Apply for LLC in Texas: Everything You Need to Know
To apply for LLC in Texas, your business must choose a valid name, obtain the necessary licenses, and file an application to register the LLC.4 min read
2. Choosing a Name for Your LLC
3. Filing a Certificate of Formation
4. Public Accountant LLCs in Texas
To apply for LLC in Texas, your business must choose a valid name, obtain the necessary licenses, and file an application to register the LLC.
Requirements for Registration
Texas is second in the U.S. in terms of population. This, in addition to its bustling business atmosphere, makes it one of the most popular places to form an LLC or a corporation. Dell and Exxon Mobil are two of the most noteworthy companies with a base in Texas. Plenty of smaller businesses are present in Texas as well, especially in the IT and agriculture industries.
When starting a business in Texas, business owners gain easy access to a booming population, lots of available land, and natural resources. Making the mistake of completing the incorporation process incorrectly can cause long processing delays. That is why many companies hire a service provider who already knows the steps of the process.
There are two basic steps to registering an LLC in Texas:
- Choosing a name
- Filing a certification of formation
Choosing a Name for Your LLC
Use the words "LLC", "limited company", or "LTD CO" in your LLC's name to ensure that it's compatible with Texas law. Other variations, such as "LC" or "Limited" can also be acceptable.
Another law states that the LLC's name should be distinguishable from other company names within the state. These are found on file with the Texas Secretary of State. You can check to see that your name is available in Texas by conducting a search with the Texas Secretary of State under a free account. The SOSDirect website is a good resource to use for checking name availability.
Name reservations are possible for 120 days. Fill out form 501 with the Texas Secretary of State. You can file the reservation online for $40 on the SOSDirect website. You may also send the application by mail.
Also, make sure that an appropriate URL is available for domain name registration. If you will want to reserve the right to create a website, you can buy the domain name now, even if you are not ready to create a site.
For email capabilities, come up with an appropriate, professional email address. You can do this with Google apps. If you create a Google account, it also gives you access to cloud storage, business tools, and excellent security.
Filing a Certificate of Formation
Your Texas LLC is completed when you file form 205 (certificate of formation) with the Texas Secretary of State.The LLC's name must be present along with the registered agent's contact information, the management structure of the business, the contact information of the organizer and governing individual for the business, and the effective date for the filing.
Public Accountant LLCs in Texas
To register a public accountancy LLC in Texas, you must follow a few steps before placing an application with the Texas State Board of Public Accountancy. An initial application of registration must be submitted and followed with a submission of fees; this will be detailed in the packet sent to you after you complete your initial application. Both of these steps must be completed before a business can practice in Texas.
Companies must register with the board and get a license for each office within the confines of Texas. In order to practice public accountancy in Texas, an out-of-state LLC needs to register and obtain a license with the board. The company must be in good standing in their home state in order to apply for registration in Texas. They also need to renew their license annually.
The name of the LLC must include the words "LLC" or "limited liability company." When the phrases "and associates" or "and company" are used, there must be at least two licenses for the practice. Licenses can go to employees as well as principals in the firm. Any employee with a CPA and a license needs to be listed for the practice.
Once the application is approved by the Secretary of State of Texas, the name of the LLC will be registered in Texas, exactly as it's shown on the articles of incorporation (or the certificate of formation or certificate of filing, where applicable). Thus, businesses must submit a copy of their articles of formation along with their application for registration in Texas.
It's allowable for the phrase "certified public accountant" to appear on the firm's letterhead; the letterhead needs to be submitted with the application. At least one director must be present and listed for each LLC in Texas.
If you need help with applying for an LLC in Texas, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.