Key Takeaways:

  • A registered agent is required for LLCs and corporations to receive legal documents.
  • In Texas, the registered agent must have a physical address in the state and be available during business hours.
  • Individuals, law firms, or professional registered agent services can serve as registered agents.
  • Businesses often hire professional registered agents to ensure compliance with state requirements.
  • Texas requires the registered agent to consent to their appointment and be listed in the company’s formation documents.
  • A registered agent’s primary responsibilities include accepting legal documents, tax notices, and compliance-related correspondence.
  • Changing a registered agent in Texas requires filing the appropriate form with the Secretary of State.
  • Failing to maintain a registered agent can result in penalties or dissolution of the business.

Knowing how to become a registered agent is helpful when dealing with a limited liability company, or LLC. An LLC isn't a person, so someone needs to accept the legal subpoenas and lawsuits on behalf of the company. The registered agent is in charge of that and is sometimes called a statutory agent. Each state requires LLCs to document the registered agent's name and address in their formation documents that they file with the state.

What is a Registered Agent?

Some states require the agent to sign a document to confirm that they agree to serve as the registered agent. The LLC is in charge of making sure that the agent's address is current and accurate. The agent can be served with the document by certified or regular mail as well as in person. The agent is required to give the document to the appropriate person once they receive it, as there is only a short period of time to respond to lawsuits.

The appointed or registered agent's duties include:

  • Accepting or receiving any documents sent to the company and responding to any notice, demand, or process that the LLC gets served with.
  • Providing the notices permitted or required by law to the entity at their most current address.

Why Do Businesses Need a Registered Agent?

A registered agent is crucial for ensuring that a business remains compliant with state regulations. In Texas, an LLC or corporation must have a registered agent to:

  • Receive legal notices (such as service of process in lawsuits).
  • Accept official government correspondence, including tax and compliance notices.
  • Maintain a reliable point of contact for the company.

Without a registered agent, a business may risk missing important legal documents, which could result in default judgments, penalties, or loss of good standing with the state.

Who Can Be a Registered Agent?

A registered agent is anyone who is a minimum of 18 years old and has a physical address in the state where the LLC is formed, not a P.O. box. The address is also known as the registered office and can be either a business or home address. An owner, officer, or employee can be the LLCs registered agent. However, the LLC itself cannot be its own registered agent. If the entity can't provide their own registered office and agent, service companies can provide the services of a registered agent for a fee. Your accountant or attorney might also offer this service.

The agent must be readily available at the given address during regular business hours. If the LLC is run by a couple and the husband or wife is busy with sales calls throughout the day, they cannot be the agent. However, if they're in one spot and free during the day, they meet the requirements to be the registered agent. An agent can also be in the form of a business that provides registered agent services to corporations and LLCs.

Texas-Specific Requirements for Registered Agents

To qualify as a registered agent in Texas, an individual or business entity must:

  1. Be a resident of Texas (if an individual).
  2. Have a physical street address in Texas (P.O. boxes are not allowed).
  3. Be available during normal business hours to receive legal documents.
  4. Consent in writing to serve as the registered agent.

Texas law prohibits a business from serving as its own registered agent, but an individual business owner or an employee can serve in this role.

What Is Required to Become a Registered Agent?

Every limited liability company and corporation is required to appoint and maintain someone to be a registered agent in the state that the company forms and in every state they're authorized to conduct business. The agent is in charge of receiving all important documents and collecting the state-issued tax materials each year. If the corporation gets sued, the process will be served to the registered agent in many cases. The agent acts to be the hands and feet of the business when it comes to processing and receiving legal papers.

There are several minimum qualifications that a company or individual must meet to become a registered agent. First of all, they must be a resident of the state in order to be the entity's registered agent. The agent needs to be free during regular business hours throughout the year to deal with any issues. If no one accepts the service of process, a lawsuit can still happen, but the company might need to forfeit their right to have a defense.

One reason companies choose another company to be their registered agent is they're available every day of the year. Every state allows certain entities, such as LLCs and corporations, to be registered agents for other companies. They will need to register with the state in order to do this. An entity that is acting as a registered agent needs to have a street address and office in the state where the business is operating during regular business hours. Most states allow foreign entities to be registered agents as well.

How to Become a Registered Agent in Texas

To become a registered agent in Texas, follow these steps:

  1. Ensure Eligibility: Confirm that you meet the state's age and residency requirements and have a physical address in Texas.
  2. Provide Written Consent: Texas law mandates that a registered agent must provide written consent. This is typically done via Form 401-A filed with the Texas Secretary of State.
  3. List Your Information on Business Filings: When an LLC or corporation is formed, your name and address must be included in the entity’s formation documents.
  4. Remain Available: Be present at the designated registered office during normal business hours to accept service of process.
  5. Stay Compliant: If you act as a registered agent for multiple businesses, keep detailed records and ensure your contact information remains up to date.

Many businesses choose to hire a professional registered agent service to handle compliance on their behalf.

How to Change a Registered Agent in Texas

If a business wants to change its registered agent in Texas, it must:

  1. Obtain the Consent of Appointment from the new agent.
  2. Complete Form 401 – Statement of Change of Registered Agent/Office.
  3. File the form with the Texas Secretary of State and pay the required fee.
  4. Notify the previous registered agent of the change.

Failing to update the registered agent can result in the business losing good standing or missing critical legal notices.

Benefits of Hiring a Professional Registered Agent

Many businesses in Texas choose to hire a professional registered agent service rather than appointing an individual. Benefits of using a professional service include:

  • Compliance assurance – Ensures that legal documents are always received and properly handled.
  • Privacy protection – Keeps the owner's home address off public records.
  • Convenience – Eliminates the need for the business owner to be available during business hours.
  • Multi-state support – Helpful for businesses operating in multiple states.

Several companies offer registered agent services in Texas for a nominal annual fee, making this an attractive option for many businesses.

Frequently Asked Questions

1. How do I become a registered agent for my own business in Texas?

To become a registered agent for your own business in Texas, you must be 18 or older, have a physical address in the state, and provide written consent using Form 401-A.

2. What happens if my business does not maintain a registered agent?

If your business does not have a registered agent, it may lose its good standing with the state, be subject to penalties, and may even face administrative dissolution.

3. Can I use a virtual office as my registered agent address?

No, Texas law requires a physical street address for the registered agent. A P.O. box or virtual office does not meet the legal requirements.

4. How much does a professional registered agent service cost in Texas?

Professional registered agent services typically charge between $50 to $300 per year, depending on the level of service provided.

5. Can a law firm act as a registered agent in Texas?

Yes, many businesses choose to appoint a law firm or CPA firm as their registered agent to ensure compliance with state regulations.

If you need help with finding out how to become a registered agent, 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.