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Texas LLC

LLC formation

Form an LLC in Texas by following our simple step guide below.

Not ready to start an LLC? Learn the basics or have LegalZoom do the work for you.

If you are starting an LLC in the US from abroad, we suggest you read How to Open a Company in the USA thoroughly before beginning the process.

Step 1. Name your LLC

This is the first and most important step in starting your LLC. Do some research to make sure the name you choose is suited to your business venture and is easily searchable for potential clients.

  1. Follow the Texas naming guidelines: Your entity name must contain the words Limited Liability Company or the abbreviation L.L.C. or LLC. Some words are restricted or prohibited from use in names. Restricted words require additional paperwork (e.g. Banc, Bank, Banque, etc) and/or licensed individuals (e.g. Doctor, Engineer, etc). to be part of the LLC. Prohibited words are those that would confuse the name of your LLC with a federal or state agency e.g. FBI, Secret Service, Treasury etc.
  2. Is the name available in Texas? Make sure the name isn't already taken by registering for a free account with Texas Secretary of State and doing a name search. Making an account on the Texas SOS website will also grant you access to File any business forms online and make any payments to the State.
  3. Is the URL available? Check to see if the name of your LLC is available so that you can reserve your domain name. Even if you don't plan to make a website today, you may want to buy the domain name in order to prevent others from acquiring it.

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An email address is also something to consider when choosing a name. Get a professional email ( with Google apps. Also get access to the top business tools, cloud storage, and business-grade security. - Try it for free

Step 2. Choose a Registered Agent

You must nominate a Registered Agent for your Texas LLC

What is a Registered Agent? A registered agent is a person or business nominated by your company to officially receive and send papers on your behalf including annual state filings.

Who can be a Registered Agent? The registered agent must be a resident of Texas or a corporation authorized to transact business in Texas. You may elect an individual within the company including yourself.

Click here to find out why you may want to use a registered agent service.

Recommended: This registered agent service provides a great package.

Step 3. File the Articles of Organization

How to register your LLC with the State of Texas

File the Articles of Organization for a Domestic LLC.

File Online: Begin Online Application

- or -

Download the PDF: Articles of Organization - Domestic Texas LLC

Fee: Nonrefundable $300, payable to the Secretary of State.

Follow the instructions on the PDF.

Important: If you're expanding your existing LLC to Texas you are forming a Foreign LLC. Learn how.

Step 4. Create an Operating Agreement

What is an Operating Agreement? An operating agreement is a legal document outlining the ownership and operating procedures of your LLC. This agreement allows you to form financial/working relationships with co-owners into an established system suitable to your business. It is not required to form an LLC in Texas, but is good practice to have one.

Recommended: We provide a free operating agreement however we recommend getting one professional drafted by a lawyer, especially if you are starting a multi-member LLC.

after filing

Further Requirements After LLC Formation

1. Obtain an EIN

What is an EIN? The Employer Identification Number (EIN), or Federal Tax Identification Number, is used to identify a business entity. It is essentially a social security number for the company.

Why do I need an EIN? An EIN is required for the following:

  • To open a bank account for the company
  • For federal and state tax purposes
  • To hire employees for the company

Where do I get an EIN? An EIN is obtained from the IRS (free of charge) by the business owner after they form their business. This can be done by one of two ways:

2. Register for State Tax

Do I need to register for State taxes? You will need to register for State taxes if:

  • you have employees
  • you are selling a physical product that requires sales tax within your State

Texas Online Tax Registration Application

3. Obtain Business Licenses & Permits

Do I need business licenses & permits and how do I obtain them?

To operate your LLC you must comply with federal, state, and local government regulations. For example, restaurants likely need health permits, building permits, signage permits, etc.

Find out what types of special licensing you need by doing the following:

  • Fill out the U.S Small Business Administration (SBA) comprehensive guide. Follow the directions to obtaining the correct licenses and permits.
  • Contact your local Chamber of Commerce and ask about local licenses and permits.

The details of business licenses and permits vary from state to state. Make sure you read carefully. Don't be surprised if there are short classes required as well.

Fees for business licenses and permits will vary depending on what sort of license you are seeking to obtain.

Visit the State of Texas Wide Open for Business website and click on "Step 3" for business licenses and permits.

4. Hire Employees

Once a business decides to hire employees, they are obligated to adhere to certain legal requirements, such as:

  • Ensuring that potential employees are eligible to work in the US
  • Reporting employees as a "new hires" to the State
  • Providing workers' comp insurance for employees
  • Withholding income taxes
  • Printing compliance posters and place in conspicuous location
  • Ensuring payment of employees in specific increments as required by the state

Learn more about hiring employees for your small business.

5. Get Insurance

What is Workers Compensation Insurance? This form of insurance is required for most businesses with employees, but varies by State. Click here to learn more.

What is General Liability Insurance? This is an important service, but is not required in most States. Click here to learn why.

How much will the right insurance cost you? Click here to find out.

additional resources

Additional Resources

Jump Start Your Business

As a new business there are a lot of services you'll need to get started. Below we have provided a short list of some of the things that will help jump start your business.

State of Texas Quick Links

How to Start an LLC in Texas How to Video