resident Agent in Kansas), which is an individual or a business entity the LLC appoints for the purpose of accepting service of process (lawsuit papers or legal documents) for the LLC. An LLC can act as its own registered agent with a Kansas address, or the LLC can use any other business entity that is allowed to transact business in the state of Kansas. The registered office must be the physical, street address in Kansas where the agent can be located for service of legal process. A post office box cannot be used as the registered agent’s address.
Read more about Registered Agents →Step 3: Create and Sign the LLC’s Governing Document
The governing document for an LLC is called the “company agreement” or sometimes the “operating agreement”. The company agreement is to an LLC like a partnership agreement is to a partnership (or bylaws to a corporation). The company agreement governs the internal operation of the LLC and is typically a private document that is kept in the company book and the principal place of business (it is NOT filed with the state). The company agreement can address many issues, some of the more common concepts found within a company agreement are:
- Limitations on the members liabilities
- The level of consent needed to take various actions (i.e. simple majority required to add new members)
- The percentage of the LLC that each member owns
- How profits and losses are allocated between the members (typically based on ownership percentages)
- Limitations on transferability
- What each member is contributing to the LLC and what happens is such contributions are not made.
- The authority of the members, officers, managers, committees, etc.
- How meetings are conducted
One of the reasons we recommend using an LLC formation company like IncFile is that they can provide you with a company agreement in connection with their LLC formation services.
Step 4: Get an EIN
After you form an LLC in Kansas, you can get the EIN. There are a few different ways to get an EIN:
- Apply Online Yourself: The IRS has an online EIN Application you can use to get an EIN. The turn around time on the EIN using this method is only a few minutes.
- Use Form SS-4: You can get an EIN the old fashion way by completing Form SS-4 and mailing or faxing into the IRS. How long does it take to get the EIN this way? According to the IRS: if you mail in Form SS-4, it will take 4-5 weeks to get your EIN. If you fax in Form SS-4 you should have the EIN back in a week if you provide a fax number or 2 weeks if you don’t have a fax number.
- Have a Third-Party Obtain: All of the LLC formation companies have the ability to get the EIN for you. The EIN obtainment charge varies by company, but it is generally between $50 and $100. If you get one of the higher priced packages, they will sometimes throw in the EIN for free.
Step 5: Get Licenses and Permits
After you create your new Kansas LLC, you’ll need to determine if your business/profession requires any licenses or permits to conduct business.
Registering a Foreign LLC in Kansas
If you have a non-Kansas LLC (aka Foreign LLC) and you are doing business in Kansas, you may need to register the Foreign LLC in Kansas. Each state has a different definition of “doing business”. In Kansas, the kinds of activities that would not constitute “doing business” are outlined in the Kansas Statutes Annotated, Section 17-7932.
The filing fee for the Foreign Limited Liability Company Application in Kansas is $165.
Helpful Tips & Information
Use an LLC formation service like IncFile to help you form an LLC in Kansas. They have LLC formation packages starting at $49 (plus the state filing fee).
Links
Kansas Secretary of State
Kansas Business Name Availability Search
Kansas Business Name Criteria
Articles of Organization – Online Filing
Articles of Organization – Paper Version
Annual Report – Online Filing
Annual Report – Paper Version
KS SOS – Useful Links
Frequently Asked Questions
Online EIN Application (for the LLC’s Federal Tax ID)
USPTO (Federal) Trademark Search