How to Start an LLC in Kansas

Forming an LLC in the state of Kansas can be both affordable and simple—even if you’ve never started a business before. You’ll confirm that you meet all naming and formation requirements, file the necessary forms with the Kansas Secretary of State (SOS), and pay the $160 filing fee (or $165 if filing a paper application). Here’s how to get started. 

Starting an LLC in Kansas in 7 steps

An LLC is a business structure that is privy to tax efficiencies, has flexible organization options, and provides limited liability for its members. Although an LLC is a great legal structure for many Kansas entrepreneurs, it’s crucial to follow all rules and procedures to establish your new business, starting with the name you choose. 

1. Decide on a name for your business

To best ensure that you receive approval for your preferred name, you should first review Kansas’ naming rules (as outlined in K.S.A. 17-7918 and 17-7920). 

Required elements: 

• Your name must end with “limited liability company,” “limited company,” or any variation of its abbreviation (LLC, L.L.C., LC, or L.C.). 
• The name must be distinguishable from other businesses registered in Kansas (unless you have the business’ written consent to use the name). 
• You can’t use a name that was canceled or forfeited within the past year. 

You’re allowed (but not required) to use:

• The names of members or managers in the LLC name
• Specific words, including "company," "association," "club," "foundation," "fund," "institute," "society," "union," "syndicate," "limited," or "trust” (as well as any abbreviations of these terms)

Before finalizing your choice, use the following tools to research existing businesses registered in Kansas: 

• Name availability search to confirm your exact name is available
• The Kansas business entity search to review similar existing businesses and assess potential competition 

If you find a suitable name but aren’t ready to register your LLC, you can reserve it for up to 120 days by filing a temporary reservation form with the SOS and paying a $35 fee. Otherwise, you can take note of the name and save it for Step 3.  

2. Assign a resident agent

Resident agents (commonly known as registered agents outside of Kansas) are individuals or businesses authorized to do business in the state and that have permanent addresses in Kansas. Resident agents accept legal documents on behalf of the LLC and make sure its members are notified, so they must be available during regular business hours. 

According to Kansas law (K.S.A. 17-7925), your resident agent can be:

• Your LLC
• Any adult Kansas resident
• An entity authorized to conduct business in Kansas, including domestic, foreign, or professional resident agent services

While you can serve as your own agent (or appoint someone from your LLC), it’s sometimes a good idea to use a professional registered agent service. This not only takes a major responsibility off your plate but also protects your privacy (your personal address won’t be in Kansas’ public records). 

3. File the articles of organization

The articles of organization is the document that legally establishes your business in Kansas. You can file this document online through the SOS website for $160 or by mail for $165. The form, along with the required fees, must include pertinent information such as:

• The filer’s name and phone number
• The exact LLC name (including required designators)
• Name and address of resident agent
• Signature of at least one authorized person forming the LLC

The SOS standard turnaround is three to five business days to process the business forms and files. The online process, however, provides immediate filing. Regardless of how you file, make sure that all information is accurate and matches the details you’ve chosen in the previous steps. 

Still, if you ever need to make a correction or the SOS notices an error in your LLC formation documents, you can file a certificate of correction and pay a $35 fee. 

4. Create an operating agreement

Although LLCs in Kansas are not required to have a limited liability company operating agreement, it is wise to have one in place with other members should your LLC have more than one member. After all, courts in Kansas generally recognize limited liability company operating agreements as governing documents.

An LLC operating agreement usually specifies the following: 

• Ownership structure, member responsibilities, and profit and loss distribution
• Rules for adding or removing members
• Voting power and decision-making procedures 
• Guidelines for handling disputes or dissolving the LLC 

Even if you’re forming a single-member LLC, you can still create an operating agreement to outline your business’ guidelines for future growth or changes. Likewise, you might need to share an operating agreement with clients, banks, or other potential partners. 

5. Get an employer identification number (EIN) from the IRS

An EIN is also known as a federal tax ID, and you can apply for one directly through the Internal Revenue Service (IRS). While your company will need to obtain an EIN from the IRS if you have multiple members, you’ll also need one if you:

• Plan to hire employees
• Pay excise taxes 
• Choose to be taxed as a corporation
• Open a business bank account or want to build business credit 

If you’d like some help, LegalZoom can apply for an EIN on your LLC’s behalf and send you the details once approved by the IRS. 

6. Open a business bank account

After you receive your EIN, you can look into bank accounts for your business—whether through one of the large national branches or a local bank near you in Kansas. In addition to your EIN, banks may ask for your articles of organization (or a certified copy confirming your LLC’s existence), operating agreement, or both. 

Similar to personal bank accounts, pay attention to terms like minimum balance requirements, transaction limitations, and annual fees. You should also keep your personal and business funds separate to avoid any liability protection or tax complications. 

7. Register for state taxes and business licenses

LLCs are pass-through entities by default, which means you report the income on your personal tax returns rather than the business. Still, most Kansas LLCs must register with the Kansas Department of Revenue (KDOR) for various tax obligations, such as: 

• Sales tax. If you sell goods or services, you must collect a 6.5% state sales tax (plus any applicable local taxes). 
• Employment taxes. You’re responsible for income withholding and unemployment taxes if you hire employees. 
• Industry-specific taxes. Special taxes may apply for certain businesses (like liquor sales) 

Additionally, the state of Kansas regulates certain types of LLCs if their business is of a professional nature, such as lawyers, doctors, and accountants. Check Kansas’ business licenses and permits page for specific details about professional LLCs. You can also contact your city and county officials to determine if you need any local permits or licenses. 

