---
title: "Setting Up an Entity in Oregon"
description: "Learn what it takes to register a legal entity in Oregon, from state filing fees to corporate tax, and how Teamed's EOR gets you hiring faster."
canonical: https://www.teamed.global/country-hiring-guides/united-states/oregon/entity-setup
---

![Oregon business district.](/cluster-assets/country-hiring-guides/united-states/oregon/entity-setup/images/hero.webp)

# How do you set upa company in Oregon.

Most companies hire in Oregon through Teamed's Employer of Record instead of forming an entity first, cutting setup to days, not months.

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

Last reviewed 22 September 2026 · Oregon guide

At a glance

## Oregon entity setup, the short version

Registering a business entity in Oregon means filing with the Secretary of State's Business Registry, paying a formation fee, and then handling ongoing state tax obligations, including a corporate excise tax and a minimum franchise tax that applies even in years with no profit.

Corporate income tax6.6% Minimum franchise tax$150 Formation / registration fee$100

Formation

## What it actually takes to register in Oregon

Forming a corporation or LLC in Oregon starts with the Secretary of State's Business Registry, where you file formation documents and pay a formation fee of $100. That gets your entity on the books, but it does not make you operational. You still need a registered agent, an EIN from the IRS, state tax registration, payroll setup, and often a business bank account before you can legally put someone on payroll.

None of that happens overnight. Oregon's registry moves reasonably fast once documents are filed correctly, but the surrounding steps, tax registration, benefits setup, payroll compliance, stretch the real timeline well beyond the filing itself. Companies that need to hire one or two people quickly in Oregon often find the entity route slower and more expensive than it looks on paper.

Tax obligations

## What an Oregon entity owes the state

Oregon taxes corporate income at a rate of 6.6%, assessed under the state's corporate excise tax rules. Separately, Oregon imposes a minimum franchise tax of $150, which applies regardless of whether the entity turns a profit in a given year. That minimum is a fixed cost of keeping the entity alive, on top of whatever income tax liability you generate.

These obligations sit alongside standard payroll tax registration, unemployment insurance, and workers' compensation requirements that any employer in Oregon must handle, entity or no entity. A newly formed entity inherits all of it immediately, whether you have one employee or fifty.

The EOR alternative

## Why teams skip the entity and hire through Teamed instead

When you hire through Teamed's Employer of Record, Teamed's existing Oregon entity becomes the legal employer of record for your team member. You avoid the Secretary of State filing, the $100 formation fee, and the ongoing minimum franchise tax exposure, because Teamed already carries that entity and its compliance obligations. Your new hire gets a compliant Oregon employment contract, payroll, and benefits, usually within days.

This matters most when you are testing Oregon as a market, hiring a small team, or moving fast and don't yet know if Oregon is where you'll build a long-term presence. The EOR model absorbs the registration and tax-filing overhead so you can focus on hiring the right person, not the paperwork behind them.

Before you commit

## Sometimes an employer of record is the better fit

An Employer of Record is sometimes the better answer, not a lesser one, especially for a small or still-changing team, or when you're testing whether Oregon is even the right market. Talk to a member of the team about your specific plans, or run the numbers yourself with the crossover calculator, since the right answer depends on salaries and how long you intend to stay.

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 Oregon, that means Teamed builds the entity, registers it with the Secretary of State, sets up the tax accounts and payroll infrastructure, and migrates your existing hires from EOR employment into that entity without a gap in their contracts or benefits. We call this Global Entity and Employment Operations, GEMO, and it works the same way across 100+ countries, so your Oregon setup follows the same playbook you'd use anywhere else.

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 Oregon

Questions

## Oregon entity setup, answered

How much does it cost to register a business entity in Oregon?

The Oregon Secretary of State charges a formation fee of $100 to register a business through the Business Registry. That fee covers the filing itself, not the additional costs of registered agents, tax registration, or payroll setup that follow.

What is Oregon's minimum franchise tax and does it apply to new entities?

Oregon imposes a minimum franchise tax of $150 on corporations, and it applies even if the entity has no taxable income for the year. A newly formed entity in Oregon owes this minimum from its first filing year, regardless of revenue.

What corporate tax rate applies once my Oregon entity is operating?

Oregon's corporate excise tax rate is 6.6% on taxable income, under rules administered by the Oregon Department of Revenue. This applies in addition to the minimum franchise tax, so an entity pays whichever calculation results in the higher liability.

Can I hire someone in Oregon without forming an entity there?

Yes, hiring through an Employer of Record lets you employ someone in Oregon legally without registering your own entity. Teamed's existing Oregon entity acts as the legal employer, handling payroll, tax filings, and compliance on your behalf.

When does it make sense to form my own Oregon entity instead of using an EOR?

It generally makes sense once your Oregon headcount and long-term commitment justify the fixed costs of formation and ongoing tax obligations. The right point to switch depends on salaries and how long you plan to stay, which is exactly what the crossover calculator is built to help you work out.

Where these figures come from

## Sources

Figures on this page come from the Oregon Department of Revenue's Form OR-20 corporation excise tax instructions and the Oregon Secretary of State's Business Registry fee schedule.

## More on entities in Oregon

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