How To Start An LLC In Kansas 2024?

How To Start An LLC In Kansas
Starting an LLC gives you protection and other benefits. Photo: Josep Suria/Shutterstock

Small business owners are the real heroes. It’s an incredible gift to be able to come up with a solution for consumer needs, bring this idea to life, and hustle every day to make this dream a reality. In Kansas, there are so many opportunities to offer your desired product or service to the state and earn a living as a small business owner. 

One popular way to form your business legitimately and hone your craft as a Kansas company is to start an LLC. Many small business owners are looking to LLCs to give them protection and simplicity in a business world that’s growing exceedingly complicated.

6 Basic Steps To Start An LLC In Kansas 2024

  • Choose a name for your LLC
  • Choose a registered agent
  • File articles of organization
  • Create an LLC operating agreement
  • Obtain an EIN
  • Annual Tax

How To Start An LLC In Kansas?

Even though business ownership and operation are no easy taxes, the LLC formation process for a Kansas LLC isn’t too complicated. You’ll need to complete 6 essential steps to be well on your way to having a legitimate Kansas LLC.

Choose A Name For Your LLC In Kansas

Naming a company is very multifaceted. You’ll want to use focus groups to get outside opinions on your name, look at branding, try out different logos and slogans, and eventually land on an awesome name. Part of naming your Kansas limited liability company will entail adhering to the naming rules set forth by Kansas law.

Naming Rules In Kansas

Naming your Kansas LLC isn’t all about finding a catchy term and a great logo. Before you go ahead and pay a graphic designer to draw up a company brand, make sure you peruse the naming requirements[1] for your Kansas LLC. You can’t form a new LLC that has a name already taken, and this guide goes through the exact qualifications of this rule.

Searching Available Name in Kansas

Once you’ve read through the naming requirements, check out the Kansas Secretary of State’s search engine site[2] where you can see if the LLC name you have in mind is taken or not. If your desired name is available, you might want to reserve it on the site to make sure no one snatches it up while you’re busy filling out your Kansas LLC articles.

Choose A Registered Agent in Kansas

Now that you have a unique name that meets Kansas Secretary of State requirements and you’ve reserved it, you can begin to file articles listing yourself, a professional registered agent service, or an individual within your business as the registered agent. Local government regulations in Kansas require that a registered agent be designated for each new Kansas LLC. Your registered agent or registered agent service will be indicated on your articles of organization, which is the next step.

File Organizational Paperwork With The State

After you choose a name and registered agent, it’s time to begin filling out articles of organization. The articles of the organization essentially just indicate the business name, owner, and registered agent. You’ll need to pay a filing fee of $165 when you file your articles of organization to be sure they are properly processed. 

This filing of your articles of organization is an essential step to file Kansas LLC articles and obtain your Kansas LLC, and thankfully you can file online (unless you’re forming a foreign LLC).

Prepare An LLC Operating Agreement

Preparing a Kansas LLC operating agreement isn’t required by the secretary of state, but it is highly recommended for any business. An operating agreement outlines the functions and responsibilities within your business structure, and it can be a very helpful tool for LLC owners. LLC operating agreements are an essential step in business planning to set and eventually reach your goals. 

A Kansas LLC operating agreement will usually have two pieces: a portion explaining who is in charge of what business operation, and a portion explaining what each operation entails. This makes operating agreements crucial to the clarity of small business operations.

Obtain An EIN For Your LLC In Kansas 

EIN stands for employer identification number,[3] and it will also prove essential to your business operations. It will serve as a social security number for your business and allow for the accurate filing of your annual report with the Internal Revenue Service. 

A sole proprietorship, businesses with more than one member, LLCs, and foreign LLCs alike should all apply for an EIN to be able to secure business insurance, loans, and general legitimacy in the business world. LLC members can obtain a federal employer identification number by applying for one online with the IRS.

