From the buzzing tech scene in Austin to the money-minting oilfields in Midland, Texas has a massive economy that offers plenty of opportunity–and competition.
No wonder many entrepreneurs see it as a great place to start an LLC and lay the foundation of their business.
Setting up an LLC in Texas is as straightforward as it comes. You just need to meet the unique requirements of the state.
To help you avoid any missteps, here’s our step-by-step guide to successfully form a Texas LLC.
The Easy Parts of Starting an LLC in Texas
LLCs are a simple and affordable way to protect your personal assets and save money. And when you start an LLC in Texas, these benefits are amplified.
One of the most important reasons business owners like an LLC is that it shields them from personal liability for the business’s debts, including debts resulting from lawsuits. That stands in stark contrast to the unlimited liability facing sole proprietors and partners in a general partnership.
There are other financial benefits, too. Registration costs in Texas are quite inexpensive at $300. Owners are also exempt from paying an annual Texas LLC registration fee.
Flexible tax payment is another advantage.
An LLC has choices as to how it will be taxed. A company with only one member will be taxed as a sole proprietorship unless it elects to be taxed as a C-Corp or an S-Corp. For an LLC with two or more members,… Read More