How to register a company in Texas?

How to Register a Company in Texas? The major steps involved in the registration of a company in Texas are outlined below:

1. Business Structure: It requires ascertaining what form of ownership would suit the business; it may be an LLC, Corporation, or Sole Proprietorship. Each one of these has implications for tax, liability, and operation in different manners.
2. Choose a Business Name: Make sure your name choice is available. Also, be sure it meets Texas naming requirements. Check on name availability through the Texas Secretary of State website. If your business name is anything other than your legal name, you may need to file an Assumed Name Certificate.
3. Appoint a Registered Agent: The state of Texas requires that all entities appoint a registered agent as an individual or service approved to accept official documents on behalf of your business. The agent should be physically located in Texas.
4. File Certificate of Formation: To provide your company as a legal entity, file the Certificate of Formation with the Texas Secretary of State. For LLCs, this form is 205; for Corporations, it is 201. Filings may be made online or by mail.
5. Obtain an EIN: You need an Employer Identification Number from the IRS that your business uses as a tax identification number. This is required for the filing of taxes, hiring of employees, and opening of the business bank account. You can apply online for an EIN.
6. File a Franchise Tax and Public Information Report: Most businesses in Texas are required to file an annual Franchise Tax Report along with a Public Information Report with the Office of the Texas Comptroller. Filings will keep your company in good standing.
7. Obtain Local Licenses and Permits: There are many other licenses and permits that may be required depending on your location and business. You should contact local authorities where you are located for specific requirements necessary for your business.
8. Open a Business Bank Account: Create a business bank account that separates your personal and business financials. This will be important in keeping records straight and is necessary for legal and tax purposes.

These steps will thereby enable you to get your company registered efficiently in Texas. It is also advisable to consult a legal or financial professional to ensure that you are fully compliant with the various state requirements.