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.
How to register your own business in texas. Register your texas business. 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. 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. You can register online or on paper.
An llc s corp c corp or sole proprietorship. 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. Decide on a business structure. If your business has employees or is taxed separately from you you must obtain a federal employer identification number ein from the irs. Owners of corporations are shareholders and managers of the business are directors.
Then you can read our detailed guide on naming your business. More generally any business operating in texas should register with the cpa. Pick a business name. Obtain your federal employer identification number. 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. If you decide to incorporate register with the secretary of state s office sos. Determine the appropriate legal structure of the business and file the business name with the state or county. In comparison to other business entities. For most small businesses registering an llc is a great option.
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. 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.