Guide to moving a company out of Arkansas

---

Start Your Redomestication Now

The Redomestication Process in a Nutshell

1. Enter your biz name HERE.

Then click "get exact price" and follow the steps.

Takes less than five minutes.

Submit payment securely online then sit back and relax.

24-48 hours

2. We prepare the legal docs.

Our dually-licensed attorney+CPA prepares the legal documents and sends them to you via DocuSign.

You sign. We take it from there.

Same Day

3. We submit the legal filings to the states.

We monitor the status closely, respond to inquiries from their offices, and send you weekly updates.

No extra charge. 100% success rate.

1-3 months

4. Approved! ✅

We send you a checklist of go-forward obligations and simple steps for your tax pro to follow.

120% money-back guarantee if we do not succeed.

Did you know? The average business that moves to a state without state-level income tax saves over $12,500 in taxes per year.

Still have questions? Schedule a free meeting with our attorney and CPA.

Redomestication, also known as redomiciling, refers to the lesser-known legal process of transferring or moving the "home state" of an existing Corporation, partnership, or LLC, from Arkansas to a new state. It means keeping your existing company name, credit, and federal employer identification number (FEIN) without wasting time and money creating a new business entity, applying for foreign registration, or moving assets between companies.
— Prof. Chad D. Cummings, Esq., CPA

Start Your Redomestication Now

Guide to moving a company out of Arkansas: why the proper legal mechanism matters

Any credible guide to moving a company out of Arkansas must begin with a point that is often overlooked by non-lawyers: the objective is not merely to “operate elsewhere,” but to change the entity’s legal home state while preserving continuity of the enterprise. From an attorney-and-CPA perspective, the quality of the mechanism used will determine whether the transition is clean and economical, or whether it becomes a prolonged compliance problem involving duplicated filings, avoidable fees, and unnecessary tax complexity.

When business owners attempt to follow a generic relocation checklist, they frequently default to forming a new entity, registering as a foreign entity, or pursuing an improvised merger. Those approaches can be workable in narrow situations; however, in many real-world operations they create the very issues the owner is trying to escape—ongoing Arkansas filings, continued Arkansas tax exposure, and administrative distraction. For a targeted, practical guide to moving a company out of Arkansas, the recommended approach is typically redomestication (also known as statutory conversion), which changes the company’s domicile while maintaining operational continuity.

For a step-by-step explanation consistent with the firm’s process, review this guide to moving a company out of Arkansas through redomestication and use the online workflow to obtain exact pricing and initiate filings.

1) The strategic case for exiting Arkansas: taxes, legal exposure, and operational efficiency

A well-constructed guide to moving a company out of Arkansas should address why the move is being considered, because the reason drives the structure. Many companies seek to reduce friction in day-to-day operations caused by state-specific requirements, filing burdens, or the need to maintain ongoing compliance in a state where the company no longer meaningfully operates. When Arkansas has become a legacy domicile rather than a functional base, the cost of maintaining it can be disproportionate to any perceived benefit.

From a tax and compliance standpoint, the primary advantage of leaving a former state environment is often the ability to align filings with actual business reality. Maintaining an Arkansas domicile when operations have relocated can invite confusion about where returns must be filed, where annual reports must be maintained, and where tax nexus may arise. A disciplined relocation strategy seeks to reduce duplicated obligations and improve clarity for banks, vendors, insurers, and tax professionals reviewing the company’s profile.

Equally important, leaving Arkansas as the “home state” can simplify legal administration. A company’s domicile influences governing law, internal corporate or LLC governance expectations, and the procedural posture for certain disputes. A guide to moving a company out of Arkansas must therefore treat domicile as a foundational legal decision—not a superficial mailing-address change.

2) The central recommendation: redomestication as the most efficient relocation tool

The most effective guide to moving a company out of Arkansas will clearly distinguish redomestication from informal relocation tactics. Redomestication is a statutory process used to transfer the entity’s home state to a new state without dissolving the entity and without creating a replacement company. In practice, it is designed to preserve continuity while lawfully shifting domicile.

In many circumstances, redomestication is superior precisely because it reduces disruption. It is specifically positioned to allow the business to maintain its existing federal employer identification number (FEIN), keep established contractual relationships intact, and preserve business identity and credit history—benefits that can be jeopardized by dissolution-and-reformation strategies or poorly planned mergers. The legal goal is continuity with a new domicile, not a broken chain of identity that requires counterparties and agencies to be “re-onboarded.”

