Forming Your Oklahoma LLC
Located in the south-central U.S., Oklahoma is a state with a great deal of natural beauty and a history entwined with Native American culture. The Sooner State has a diverse economy with natural resources, agriculture, energy, technology and aviation as major sectors.
If you want to start your own business in Oklahoma, one of the best ways to do so is by forming an LLC. Oklahoma Limited Liability Companies (LLCs) are a business entity designed for startups and small- and medium-sized businesses. Forming an LLC is fast, easy and inexpensive. LLCs offer many of the protections and advantages of large corporations without all the rules, regulations and compliance issues common to larger business entities.
In Oklahoma you also have the option to set up a “Series LLC” — these are specialized LLCs designed to allow you to manage multiple separate LLCs under one master, umbrella LLC. We have a helpful guide to Series LLCs to help you decide if they’re right for your new business.
Let’s start by looking at the advantages of forming an Oklahoma LLC.
Advantages of Setting Up an LLC in Oklahoma
Oklahoma LLCs have several benefits for business owners.
- The preparation to start an Oklahoma LLC is quick and easy: You can complete all the necessary forms and actions online to start your company. You can gather and prepare the information to start your business in an hour or two.
- An LLC limits your personal liability: Any liabilities created by your Oklahoma business (debts, obligations and other liabilities) are legally considered to be completely separate from your personal assets as the business owner or founder.
- Oklahoma LLCs are easy to maintain: LLCs are light on rules and regulations. There’s no need for boards of directors, complex rules and regulations or formal annual meetings.
- LLCs are very easy to manage: General administration is fast and easy. Add and amend members and make other changes with just a little paperwork.
- Taxes are simple: Any income you earn through your Oklahoma LLC is reported on your personal tax return. This means you won’t run into “double taxation” issues common with larger corporations.
- Turnaround times for forming an LLC in Oklahoma: You will normally have the option of a “Standard” turnaround time and an “Expedited” turnaround time for forming your LLC. You can learn about those times here.
- Fees for forming an LLC in Oklahoma: Learn about standard filing costs here.
How to Start an LLC in Oklahoma: Six Simple Steps
STEP 1: Name Your Business
- You will need a distinctive, original name for your Oklahoma LLC that’s not used by another business in Oklahoma.
- To find out if another company is using your choice of business name, carry out an Oklahoma business entity name search.
- The name should be unique and not able to be confused with the name of another Oklahoma business.
- Your company name must include the words "Limited Liability Company" or "Limited Company," or the abbreviations "LLC," "LC," L.L.C.," or L.C." Limited and Company can be abbreviated to Ltd. and Co. respectively.
- For example: “Oklahoma Corn and Wheat Production Systems LLC” or “Becker and Sons, Limited Liability Company.”
STEP 2: Provide the Address for Your New Oklahoma LLC
An Oklahoma LLC must have a designated street address. That could be your home address (if you’re running the company from your residence), where your office is located or any physical address of your preference — even outside of Oklahoma. It cannot be a P.O. Box.
STEP 3: Assign a Registered Agent for Your Oklahoma Business
Every Oklahoma LLC must have a “Registered Agent.” That could be you, the managing director, owner or a dedicated Registered Agent service. The Registered Agent in Oklahoma is someone who receives official legal and tax correspondence and has responsibility for filing reports with the Oklahoma Secretary of State.
At Incfile, all of our packages include a Registered Agent service which is free for the first year and just $99 per year thereafter. We also have a dashboard where you can log in and easily view any document your Registered Agent has received on your behalf. Here are a few reasons you might want to appoint Incfile as your Registered Agent service:
- The Registered Agent must have a physical street address in the state where you are forming the company. Some people establish companies outside of the state they live in and will need to use a Registered Agent service to provide the address.
- You always need to have someone on hand to receive important documents for your business during business hours (typically 9 a.m. to 5 p.m. Monday to Friday). Therefore, a person must always be available to sign for legal correspondence.
- The Registered Agent’s name and address are part of the public record and available through the Oklahoma Secretary of State's website. If you would prefer your name and address are not published, this is a good reason to choose a Registered Agent service.
- If you change your Oklahoma business address or move out of state, you don’t need to file additional documentation with the Secretary of State for the new address of your Registered Agent. You will need to set up a new Registered Agent service in the new state.
STEP 4: Gather Information for Filing With the State
You will need to gather together certain information about your proposed business for filing with the Oklahoma Secretary of State. We’ll guide you through everything you need to do when you create your business with us.
STEP 5: File Articles of Organization With the Oklahoma Secretary of State
Once you've gathered all the information together for your LLC, you’ll need to file a formal document with the Oklahoma Secretary of State to create your LLC. This document is known as your Articles of Organization, and filing it starts the process of creating your Oklahoma LLC. You can do this online, mail in a form or have Incfile do it on your behalf.
STEP 6: Consider Creating an Oklahoma LLC Operating Agreement
Oklahoma LLCs aren’t required to have an Operating Agreement, but they are extremely useful for several reasons. Your Operating Agreement covers how the business will be run, how managers and members are chosen, the rights and duties of members and several other key areas. Learn how to create your Operating Agreement here.
If you’re interested in having your Operating Agreement created for you, Incfile will draft a general Operating Agreement within most of our online business formation packages. It can also be selected as an add-on option in our Silver package. This Operating Agreement will be a basic template that you can make changes to anytime you see fit.
You can find lots more useful information on how to form an LLC here. It answers questions like:
- Who can form an LLC?
- Where should you form an LLC?
- When should you form an LLC?
- What are the ongoing responsibilities for an LLC?
Useful Resources for Your Oklahoma Business
Form an Oklahoma LLC Without Breaking the Bank
Incfile provides a cost-effective service to help you create your LLC. We guide you through the process and handle most of the administrative steps on your behalf, such as filing the Articles of Organization. Our basic package also provides free Registered Agent service for the first year. If you're looking for help starting an LLC, our comprehensive services provide outstanding value.