Annual Tax

Many states require a fee or “sales tax,” if you will, for doing business in their state year to year. For LLC members, Kansas business taxes are paid when they pay income tax, and there is also a fee where the secretary of state will collect sales tax as an annual report is filed. To meet Kansas state tax requirements and stay in good standing with the secretary of state as a legitimate business, be sure to pay this fee and file your annual report for your limited liability company. 

What Is An LLC?

What Is An LLC?
LLC stands for limited liability company. Photo: Just Life/Shutterstock

LLC stands for limited liability company. Limited liability companies[4] limit the owner’s personal liability by protecting them in the case of major business debts or lawsuits. This way, your personal assets won’t be in danger if your business fails. 

Limited liability gives American business owners the freedom to try their hand at small business ownership without having any personal assets seized. This personal asset protection makes LLCs a very desirable form of business formation for entrepreneurs in America.

On top of personal protection, LLCs also provide a unique form of taxation that allows the business owner to pay their business taxes along with their income tax to the Internal Revenue Service. This tax structure definitely simplifies the filing process and allows LLC owners to file their business income under their name on their tax forms. 

What Is An LLC In Kansas?

Kansas LLCs have the requirement to find a unique name, reserve the name if necessary, file the correct paperwork, and pay the $165 filing fee.[5] Since it’s desirable to have a Kansas LLC at this time, we’d highly recommend carefully following the below process to ensure accuracy when you file for your Kansas LLC. This way, you won’t have to file extra fees if you make a mistake on your paperwork, and you won’t lose the name you wanted to use if someone else files the LLC name faster than you can.

Requirements To Start An LLC In Kansas

Kansas law requires each new Kansas LLC to choose a unique business name that’s not already taken and to appoint a qualified registered agent. Here’s what that means for you as a business owner.

Appoint A Registered Agent

If you’re wondering what a registered agent[6] (also known as a resident agent) even is, they are essentially just designated professionals who will receive and send any important legal correspondence. There are several requirements for the individual or business entity that is designated, including the fact that they must be 18 years old and must hold a physical mailing address within the state of Kansas. Some states require registered agents to be named for each new LLC, and Kansas is one of them.

You can act as your own registered agent, assign a professional within your business as the registered agent, or use registered agent services to act on your behalf. Whatever you divide, make sure you’re equipped to read and understand legal documents that might come your way. If you fail to respond to a legal inquiry or show up at any legal hearings, there could be negative repercussions for your new business.

The LLC’s Name Must Be Different From An Existing Business

Another requirement for each LLC within the state of Kansas is securing a business name that is not already taken. You can search their name database to be sure your desired name is available, and pay a fee to reserve your LLC name if you’d like (reserving your name is not required).

Benefits Of Starting An LLC In Kansas

On top of limiting your liability as a business owner and being able to pay your taxes together, Kansas LLCs have a great opportunity to grow with the rising Kansas economy. The cost of living is generally lower in Kansas than in other states, and they offer an environment that is typically friendly to small business owners.

Because the state is so central to much of the US, it can be a great location to start and expand your new small business.  

How Much Does An LLC Cost In Kansas?

It costs $165 to file a Kansas LLC along with documents of formation if you file directly with the Kansas secretary of state. If you choose to hire professional services to help you form your business, that can certainly add to this expense. We’d recommend filing directly with the state only if you understand the requirements and carefully and accurately fill out the required paperwork.

The Top 2 LLC Services In Kansas

The Top 2 LLC Services In Kansas
Hiring LLC Service helps you save time and money. Photo: Branislav Nenin/Shutterstock
Product ZenBusiness Northwesr Registered Agent
Name ZenBusiness Northwest Registered Agent
Full review Read full review Read full review
Link Check Price Check Price 

ZenBusiness

ZenBusiness is up there with Northwest, and they truly offer great value for the services offered. LLC members can expect top-notch service and a plethora of extra features helpful to new business owners, including resident agent services and federal tax identification number approval assistance. 

