Starting an LLC in Texas gives your business a formal structure and a clear framework for ownership, management, and finances. Texas lets entrepreneurs form an LLC by filing formation documents with the Texas Secretary of State. You can complete the process online, which is convenient for business owners who want to form an LLC online.
Why Form an LLC in Texas?
An LLC combines business entity features with flexible management and federal tax treatment. Owners, called members, generally receive liability protection for business obligations, subject to applicable law.
Texas LLCs may have franchise tax reporting responsibilities. For 2026 reports, the no-tax-due threshold is $2.65 million in annualized total revenue. Entities at or below that threshold still must report required information.
How to Form an LLC Online in Texas
Follow these steps to form an LLC online in Texas and establish your business with the state:
Step 1: Choose Your LLC Name
Choose a name that meets Texas requirements for an LLC. The name must be distinguishable from other registered entities and include an appropriate designation, such as “Limited Liability Company,” “Limited Company,” or an accepted abbreviation.
Search the Texas Secretary of State’s business records before filing to review name availability.
Step 2: Appoint a Registered Agent
Every Texas LLC must maintain a registered agent and registered office address in Texas. The registered agent receives official notices and legal documents for the company.
Your registered agent can be an eligible individual or authorized organization.
Step 3: Prepare Your Certificate of Formation
Texas LLCs are formed by filing a Certificate of Formation (Form 205) with the Secretary of State. The filing includes the LLC’s name, registered agent, governing authority, and purpose.
Business owners who want assistance with the formation process can also use services like MyCorporation to help prepare and submit their paperwork.
Step 4: File Online and Pay the Fee
To form an LLC online, submit the completed Certificate of Formation through an accepted electronic filing method. The Texas Secretary of State charges a $300 filing fee for an LLC Certificate of Formation. Credit card payments are subject to a statutory convenience fee.
Keep the filed documents and confirmation with your business records.
Step 5: Create an Operating Agreement
An operating agreement sets out how your LLC will be managed. It can describe member ownership, responsibilities, voting procedures, distributions, and business decisions.
Texas does not require an LLC to file its operating agreement with the Secretary of State, but maintaining one can provide a useful internal record of the company’s structure.
Step 6: Apply for an EIN
An Employer Identification Number, or EIN, identifies your business for federal tax purposes. You may need one to hire employees, open a business bank account, or meet other federal requirements.
The IRS issues EINs online at no charge. Form the LLC in Texas before applying for the EIN.
Step 7: Handle Texas Tax and Business Requirements
After formation, review the tax, licensing, and permit requirements that apply to your business. Depending on your activities, location, employees, and sales, you may need additional registrations or permits.
Texas LLCs should stay current with applicable franchise tax and information reporting requirements through the Texas Comptroller.
What Does It Cost to Form an LLC in Texas?
The Texas Secretary of State filing fee for an LLC Certificate of Formation is $300. Additional costs can apply for registered agent services, licenses, permits, local registrations, and professional assistance.
Because costs and requirements can vary based on your business activities and location, review the applicable state and local requirements when planning your formation budget.
Conclusion
Learning how to open an LLC online in Texas involves choosing an available business name, appointing a registered agent, preparing the Certificate of Formation, submitting the filing and $300 fee, creating an operating agreement, obtaining an EIN, and reviewing ongoing tax and licensing responsibilities.
Completing each step carefully gives your new LLC a clear foundation for operating in Texas. Keeping formation documents, tax records, and business information organized can also help you manage the company as it grows.
