How To Start a Kansas LLC

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Last Updated: August 16, 2022

Overview

Welcome to my guide on how to start an LLC in Kansas. If you’re going to be starting a Limited Liability Company in Kansas, you’re going to need some help. I always recommend your first stop being with Northwest Registered Agent.

Recommended: Northwest Registered AgentĀ 

Use Northwest Registered Agent and they will also give you the first year of their registered agent service included too. Go check it out and you’ll appreciate that you did.

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They will help you make sure you’re following Kansas Law and that the Kansas Secretary of State’s office is going to recognize your Limited Liability Company with the right business structure, operating agreement, and you’ve filed your Kansas LLC Articles of Organization the right way.

I also want to make sure you’re considering what Kansas is known for and using that for the best business ideas you could start in Kansas. My recommendation for business ideas in Kansas are:

  1. Start a Prairie Touring Business
  2. Start a River Tour Guide Business – Kansas has the most rivers of any state
  3. Start a Wizard of Oz Tour Guide Business
  4. Start a BBQ Restaurant Business
  5. Start a Kansas Dirt Cake Business

If you don’t know what a dirt cake is – go check it out. It’s pretty cool and I would expect some deliciousness coming out of starting that business.

Alright, let’s get into the nuts and bolts of how you’d start a Limited Liability Company for the Kansas Secretary of State to consider as an individual or business entity.

Name Your Kansas LLC

Before you can do much of anything, you need to name your business. There are going to be Kansas business name guidelines you’ll need to follow.

The guidelines in Kansas for naming your business are

  • Your LLC’s name must contain the phrase “Limited Liability Company” or the abbreviation “L.L.C.”
  • Your LLC’s name can’t imply that it’s something it isn’t. For example, you can’t use words like “FBI” in your name if you aren’t associated with the Federal Bureau of Investigation.
  • Your LLC’s name can’t be the same as any other business that’s already registered with the Kansas Secretary of State.
  • Your LLC’s name can’t contain restricted words. These are generally words that are regulated by other agencies like “Bank,” “Attorney,” “University.” If you want to use a restricted word, you’ll need to get approval from the agency that regulates that word.
  • Your LLC’s name can’t be too similar to an existing trademark.

To see if your LLC name is available in Kansas, you can do a business name search on the Kansas Secretary of State’s website.

The search portal you can use for the business name is: https://www.kansas.gov/bess/flow/main?execution=e1s1

Once you’ve done that and determined that your business name is available, you’ll need to make sure you can get it digitally too. I always recommend going to GoDaddy and they’ll help you get your domain and website setup.

This digital address is just as (if not more important) than your physical mailing address which for most businesses is not the initial place you’ve setup your business. If you’re running a touring business that’s one thing but a lot of business accounts and professional services start with having the right website operation setup.

Once you’ve done this, you’ll need to get started on finding a registered agent for your your business.

Choose your Kansas registered agent service

A registered agent is someone who is designated to receive legal papers on behalf of your LLC. The registered agent must have a physical street address in Kansas and be available during business hours to sign for any paperwork.

The big thing you want with a registered agent service is that they scan and send you all the paperwork they’ve received on your behalf so you don’t have to worry about missing any important documents. Northwest Registered Agent will include the first year of this service with your LLC formation so if you’re looking for the best resident agent / registered agent – you should work with their team.

A registered agent is going to help you with legal documents, decrease personal liability and make sure you’re LLC owners are aware of what you’re working on.

You can find a law firm in Kansas who offers these services but I always recommend going with the national provider who has done this for 1000s of LLC formations throughout the years.

Prepare and File Articles of Organization

The Articles of Organization is the document that officially forms your LLC. I’ve included a template below you can use or you can find a form on the Kansas Secretary of State website:

Name of LLC: ______________________________

Date of Formation: ______________________________

Registered Agent Name and Address: ______________________________

Duration: ______________________________

Names and Addresses of LLC Members: ______________________________

Business Purpose: ______________________________

Once you’ve completed the Articles of Organization, you’ll need to file it with the Secretary of State. The filing fee is $165 and can be paid by check, money order or credit card.

