How to Form an LLC in Texas (2026)

Corp Nation — State Guide

How to Form an LLC in Texas (2026)

Everything you need to start your Texas LLC — step by step, plain English, no lawyer required.

$300 state fee 2–3 business days No annual report No state income tax

Updated January 2026 · Written by the Corp Nation team

Austin Texas skyline

Texas is one of the best states in the country to start a business. No state income tax, a massive consumer market, and a straightforward LLC formation process make it a top choice — from solo freelancers in Austin to growing startups in Dallas and Houston.

Quick facts: Texas LLC filing fee is $300. Processing takes 2–3 business days online. No annual report required — but a Franchise Tax return is due May 15 each year.

Why form an LLC in Texas?

  • No state income tax on LLC profits
  • Strong personal liability protection under Texas law
  • Flexible member-managed or manager-managed structure
  • Required to open a business bank account
  • Franchise Tax exemption for LLCs under $2.47M in annual revenue
  • Instantly more credible with clients, vendors, and partners

How to form a Texas LLC: step by step

1

Choose your LLC name

Your name must include “Limited Liability Company,” “LLC,” or “L.L.C.” and be unique in Texas. Check availability at SOSDirect. You can reserve a name for 120 days for $40.

2

Appoint a registered agent

Every Texas LLC must have a registered agent — a person or company with a physical Texas address available during business hours to receive legal documents.

3

File your Certificate of Formation

File Form 205 with the Texas Secretary of State through SOSDirect. You’ll provide your LLC name, registered agent, management structure, and organizer information.

4

Create an operating agreement

Not legally required in Texas, but banks ask for it. It defines ownership, decision-making, and what happens if a member leaves.

5

Get your EIN

Your Employer Identification Number is your business’s federal tax ID — required to open a bank account, hire employees, and file taxes. Free at irs.gov.

6

Open a business bank account

Open a dedicated account once you have your Certificate of Formation and EIN. Mixing personal and business funds can void your liability protection.

7

Get any required licenses and permits

Texas has no general state business license, but you may need a local license, a sales tax permit from the Texas Comptroller, or a professional license depending on your industry.

Corp Nation handles steps 1–5 for you.

We file your Certificate of Formation, provide your registered agent (free year one), and prepare your operating agreement — all for $99 flat.

Texas LLC filing fees

Filing typeFeeProcessing time
Certificate of Formation (online)$3002–3 business days
Certificate of Formation (mail)$3005–7 business days
Expedited (24-hour)$3251 business day
Name reservation (optional)$40Immediate online
Entrepreneur working on laptop

Texas LLC taxes

Texas has no personal state income tax. LLC profits pass through to your federal return without a Texas-level tax. Most Texas LLCs still owe a Franchise Tax return each May 15 — but if you’re under $2.47M in revenue, you pay nothing.

SituationWhat you owe
Revenue under $2.47M/yearFile No Tax Due report (no payment)
Revenue over $2.47M/year0.375% retail/wholesale or 0.75% other
Filing deadlineMay 15 annually

Frequently asked questions

How long does it take to form an LLC in Texas?
Online filings through SOSDirect typically take 2–3 business days. Mailed filings take 5–7 business days. Expedited 24-hour processing is available for $25 extra.
Can I be my own registered agent in Texas?
Yes — as long as you have a physical Texas address (not a P.O. box) and are available during business hours. Most owners use a service to keep their home address off public records.
Do I need an operating agreement for a Texas LLC?
Texas doesn’t require one by law, but banks ask for it and it protects you legally. Always have one.
Can a non-US resident form a Texas LLC?
Yes. Non-US residents can own and operate a Texas LLC. You’ll need an ITIN or EIN and a US-based registered agent.
What’s the cheapest way to form a Texas LLC?
The $300 state fee is unavoidable. You can file yourself at SOSDirect, or use Corp Nation ($99 + $300 state fee) to handle the filing, registered agent, and operating agreement for you.

You’ve been meaning to do this for a while, haven’t you?

Here’s the truth: the hardest part of forming an LLC isn’t the paperwork. It’s the decision to stop operating as a sitting duck — no protection, no separation, no structure — and actually make it official.

Every day you operate without an LLC is a day your personal bank account, your car, your house, and your savings are on the line if something goes wrong with your business. A single lawsuit. A bad client. A contract dispute. Any of it can come straight for you personally if you’re unprotected.

An LLC fixes that. And in Texas, it takes less than 10 minutes to file and 2–3 days to be official.

Here’s what Corp Nation does for you:

  • We prepare and file your Certificate of Formation with the Texas Secretary of State — same day
  • We serve as your registered agent, so your home address stays off public records
  • We hand you a completed operating agreement, ready to sign
  • We help you get your EIN so you can open a bank account immediately
  • A real human reviews every order — not a bot, not a queue

LegalZoom charges $300+ and makes you wait. Incfile is cheap but you’re on your own. Corp Nation is $99 flat and we actually take care of it.

Stop putting it off. Your Texas LLC takes 10 minutes. We handle the rest.

Form your Texas LLC today

Same-day filing. Registered agent included. Operating agreement ready to sign. $99 flat.

Start my Texas LLC — $99 + $300 state fee Takes about 10 minutes. We handle everything after that.

Free Download: LLC Formation Checklist

Get our step-by-step checklist so you never miss a deadline or filing. Sent instantly to your inbox.

Frequently Asked Questions — Texas LLC

How much does it cost to form an LLC in Texas?

The total cost to form an LLC in Texas is $300 for the state filing fee plus Corp Nation’s $149 service fee — a total of $449. After formation, you’ll pay $300/yr for the Annual Franchise Tax Report. Corp Nation handles everything included in the service fee: Articles of Organization, registered agent for year one, and operating agreement.

How long does it take to form an LLC in Texas?

Standard LLC formation in Texas typically takes 2–3 business days when filing online through the Secretary of State. Corp Nation’s service includes expedited handling to keep your filing moving. Once approved, you’ll receive your formation documents and can immediately apply for your EIN.

Do I need an operating agreement for my Texas LLC?

Texas does not legally require an operating agreement for LLCs, but you absolutely should have one. Banks require it to open a business account. It defines ownership percentages, voting rights, profit distributions, and what happens when a member wants to exit. Without one, Texas’s default LLC rules govern your business — and those defaults almost never match what business owners actually intend. Corp Nation includes a customized operating agreement with every formation.

Do I need a registered agent for my Texas LLC?

Yes. Every LLC in Texas is legally required to maintain a registered agent with a physical Texas address. The registered agent receives lawsuits, state correspondence, and compliance notices on your behalf. Corp Nation provides registered agent service in Texas included in the Starter Package for the first year.

What are the taxes for an LLC in Texas?

A single-member LLC in Texas is taxed as a sole proprietorship by default — profits pass through to your personal tax return. At the federal level, you’ll pay income tax plus self-employment tax (15.3%) on active business income. At the state level, Texas has no state income tax. Notable: Texas has no state income tax. Many LLC owners elect S-Corp status once profits exceed ~$50,000/year to reduce self-employment tax.

Can I form a Texas LLC if I don’t live in Texas?

Yes. You can form an LLC in Texas regardless of where you live. However, if you don’t live or operate in Texas, you’ll need a registered agent with a Texas address (Corp Nation provides this), and you may need to register as a foreign LLC in your home state if you’re doing business there. For most non-residents, it makes more sense to form in your home state — but there are legitimate reasons to form in Texas, particularly if Texas has no state income tax.