Best LLC Formation Services in Texas

Texas is one of the few states that allows Series LLCs, which let you create separate liability-protected divisions within a single parent LLC. This is popular with real estate investors who want to hold multiple properties without filing a separate LLC for each one.

If you are forming a Texas LLC from out of state, you are saving yourself a significant cost. Foreign LLC registration in Texas costs $750, more than double the $300 domestic formation fee. Forming domestically here is the better deal if Texas is your primary state of business.

Texas does not offer anonymous LLCs. Your name and address will appear on public filings with the Secretary of State. If privacy is your top priority, you may want to consider a holding LLC in a state like Wyoming or New Mexico, then register it as a foreign LLC in Texas.

Every Texas LLC must file both a Public Information Report and a franchise tax report by May 15 each year, even if you owe nothing. Missing this deadline triggers a $50 penalty and can eventually lead to forfeiture of your LLC's right to do business in the state.

1. Get an EIN from the IRS (free, same day). You need this to open a business bank account, hire employees, and file federal taxes. Apply directly at irs.gov at no cost.
2. Appoint a registered agent with a physical Texas address. Texas requires your agent to be either an individual resident or a business entity authorized to operate in the state. A P.O. box does not qualify. Most formation services include this for the first year.
3. Apply for a Texas sales tax permit if you sell taxable goods or services. Texas has a 6.25% state sales tax rate (plus local additions up to 2%). You can apply through the Texas Comptroller of Public Accounts at no cost.
4. File your Public Information Report and franchise tax report by May 15 each year. Both are required even if your revenue is $0. The PIR has no filing fee, and businesses under $2.47M in revenue owe no franchise tax. Missing the deadline costs at least $50 in penalties.
5. Draft an operating agreement. Texas does not legally require one, but without it you have no written record of ownership percentages, profit-sharing, or decision-making authority. Banks and investors will ask for this document.
6. Open a dedicated business bank account. This separates your personal assets from your LLC and protects the limited liability status that your LLC provides.

• $25 Expedited Processing - Pays for slightly faster processing (10 to 12 business days instead of 10 to 15), which is a modest improvement for the cost.
• $750 Foreign LLC Registration - If you already have an out-of-state LLC and want to operate in Texas, the foreign registration fee is more than double the domestic filing fee.
• $75 Reinstatement Fee (Plus Back Taxes) - If your LLC is forfeited for missing franchise tax reports, you will pay $75 plus all delinquent taxes, penalties, and interest to get back in good standing.
• $40 Name Reservation - Optional, but holds your LLC name for 120 days if you are not ready to file immediately.
• $50 Late Filing Penalty - Applied to any franchise tax report or Public Information Report filed after the May 15 deadline, even if you owe $0 in tax.