Overview of Sole Proprietorship in Arkansas
A sole proprietorship has a single owner in Arkansas. You can start anytime without filing documents or paying state fees. However, you’re liable for all business debts. You can register a fictitious business name. If licenses and permits are needed, expect 1-2 weeks and $200 cost. You must pay income tax and may register for sales tax. Keep financial records and consider insurance to protect assets. Retail, services, and trades are common sole proprietorships.
Steps to Start a Sole Proprietorship in Arkansas
To start a sole proprietorship in Arkansas: choose an idea, register a name, obtain licenses, set up accounting, file taxes. Consult an accountant on taxes. Sole proprietorships are the simplest in Arkansas.
Responsibilities of a Sole Proprietor in Arkansas
As a sole proprietor in Arkansas you must pay income tax and may pay sales tax. Keep records for taxes. File annual returns. Consider insurance to protect assets.