--- title: "Moving From an EOR to Your Own Entity in Oregon" description: "How to move from an EOR to your own Oregon entity: formation fees, corporate tax, and the honest case for staying with an EOR." canonical: https://www.teamed.global/country-hiring-guides/united-states/oregon/moving-from-eor-to-your-own-entity --- ![Oregon business district.](/cluster-assets/country-hiring-guides/united-states/oregon/moving-from-eor-to-your-own-entity/images/hero.webp) # How do you movefrom an EOR in Oregon. You form an Oregon entity, migrate employees onto your own payroll, and Teamed hands the transition back to you intact. Served by Teamed US Inc., Delaware · Payroll via SUNA Solutions Last reviewed 22 September 2026 · Oregon guide At a glance ## What an Oregon entity costs to run Registering a business entity with the Oregon Secretary of State carries a formation fee of $100. Once formed, your entity owes Oregon's corporate income tax of 6.6% on net income, and it owes a minimum franchise tax of $150 even in a loss year. Those two figures, not the EOR fee you currently pay, are the real baseline for comparing costs once you run payroll yourself. Corporate income tax6.6% Minimum franchise tax$150 Formation / registration fee$100 Setting up in Oregon ## What it takes to form your own entity in Oregon Forming an Oregon entity means filing with the Secretary of State's Business Registry and paying the $100 formation fee. That step is quick compared to what comes after it: opening a business bank account, registering for state payroll withholding, and setting up workers' compensation coverage before you can legally run your own payroll. Teamed treats this as a sequencing problem, not a single event. Your employees stay covered under the existing EOR arrangement while the new entity clears each administrative gate, so nobody's pay or benefits lapse mid-transition. Cost mechanics ## How Oregon's tax structure changes your math Once your Oregon entity exists, it owes corporate income tax of 6.6% on net income, and a minimum franchise tax of $150 applies regardless of profit. That minimum tax matters for a small or early-stage headcount: you pay it whether the entity earns anything or not, which changes the breakeven calculation compared to an EOR's per-employee fee. None of this replaces good judgment about scale. A team of a handful of people in Oregon may never generate enough payroll tax exposure to justify entity overhead, while a growing team almost certainly will. Making the switch ## How the migration actually works Moving employees off an EOR and onto your own Oregon entity is a re-papering exercise more than a legal one. Employment contracts get reissued under the new entity, benefits enrollments transfer, and payroll moves from the EOR's system to yours or a provider you choose. The riskiest part is continuity: if health coverage, retirement contributions, or paid leave balances aren't carried over cleanly, employees feel it immediately. Teamed builds the migration around that continuity, not around speed for its own sake. The honest answer ## When an EOR is still the right call An employer of record is sometimes the better answer, not a lesser one, for a small or still-changing headcount, or while you're still testing whether Oregon is a market worth committing to long-term. Setting up an entity for one or two people rarely pays for itself once you account for the ongoing $150 minimum franchise tax and 6.6% corporate income tax on top of formation costs. If you're unsure which side of that line you're on, talk to a member of the team first, then run the numbers through the crossover calculator. It depends on salaries and how long you intend to stay, not on a fixed headcount. Global Entity and Employment Operations ## Your own entity, when it's time. We set it up, migrate you in, and hand it back intact. Teamed calls this service Global Entity and Employment Operations, which we call GEMO. It covers entity formation, tax registration, and employee migration in 100+ countries, structured so the entity is fully yours once the work is done, not something you keep renting. In Oregon, GEMO handles the Business Registry filing, the $100 formation fee, and the registrations tied to the 6.6% corporate income tax and $150 minimum franchise tax, then migrates your employees onto the new entity's payroll before stepping back. 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, for a small or still-changing headcount, or while you're still testing whether Oregon is a market worth committing to long-term. Setting up an entity for one or two people rarely pays for itself once you account for the ongoing $150 minimum franchise tax and 6.6% corporate income tax on top of formation costs. 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, GEMO handles the Business Registry filing, the $100 formation fee, and the registrations tied to the 6.6% corporate income tax and $150 minimum franchise tax, then migrates your employees onto the new entity's payroll before stepping back. 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 ## Questions about moving from an EOR in Oregon How much does it cost to register a new business entity in Oregon? The Oregon Secretary of State charges a $100 formation fee through the Business Registry. That covers filing only; you'll separately need to register for tax withholding and set up payroll before you can employ anyone directly. What ongoing taxes will my Oregon entity owe once it's running? Your entity owes Oregon corporate income tax of 6.6% on net income, plus a minimum franchise tax of $150 that applies even if the entity has no profit that year. Both are set by the Oregon Department of Revenue's corporation excise tax rules. How long does moving from an EOR to my own Oregon entity take? It depends on how fast you can clear entity formation, tax registration, and benefits setup, not on a fixed calendar figure. Teamed keeps employees covered under the EOR until each administrative step is confirmed, so there's no gap in pay or coverage. Do I need my own entity if I only have a few employees in Oregon? Not necessarily. An EOR is often the right call for a small or still-changing headcount, and the crossover calculator can show whether your specific salaries and timeline justify the $100 formation fee plus ongoing franchise and corporate income tax. Can Teamed migrate my current EOR employees into a new Oregon entity? Yes, that's what GEMO is built for. Teamed forms the entity, handles the Oregon-specific tax and franchise registrations, and migrates employee contracts and benefits across before handing the entity back to you intact. 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 setting up](/country-hiring-guides/united-states/oregon/entity-setup)sibling - [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 - [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=moving-from-eor-to-your-own-entity)CTA