How To Register Your Own Business In Texas
If you decide to incorporate register with the secretary of state s office sos.
How to register your own business in texas. Registering your texas company as a legal business entity such as an llc or a corporation has two major advantages. Your permitting obligations are handled on a city or county level and will vary based upon the nature of your industry business structure and location. Before you can do that though you have to figure out what type of business structure you want to form. Then you can read our detailed guide on naming your business. For profit corporations must register with the texas secretary of state must pay a filing fee for the certificate of formation of 300 and are subject to a state franchise tax.
More generally any business operating in texas should register with the cpa. Register your texas business. Individuals and unincorporated entities that do business using an assumed name often referred to as a dba must file an assumed name certificate with the county clerk in each county in which business premises are maintained. Protection from personal liability in the event your business is sued. As part of its business friendly approach the state of texas and many cities and towns in the state do not mandate a general business license.
Pick a business name. If your business has employees or is taxed separately from you you must obtain a federal employer identification number ein from the irs. In general sole proprietorships and partnerships need to register with the county clerk s office. Obtain your federal employer identification number. An llc s corp c corp or sole proprietorship.
Your next major task is going to be registering your business with the state of texas. Even if you are not required to obtain an ein there are often business reasons for doing so. Assuming you ve already worked out your business idea how you re going to fund your company and have at least done a simple business plan these are the steps for starting a business in texas. In comparison to other business entities. Texas law does not provide for registration of a business s trade name whether that business is incorporated or unincorporated.
Owners of corporations are shareholders and managers of the business are directors. You can register online or on paper. For most small businesses registering an llc is a great option.