The state of Texas has 2.7 million small businesses that employ nearly half of Texas workers, according to the SBA Office of Advocacy, making these businesses very important to the state’s overall economy. Like other states, Texas recognizes limited liability companies, or LLCs, as a type of business entity. Many small business owners choose to structure their companies as LLCs because they offer a combination of flexibility, legal protections and tax advantages.
In order to form an LLC in Texas, you must register your company with the Texas Secretary of State. The Texas Secretary of State implements and enforces the Texas Business Organizations Code, which defines the requirements for forming a new LLC in Texas.
Step 1: Choose a name for your LLC
In Texas, almost anyone with a valid business purpose can form an LLC. Certain regulated professions, such as doctors and veterinarians, have to form a professional entity, such as a professional limited liability company or a professional…
This article was written by Priyanka Prakash and originally published on www.nerdwallet.com