If you need LLC formation help, a Kansas resident agent, or an employer identification number (EIN), Zenbusiness might be a great place for you to start.

Northwest Registered Agent

Northwest Registered Agent is a great one-stop shop for LLC services. They provide resident agent services for their new LLC member customers, and they help you keep track of your business deadlines with ease.

Their customer service has become known for their helpful attitudes and devoted expertise, helping you as the business owner focus on business income and business transactions rather than thinking about the Kansas secretary of state or getting a business accountant.

Final Thoughts

It’s important to start your business on the right foot. Whether you need a little assistance from an LLC formation service, some legal advice from an attorney, or a quick search on Google for the Kansas LLC operating agreement, we’d advise you to take the time to really start your business well and with research and knowledge. 

Once you’ve done your due diligence, go for it! Start your Kansas LLC and live the American small business dream.

Frequently Asked Questions (FAQs)

Do I need a business bank account for my LLC?

Yes, it can be helpful to keep your personal finances and business assets separate when starting an LLC by opening a business bank account.

Is an operating agreement required by the Kansas department of revenue for LLC formation?

No, these types of documents are encouraged but not required by the government agency.

Can foreign entities apply for a Kansas LLC?

Yes, a foreign limited company can be formed online or in person with a higher fee in the state of Kansas.

Should I get business insurance for my new LLC?

It’s usually a good idea to get insurance for your business, whether that be general liability insurance or worker’s compensation to protect your employees and building from future harm. You’ll thank yourself later when you secure this type of insurance.

How much is the Kansas sales tax?

In Kansas, sales tax is 6.5%.

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ABOUT THE AUTHOR

Brenna Major
Brenna Major, BA
Business Content Writer & Editor
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Brenna is a finance editor who enjoys writing about entrepreneurial opportunities and personal finance tips. She graduated from Liberty University with a bachelor's degree in business and now helps small businesses market their products as a digital marketing consultant.

ABOUT THE REVIEWER

Kristina Knight-1
Kristina Knight, Journalist , BA
Content Writer & Editor
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Kristina Knight is a freelance writer with more than 15 years of experience writing on varied topics. Kristina’s focus for the past 10 years has been the small business, online marketing, and banking sectors, however, she keeps things interesting by writing about her experiences as an adoptive mom, parenting, and education issues. Kristina’s work has appeared with BizReport.com, NBC News, Soaps.com, DisasterNewsNetwork, and many more publications.

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Bizreport Advisor adheres to strict editorial integrity standards avoids using tertiary references. We have strict sourcing guidelines and rely on peer-reviewed studies, academic research. To ensure the accuracy of articles in Bizreport, you can read more about the editorial process here.

  1. Kansas.gov. (2023). Kansas Business Filing Center: The official Web site for starting and maintaining a business in Kansas. [online] Available at: https://www.kansas.gov/businesscenter/index.html?link=name_avail.
  2. ‌Kansas.gov. (2023). Kansas Business Filing Center: The official Web site for starting and maintaining a business in Kansas. [online] Available at: https://www.kansas.gov/businesscenter/index.html?appid=2&submit=Search
  3. Irs.gov. (2017). Employer ID Numbers | Internal Revenue Service. [online] Available at: https://www.irs.gov/businesses/small-businesses-self-employed/employer-id-numbers.
  4. LIMITED LIABILITY COMPANY. (n.d.). Available at: https://www.sos.ks.gov/forms/business/BEV-Script-7-LLC.pdf.
  5. Codrops (2022). Kansas Secretary of State – Forms Results. [online] Ks.gov. Available at: https://sos.ks.gov/forms/forms_results.aspx?division=BS.
  6. Kansas.gov. (2020). Kansas Business Center: Electronic Registered Agent and/or Registered Office Amendment System. [online] Available at: https://www.kansas.gov/rora-amend/index.do.
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