Business owners seeking a reliable guide to moving a company out of Arkansas should therefore focus on statutory conversion as the default framework and treat alternative transactions as exceptions that require a case-specific rationale. A detailed overview is available at this attorney-and-CPA guide to moving a company out of Arkansas by redomestication.

3) What redomestication preserves: FEIN continuity, contracts, and brand integrity

A persistent misconception in many “how to move your business” articles is that a company must be dissolved and re-formed in order to change states. That belief is costly. Any sophisticated guide to moving a company out of Arkansas must highlight that the value of an existing entity often resides in continuity: the FEIN used for payroll and banking, longstanding contracts, credit relationships, licenses, and the stability of an established operating history.

Redomestication is structured to preserve that continuity. Retaining the existing FEIN is not merely a clerical convenience; it reduces the likelihood of payroll disruptions, banking friction, and vendor onboarding problems. Similarly, preserving contracts in the same legal entity avoids unnecessary amendment cycles and eliminates the risk that a counterparty will treat an attempted “assignment” as grounds to renegotiate pricing, demand additional guarantees, or claim breach.

From a brand perspective, continuity matters because identity is an asset. In most cases, redomestication allows the company to keep its name, protecting goodwill and reducing the likelihood of customer confusion. A guide to moving a company out of Arkansas that fails to emphasize these continuity benefits is incomplete.

4) Why foreign registration is frequently the wrong answer for a permanent move

Foreign entity registration is commonly suggested as a quick fix; however, a responsible guide to moving a company out of Arkansas must explain why that option can become an expensive “two-state life.” Foreign registration generally keeps Arkansas as the home state while merely authorizing operations elsewhere. If the company has permanently moved and does not intend to return, the owner may be surprised to learn that Arkansas compliance obligations can continue—annual reports, state fees, and the risk of administrative dissolution for noncompliance.

From a governance and recordkeeping standpoint, foreign registration can complicate internal operations. The company remains anchored to Arkansas organizational law while being subject to additional compliance in the new state. This dual-track approach can be acceptable when the company truly operates in multiple states and intends to maintain a meaningful Arkansas presence. It is often counterproductive when the business has relocated and wants to simplify.

Accordingly, the more practical guide to moving a company out of Arkansas for a permanent relocation is typically redomestication. When properly executed, it replaces the dual-state posture with a single domicile, reducing confusion and administrative drift.

5) Why mergers and “newco” strategies can create avoidable legal and tax complexity

Some advisors recommend forming a new company in the destination state and merging the Arkansas entity into it, or dissolving the Arkansas entity and transferring assets. These options may appear straightforward, but an attorney-and-CPA guide to moving a company out of Arkansas must stress the hidden complexity: valuations, asset assignments, contract consents, lender approvals, UCC issues, licensing implications, and the risk of operational interruption. Each step becomes a potential failure point.

Mergers also tend to be document-heavy and more expensive than necessary when the business’s real objective is simply a change of domicile. In addition, a poorly designed merger can create a cascade of cleanup work—particularly where bank accounts, merchant processing, payroll registrations, and customer contracts were built around the original entity identity.

Redomestication is typically preferred because it is designed to accomplish the change in home state without creating a new operating entity. For owners looking for a guide to moving a company out of Arkansas that minimizes legal friction, this is a decisive advantage.

6) Procedural considerations that owners routinely underestimate (and why counsel is essential)

A thorough guide to moving a company out of Arkansas should candidly address the procedural realities. The move is not simply a filing; it is a coordinated legal transition that must be consistent with the company’s governing documents, ownership structure, and operational profile. For example, internal approvals should be properly documented to prevent future disputes among members, shareholders, or partners regarding authority, voting thresholds, and consent requirements.

In addition, companies often overlook the “secondary” components that become critical during relocation: ensuring consistency across banking records, contracts, insurance, registered agent information, and state filings. If a company uses licenses, permits, or industry-specific registrations, those items must be reviewed so the relocation does not inadvertently create compliance gaps. A guide to moving a company out of Arkansas should therefore be treated as a legal project plan, not a simple checklist.

