Texas LLC Formation: Start Your Texas LLC Online

Reviewed by Arslan Ameer, founder of LLCPronto.

Texas LLC at a Glance

A Texas LLC is a good fit if you live in Texas, have customers or staff there, or keep inventory in the state. Texas has no personal income tax, and most small LLCs owe no franchise tax. The catch is paperwork: every Texas LLC files a report with the Comptroller each year, even when it owes nothing.

How to Start an LLC in Texas in 6 Steps

1. Pick a name. It must include “LLC,” “L.L.C.” or “Limited Liability Company” and be different from names already on file. You can search on SOSDirect. We can reserve the name first if you need to hold it.
2. Choose a registered agent. Texas requires an agent with a street address in Texas who can accept legal papers during business hours. A P.O. box is not allowed.
3. File the Certificate of Formation (Form 205). You list the LLC name, the registered agent, and whether the LLC is run by its members or by managers.
4. Write a company agreement. Texas calls the operating agreement a “company agreement.” The state does not ask you to file it, but banks and payment companies often ask to see it.
5. Get an EIN from the IRS. The EIN is free. US owners can apply online. Owners without an SSN usually apply by fax or mail with Form SS-4.
6. Register for Texas taxes if needed. If you sell taxable goods in Texas, get a sales and use tax permit from the Texas Comptroller. The permit is free.

Our Texas LLC Package

Our package is one clear price. It covers the state filing, your EIN, a registered agent and a US mailing address for one year, plus our service. There are no separate fees to work out.

Forming Your LLC From Outside the US

You do not need a US visa, an SSN or a trip to the US to form a Texas LLC. We work with founders in Pakistan, India, the UAE, the UK and many other countries. Here is what we need from you:

• Passport or national ID (for example, a CNIC) for each owner
• Your home address, matching your ID or a recent bill
• Two or three LLC name choices, in order of preference
• Email and WhatsApp number so we can reach you quickly
• What your business will do, in one or two lines

Use your real home address. Banks and payment platforms check it against your ID, and a borrowed address can get accounts closed later.

How Your Order Works

1. Order online. Choose your package and any add-ons on our order page.
2. Upload your documents. Your passport or ID goes to a private folder only our team can open.
3. Pay and send proof. Pay by US bank transfer or, from Pakistan, by Easypaisa or Raast. Send the payment screenshot on WhatsApp.
4. We file your LLC. We check the name and file your Articles with the Texas Secretary of State.
5. We get your EIN within 24 hours. Once the state approves your LLC, we get your EIN from the IRS, even without an SSN.
6. You get your documents. We send your approved Articles and EIN letter, and your registered agent and US mailing address start.

Each year by May 15 you file a franchise tax report and a Public Information Report with the Comptroller. We remind you before each deadline.

Common Mistakes to Avoid

• Skipping the Public Information Report. Most small LLCs owe no franchise tax, but the report is still required every May 15.
• Selling without a sales tax permit. If you sell taxable goods to Texas buyers, get the permit from the Comptroller before you collect tax.
• Mixing personal and business money. Use a separate business account from day one. It keeps your records clean and protects the LLC’s liability shield.
• Forgetting Form 5472. A single-member LLC owned by a non-US person usually files it with a pro forma 1120 every year, even with no US income.

Texas Franchise Tax and Yearly Reports

Texas does not have an annual report with the Secretary of State. Instead, your LLC files with the Texas Comptroller every year by May 15.

• For 2026 reports, an LLC with total revenue at or below $2.65 million owes no franchise tax.
• Even with no tax due, you must still file a Public Information Report (Form 05-102).
• Missing it can bring a $50 penalty. If you keep ignoring it, the state can forfeit your LLC’s right to do business.

This is the step many new owners miss. We send you a reminder and can file the report for you.

Do You Need a Registered Agent in Texas?

Yes. Every Texas LLC must name a registered agent with a physical Texas address. You can be your own agent if you live in Texas and are available during business hours. Most owners outside Texas, and anyone who wants to keep a home address off public records, use a registered agent service. We provide a Texas registered agent address for you.

Is Texas the Right State for Your LLC?

If you live in Texas or run your business from there, form your LLC in Texas. Forming in another state would usually mean registering in Texas as well and paying fees twice.

If you live outside the US and have no office, staff or stock in Texas, many founders compare Texas with Wyoming, New Mexico and Delaware. We explain the trade-offs for your situation before you choose.

How LLCPronto Helps With Your Texas LLC

• Name check before filing, so the state does not reject it
• Form 205 filed with the Texas Secretary of State
• Texas registered agent address
• Company agreement ready for your bank
• EIN from the IRS, including for owners without an SSN
• Texas sales and use tax permit if you need one
• Help with Mercury, Wise, Payoneer and Stripe
• Yearly franchise tax report reminders

Need it fast? Ask about our urgent service. It costs more, and we tell you the price upfront.

Texas LLC: Key Facts

Texas Taxes for an LLC, Explained

Texas does not have a personal income tax, which is a big reason founders choose it. Instead, LLCs are covered by the franchise tax, run by the Texas Comptroller. Most small LLCs fall under the no-tax-due revenue threshold and owe nothing, but they still file a short Public Information Report (or Ownership Information Report) each year by May 15. Missing it can lead to penalties and, eventually, losing your right to do business in Texas.

If you sell taxable products or services to customers in Texas, you also need a sales and use tax permit from the Comptroller. Our resale certificate and seller’s permit service can help.

Using a Business Name (DBA) in Texas

If your LLC will trade under a name different from its legal name, Texas requires an assumed name certificate (DBA), filed with the Secretary of State. It does not create a new company; it just lets the LLC use another brand name.

Yearly filing: see our Texas LLC annual report guide for the deadline, fee and how to file.

Texas LLC FAQs

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Last updated: November 2, 2026