You can mail in your filing or you can do it online. If you file online, the filing fee is $155.

Kansas Secretary of State

Business Filings

120 SW 10th Ave., 2nd Floor

Topeka, KS 66612-1597

Email: ksos.businessfilings@ks.gov

Telephone:(785) 296-4566

Fax: (785) 291-3614

Hours: 8 a.m. to 5 p.m. Monday – Friday (except state holidays)

Once you’ve done this, it’s time to move onto my favorite part of your LLC formation and that is the operating agreement.

Create an LLC operating agreement

An LLC operating agreement is not required in Kansas but I always recommend you have one. This document outlines the ownership and operating procedures of your business. It will help you avoid member disputes, personal liability for business debts and misunderstandings about how your LLC should be run.

Operating agreements are also great ways for you to make sure it’s clear up front with your business partners (LLC member / LLC members) that if yo’ve put in personal assets – you’ll be getting your personal funds out first.

Even if you’re setting up a Foreign LLC, sole proprietorship or looking for some help with other Limited Liability Companies, it’s highly recommended that you get a Kansas LLC operating agreement setup so you’re covered for whatever comes your way in the future.

After you feel comfortable with this, you can move onto getting your Employer Identification Number so let’s do it!

Get your Federal Employer Identification Number

What is this you ask? Well it’s one of the most important things for tracking Kansas business tax and the Internal Revenue Service uses it to help you make sure you’re doing what’s necessary with all legal documents. It’s basically your Social Security Number for a business.

It an important part of the LLC formation process and it needs to be done so our IRS EIN can be used to setup the right tax structure whether you have more than one member in your business and if you’re going to hire employees.

In order to get an EIN number you’ll need follow the IRS website process here:

https://www.irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online

Once you’ve done all this and have your Federal Tax Identification Number you can go get a bank account setup.

Open A Business Bank Account

I always recommend using Lili.co. It’s the quickest and easiest way to help you keep track of business transactions, business income and if you’re going to conduct business – you’ll need a business bank account.

You can go directly to the Kansas Business Filing Center if you’d like to sort out a lot of this with them but business entities typically need bank accounts to operate correctly. You can always ask a business accountant to help and they can help you pay income tax, collect sales tax and most small business owners have some type of support so it is important to consider but at minimum go to Lili and setup a business bank account.

Get Small Business Insurance

Do you need this? Yes – you should at least figure out if you need to have business insurance so go to commericalinsurance.net and they can help you out.

You’re looking for business liability insurance but there are a lot of different types so it’s important to understand what kind of coverage you’ll need for your LLC.

The different types of insurance coverage are:

Property insurance – This type of policy will insure your business property against loss or damage. The property can be buildings, equipment, inventory, etc.

Liability insurance – This type of policy will protect you from being held responsible for injuries or damage that you or your employees may cause to other people or their property.

Product liability insurance – This type of policy will protect you from being held responsible for injuries or damage that may be caused by a product that you sell.

Workers’ compensation insurance – This type of policy will provide benefits to employees who are injured or become ill as a result of their job.

Go check out what you need and make sure you get covered correctly!

Get a Business License

You might need some depending on the industry you’re in but the easiest way get help with this is by visit the Kansas Business Center website. It may be different depending on the county and city that you’re going to be operating your business in so make sure you know what you need.

File an Annual Report

It’s required by the state of Kansas that all LLCs file an annual report with the Secretary of State. The filing fee is $45 and it’s due on April 15th of every year.

The easiest way to do this is by going to the Kansas Business Center website and following the instructions there but you can also mail in the completed form with a check or money order.

The form you’ll need is the Annual Report for Limited Liability Companies and it’s pretty straightforward. Just make sure that you have all the information filled out correctly and that you include the filing fee.

And that’s it! You’ve successfully started your Kansas LLC!

FAQs

How much does it cost to start a Kansas LLC?

The filing fee for the Articles of Organization is $165 and the annual report fee is $45.

How long does it take to start a Kansas LLC?

It usually takes about 2-3 weeks to get everything set up and filed.

Do I need a business bank account?

Yes, you’ll need a business bank account to keep track of your business income and expenses. You can go to Lili.co to set one up.