LLC Formation

The question of why and how to start an LLC in Texas is one we get often. Setting up an LLC will shield your personal assets by separating the business from your personal finances. We’ll walk you through the below steps to set it up and explain how to manage your business taxes and financials going forward.

How To Start an LLC in Texas: The step-by-step Process

1. Choose Your LLC Name: Your business name should be unique (one that no one else has claimed state-wide) and adhere to Texas state guidelines. We assist with checking availability and reserving your name.

    

2. Appoint a Registered Agent: Texas requires LLCs to have a registered agent with a physical presence in the state to handle important documents. We can help you identify the best agent for this role.

    

3. File the Certificate of Formation: We prepare and submit your Certificate of Formation to the Texas Secretary of State. This document outlines your LLC’s structure and essential details.

    

4. Draft an Operating Agreement: While Texas doesn’t require an operating agreement, having one is crucial for defining the roles and responsibilities within your LLC. We offer custom support to formally define your business’s financial and operational decision making process.

    

5. Obtain an EIN: We’ll obtain your Employer Identification Number (EIN) from the IRS that you will use for taxes, financial applications and registrations, and governmental communications.

    

6. Understand Tax Requirements: LLCs in Texas operate under different tax rules than sole proprietors, S corps, or C corps. Once you create your LLC, you’ll want to be tax-smart about your financial decisionmaking going forward.

    

7. Secure Necessary Business Licenses and Permits: Depending on your business type and location, you may need certain licenses to operate legally in our state. We’ll help you navigate which ones to obtain and where to get them.

Don’t get stuck wondering how to start an LLC in Texas. Let’s get all the proper documentation in place so you can keep your momentum going. We help new business owners from startup to annual tax filings — and every accounting decision in between.