As another option, LegalZoom can look into the requirements for your KS LLC and find out what permits your business needs. 

What to do after forming your Kansas LLC

While you’ve completed the primary steps to establish your Kansas LLC, you might consider a few additional tasks to prepare for the future, including the following. 

Register a domain name

Even if you’re not planning to launch a website immediately (or never), you should still purchase a domain name to prevent competitors from using your business name on the internet. Here’s how: 

• Use a domain registrar like GoDaddy or Google Domains to search for your desired URL
• Choose a domain extension (e.g., .com) 
• Purchase and register your domain

You can also look for matching social media handles (if applicable) to ensure you can use the same name across all digital platforms. 

Obtain a certificate of good standing

If you agree to a major contract, apply for business loans, or move your LLC to another state, the other party may ask for a certificate of good standing from the Kansas SOS. You can request this certificate by following these steps: 

• Visit the SOS Business Services Division portal
• Search for your LLC
• Request the certificate and pay the $10 fee
• Download or print the certificate 

You can also request this certificate by mail but note that the fee increases to $15. 

Consider a foreign LLC

While you can operate legally in Kansas, this doesn’t mean your LLC registration automatically transfers if you expand to a new state. In this situation, you would need to register as a foreign LLC (usually by requesting a certificate of good standing or similar document from the Kansas SOS). 

However, you should review the requirements in the state(s) where you plan to register or reach out to a business attorney to discuss the process. 

Biennial filing requirements for Kansas LLCs

Kansas LLCs must submit an information report—commonly known as an annual report in other states—every two years to maintain good standing with the SOS. LLCs formed in even years file in subsequent even years, while it’s the opposite for LLCs formed in odd years. You can use the SOS business entity search tool from Step 1 to confirm the exact due date for your LLC. 

Your information report must include the following information: 

• Business entity ID (provided to you by the Secretary of State when you form the LLC)
• LLC name and mailing address
• Reporting year
• Name and address of each member who owns at least 5% or more of the LLC capital
• Dated signature, name, and phone number of a member

You can file your report online through the SOS website ($100 fee) or by mail ($110). Aside from this requirement, continuing legal obligations may include, but are not limited to, state taxes, updating the SOS with any changes to your LLC as needed, and adhering to all employment laws. 

The cost of forming an LLC in Kansas

Expect to spend at least $160 to start your LLC in Kansas, with additional expenses depending on your business needs and services. 

• Articles of organization filing fee: $160 (online applications) or $165 (by mail)
• Business name reservation: $35 (optional) 
• Registered agent services: $0 to $300 annually, depending on whether you appoint yourself or use an outside service
• Certificate of good standing: $10 
• Certified copies: $15 (plus $1 per page for physical copies)
• Biennial information reporting: $100 (online applications) or $110 (by mail)

You should also budget for any needed business licenses and permits (varies by industry and location), insurance policies, or professional services (e.g., lawyer or accountant). 

How to start your Kansas LLC with LegalZoom

You have what it takes to start an LLC in Kansas by yourself, but why not make it easier and leave the paperwork to LegalZoom? We’ll guide you through the entire process—from selecting your business name to filing your articles of organization with the Kansas SOS. Just tell us about your business, and we’ll take care of the rest. 

Plans start at $0 + the Kansas LLC filing fee, or you can partner with us for other business legal needs—whether that’s submitting your first biennial information report, identifying which licenses your business needs, or finding you an experienced business attorney. 

FAQs

Do I need a business license for my Kansas LLC?

Kansas doesn’t require a state business license for limited liability companies, but specific permits or licenses may be necessary depending on your industry and location (and if you operate a professional limited liability company). Check with your local authorities or work with a service like ours to determine what certifications your LLC needs to operate. 

How do I file taxes for my LLC in Kansas?

LLCs in Kansas are treated as corporations, limited liability partnerships, or single-member LLCs and are subject to federal income tax classifications. Depending on the type of taxation you opt to have for your LLC, the tax responsibilities are as follows:

• An LLC treated as a limited liability partnership. These LLCs are required to file Form 1065 (U.S. Return of Partnership Income) and to show equal distribution of profits, losses, and credit on a Schedule K-1 with the IRS.
• An LLC treated as a C corporation for federal tax purposes. These LLCs are required to file Form 8832 (Entity Classification Election) and must opt to be taxed as a corporation (i.e., a separate legal entity). Next, they must file Form 1120 (U.S. Corporation Income Tax Return) with the IRS.
• An LLC treated as an S corporation. These LLCs are required to file Form 1120S (U.S. Corporation Income Tax Return) accompanied by a report from each owner expressing the equal distribution of profits, losses, and credit with the IRS.
• An LLC treated as a sole proprietorship. These LLCs must report all business income and expenses via the sole proprietor’s personal income tax returns, Schedule C (Form 1040, Profit or Loss from Business) with the IRS.

Another point to note with regard to state taxes in Kansas is the fact that each LLC member is required to report income on his or her individual income tax forms and file a Partnership Return (Form K-65) with the Kansas Department of Revenue.

How long does it take to get an LLC approved in Kansas?

When filing online, you’ll receive immediate confirmation of your LLC formation. For paper filings, the Kansas SOS mentions processing times of 3-5 business days. However, any errors or omissions may delay the process. 

How do I dissolve a Kansas LLC?

To dissolve your Kansas LLC, first confirm that your business is in good standing with the state (i.e., wrap up business affairs and pay outstanding debts or taxes). Then, file a certificate of cancellation with the SOS and pay the $35 filing fee.

Michael H. Cohen, Esq., contributed to this article.