Professional oversight is also valuable because misconceptions are common. Owners may assume that dissolving is required, that an FEIN must change, or that contracts must be re-signed. Proper redomestication is designed to avoid those disruptions, and the process is explained in detail at this guide to moving a company out of Arkansas using redomestication.

7) A practical roadmap: how a guide to moving a company out of Arkansas should be implemented

An implementation-focused guide to moving a company out of Arkansas should be executed in deliberate phases. First, confirm that the company’s facts align with the objective of a domicile change: where operations are conducted, whether the move is permanent, and whether there is any intent to maintain a meaningful Arkansas presence. Next, confirm that the company’s internal governance approvals can be properly obtained and documented, particularly for multi-owner entities.

Second, ensure that the redomestication filings are prepared and submitted correctly and that the transition is monitored through completion. Filing errors and inconsistent records are not mere inconveniences; they can delay approvals and create downstream issues with banks, vendors, and counterparties who require documentary clarity. Third, once approved, the company should follow a go-forward compliance checklist to align its obligations with the new domicile and avoid accidental noncompliance.

Owners who want a reliable, execution-ready guide to moving a company out of Arkansas should use the firm’s established workflow at the redomestication page and guide, which is designed to initiate the matter efficiently while preserving continuity of operations.

Conclusion: the most defensible path is a continuity-preserving change of domicile

When evaluated through the dual lens of legal risk management and tax-adjacent operational efficiency, the best guide to moving a company out of Arkansas is the one that prioritizes continuity. Redomestication accomplishes what business owners typically intend: a lawful change in the company’s home state without disrupting contracts, without sacrificing the FEIN, and without forcing an expensive restructuring that introduces avoidable uncertainty.

Foreign registration can trap an owner in ongoing Arkansas compliance; mergers and dissolution strategies can generate unnecessary complexity, expense, and operational disruption. By contrast, redomestication is designed to be a targeted mechanism for a targeted goal: moving the company’s legal domicile while maintaining the same company.

To proceed with an attorney-and-CPA-aligned guide to moving a company out of Arkansas, consult the firm’s redomestication guide and filing process and initiate the matter through the online workflow.

Start Your Redomestication Now

Domestication vs. Foreign Registration vs. Merger vs. Dissolution: A Comparison

Domestication is, in many circumstances, far preferable to registering an LLC or corporation as a foreign entity, especially where the LLC or corporation has permanently moved its operations and will not be returning to the prior state in the near future.

Some attorneys, unfortunately, confuse their clients by recommending a foreign entity registration in the new state, or worse, a merger, where a redomestication™ would have accomplished the goals of moving their business to a new state efficiently and effectively.

The top seven benefits of moving your company (LLC, corporation, or partnership) to a new state via redomestication™ to transfer your business include:

1. Maintaining your existing federal employer identification number, eliminating the tax headaches of forming a new company or transferring assets between companies (and inadvertently triggering a hefty tax bill from the IRS) when you move your business to a new state;
2. Keeping your existing business credit history and track record, safeguarding your reputation with clients, vendors, and creditors when moving your LLC or corporation to a new state;
3. Continuing your existing business name (in almost every case), protecting your most important assets when moving your company to a new state: your brand, reputation, and time you have already invested in search engine optimization;
4. Maintaining your existing contracts with customers and vendors because moving your business to a new state via redomestication™ does not create a new company: it maintains your existing company, saving you dozens (or even hundreds) of hours re-writing (and re-negotiating) contracts and changing banks;
5. Eliminating the need to continue paying registration fees and taxes in your prior state (assuming you have discontinued your operations there and have permanently relocated to a new state), potentially saving you tens of thousands of dollars (or more) in state taxes every quarter when you move your business to a new state;
6. Avoiding unnecessary IRS scrutiny because moving your LLC or corporation to a new state via redomestication™ is a tax-free transaction under the Internal Revenue Code; and
7. Reducing the amount of time you spend on administrative filings, saving you untold hours annually, by moving your company to a new state.

Before taking the "penny wise and pound foolish" approach of foreign entity registration or spending countless hours and exorbitant legal fees (and possibly taxes) on a merger or merger-gone-wrong to move your company to a new state, ensure you understand your options.

In most circumstances, redomestication™ (and not a foreign entity registration or costly and complicated merger) is the best route to achieve a change in company domicile to a new state.

Start Your Redomestication Now