---
title: "Moving From an EOR to Your Own Entity in Ohio"
description: "How to move payroll and staff from an EOR to your own Ohio entity, with Teamed handling formation, tax registration, and a clean migration."
canonical: https://www.teamed.global/country-hiring-guides/united-states/ohio/moving-from-eor-to-your-own-entity
---

![Ohio business district.](/cluster-assets/country-hiring-guides/united-states/ohio/moving-from-eor-to-your-own-entity/images/hero.webp)

# How do you movefrom an EOR in Ohio.

Teamed sets up your Ohio entity, migrates your employees onto it, and hands you a fully operational company, no gap in payroll or benefits.

Served by Teamed US Inc., Delaware · Payroll via SUNA Solutions

Last reviewed 22 September 2026 · Ohio guide

At a glance

## Ohio entity setup at a glance

Ohio charges no corporate income tax, instead taxing businesses through the commercial activity tax, which is based on gross receipts rather than profit. Forming the entity itself starts with the Ohio Secretary of State, where filing Articles of Organization carries a set fee. Once the entity exists, Teamed can move your team from EOR employment onto your own payroll without a break in coverage.

Corporate income tax0% Franchise tax basisgross receipts Formation / registration fee$99

The move

## Why teams move off an EOR in Ohio

Companies usually start with an EOR because it lets them hire in Ohio fast, without registering a business or learning state payroll rules first. That works well while the team is small or the plan is still forming. Once headcount grows, or the company commits to Ohio for the long term, running through an EOR indefinitely starts to cost more in fees than owning the entity outright.

The right time to switch depends on salaries, headcount, and how long you plan to stay in Ohio, not on a fixed number of employees. Teamed's crossover calculator models that trade-off using your actual numbers, so you can see the real break-even point instead of guessing.

Tax picture

## How Ohio taxes your new entity

Ohio does not levy a traditional corporate income tax, according to the Ohio Department of Taxation. Instead, businesses operating in the state are subject to the commercial activity tax, which is calculated on gross receipts rather than net income.

That structure matters when you plan your own entity, because it changes how you forecast tax exposure. Instead of modelling profit-based tax the way you might elsewhere, you need to track revenue flowing through the Ohio entity itself. Teamed's finance team walks new entities through this before the first payroll run, so there are no surprises once you're off the EOR.

Formation

## What it costs to stand up an Ohio entity

Filing Articles of Organization with the Ohio Secretary of State carries a $99 fee, according to the Secretary of State's filing schedule. That covers the core registration step, though most companies also budget for registered agent service, an EIN, and state payroll tax registration before they can run their first Ohio payroll.

Teamed handles this filing sequence directly rather than leaving it to you to piece together. We register the entity, get the tax accounts open, and confirm everything is active before a single employee moves off the EOR.

Migration

## How the switch actually happens

The migration itself is a handover, not a restart. Employment contracts, benefits enrollment, and payroll history move across to the new Ohio entity on a set date, so employees see continuity rather than a new employer appearing overnight.

Teamed runs this as a project with a defined end point. We keep the EOR employment live until the new entity is fully registered and tested, then switch payroll over in a single coordinated step rather than a slow, error-prone drift.

Before you commit

## Sometimes an employer of record is the better fit

An employer of record is sometimes the right long-term answer, not just a stopgap, especially for a small or still-changing team, or while you're testing whether Ohio is even the right market. If you're not sure which side of that line you're on, talk to a member of the team first, and run the numbers through the crossover calculator before you commit to forming an entity.

Contractors, employer of record and your own entity all run on one platform at Teamed, so moving between them later does not mean changing provider or re-onboarding anybody. Real HR and legal experts handle the work rather than a ticket queue.

Talk to a member of the team and we will tell you plainly which one suits where you are. If you would rather look at the numbers yourself first, the crossover calculator models it on local salaries and employer costs rather than on a headcount rule of thumb.

Talk to a member of the team

Model the crossover for the United States

Who carries it

## Your own entity, when it's time. We set it up, migrate you in, and hand it back intact.

Global Entity and Employment Operations, which we call GEMO, is how Teamed forms your company, registers it for tax and payroll, runs it month to month and keeps its filings current, across 100+ countries. You stay the employer. We do the work behind it.

In Ohio, that means Teamed files the Articles of Organization, registers you for the commercial activity tax, and opens the accounts your payroll needs, then moves your team over on a clean date. When you're ready to run the entity yourself, we hand it back fully registered, fully staffed, and already operating, nothing half-finished.

Entity Management (GEMO)

The Graduation Model

Employer cost calculator

> They set up our EU entity and moved hires across without missing a payroll.

*Helene Dubois, COO*

Talk to an expert about Ohio

Questions

## Ohio EOR transition questions

When does it make sense to move off an EOR in Ohio?

It depends on your headcount, your salary levels, and how long you plan to keep hiring in Ohio, not a fixed employee count. Run your numbers through the crossover calculator to see where your own entity starts costing less than staying on the EOR.

Does Ohio charge corporate income tax on my new entity?

No, Ohio does not have a traditional corporate income tax. Instead, the state applies the commercial activity tax, which is based on gross receipts, so plan your tax forecasting around revenue rather than profit.

What does it cost to register a company in Ohio?

Filing Articles of Organization with the Ohio Secretary of State costs $99. Most companies also need a registered agent, an EIN, and state payroll tax registration before running their first payroll, though those steps aren't covered by the filing fee itself.

Will my employees notice the switch from EOR to our own entity?

They shouldn't, if the migration is planned properly. Teamed keeps EOR employment active until the new Ohio entity is registered and tested, then moves contracts, benefits, and payroll history over on a single coordinated date.

Can Teamed handle the entity setup and the EOR employment at the same time?

Yes, that's the point of running it as one project rather than two separate vendors. Teamed keeps your team employed under the EOR while the Ohio entity is built, then hands off cleanly once everything is live.

Where these figures come from

## Sources

Tax and filing details on this page come from the Ohio Department of Taxation's commercial activity tax publication and the Ohio Secretary of State's Articles of Organization filing schedule.

## More on entities in Ohio

- [Hiring in Ohio, overview](/country-hiring-guides/united-states/ohio)parent
- [Ohio setting up](/country-hiring-guides/united-states/ohio/entity-setup)sibling
- [Ohio running costs](/country-hiring-guides/united-states/ohio/entity-running-costs-and-filings)sibling
- [Ohio tax presence](/country-hiring-guides/united-states/ohio/permanent-establishment-risk)sibling
- [Ohio entity or eor](/country-hiring-guides/united-states/ohio/eor-vs-entity)sibling
- [Set up an entity, by country](/entity-setup-by-country)hub
- [Entity Management (GEMO)](/entity-management)core
- [Talk to an expert about Ohio](https://www.teamed.global/contact?from=moving-from-eor-to-your-own-entity)CTA
