How To Register Your Own Business In Texas
An llc s corp c corp or sole proprietorship.
How to register your own business in texas. For most small businesses registering an llc is a great option. If you decide to incorporate register with the secretary of state s office sos. In comparison to other business entities. You can register online or on paper. Registering your texas company as a legal business entity such as an llc or a corporation has two major advantages.
More generally any business operating in texas should register with the cpa. Protection from personal liability in the event your business is sued. In general sole proprietorships and partnerships need to register with the county clerk s office. 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. Before you can do that though you have to figure out what type of business structure you want to form.
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. Decide on a business structure. 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. Owners of corporations are shareholders and managers of the business are directors. 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.
Then you can read our detailed guide on naming your business. Even if you are not required to obtain an ein there are often business reasons for doing so. Your next major task is going to be registering your business with the state of texas. 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.
Obtain your federal employer identification number. Determine the appropriate legal structure of the business and file the business name with the state or county. Banks often require an ein to open an account in the business s name and other companies you do business with may require an ein to process.