How to Start an LLC in Texas (2026): Fees

To start an LLC in Texas, you file a Certificate of Formation for a limited liability company (Form 205) with the Texas Secretary of State, most quickly online through SOSPortal. The state filing fee is $300. After that, the LLC deals mainly with the Texas Comptroller: every year it files a franchise tax Public Information Report, even when no franchise tax is due. This guide walks through each step with links to the official sources.

Check that your LLC name is available

The Secretary of State's Form 205 instructions explain that the name must be distinguishable in its records from the name of any existing domestic or foreign filing entity, any fictitious name a foreign entity registered under, and any name reservation or registration on file. The name also may not imply that the LLC is in a business it is not authorized to pursue, or falsely imply an affiliation with a government entity. If the name does not comply, the certificate cannot be filed.

• Designator. Form 205 requires the name to contain "limited liability company", "limited company" or an abbreviation of one of these phrases, such as "LLC".
• Search. Business records are searched through SOSPortal, which charges a $1.00 statutorily authorized fee for each search. Our Texas business search guide explains how to read the results.
• Preliminary check. The Secretary of State gives a preliminary determination on name availability by phone at (512) 463-5555 or by email. The final decision is made only when your filing is processed, so do not spend money based on a preliminary clearance.
• Reservation. If you are not ready to file, an Application for Reservation of an Entity Name (Form 501) holds a name for 120 days for a $40 fee. Reserving is optional.

Our Texas LLC name availability guide covers the distinguishability rules and reservations in more detail. A name accepted by the state is not a trademark clearance, so also check the federal trademark register before you commit to a brand.

Appoint a registered agent

Every Texas LLC needs a registered agent and a registered office in Texas, named in Article 2 of the certificate of formation. According to the Form 205 instructions:

• The agent can be an individual resident of Texas, or an organization: a domestic entity or a foreign entity registered to do business in Texas. Commercial registered agent companies fall into the second group.
• The LLC cannot act as its own registered agent.
• The agent must have consented, in writing or electronically, to serve. You do not file the consent, but naming someone without consent is a false statement in a filing instrument.
• The registered office must be a street address where the agent can be personally served during normal business hours. It may not be solely a mailbox service or telephone answering service.

Failing to maintain a registered agent and registered office may result in the involuntary termination of the LLC. For background, see what a registered agent does.

File the Certificate of Formation (Form 205)

The formation document for a Texas LLC is the Certificate of Formation, Limited Liability Company, Form 205. Professional LLCs use Form 206 instead. The form asks for:

1. the LLC's name, including the designator;
2. the registered agent and registered office;
3. whether the LLC will have managers, with the name and address of each initial manager, or, if it has none, of each initial member (at least one person);
4. the purpose (the form provides a general purpose clause);
5. the initial mailing address, which the Comptroller uses for tax correspondence; and
6. the organizer's signature. The certificate does not need to be notarized.

The certificate becomes effective when filed, or you can delay the effective date by up to 90 days from signing.

Fee and filing method. The filing fee is $300. The Secretary of State recommends filing online through SOSPortal for faster processing; you pay by ACH or credit card, and credit card payments carry a convenience fee of $0.25 plus 2.25% of the total. You can also file by mail or in person and pay by check or money order. Evidence of filing is emailed for online filings.

Faster processing. The Secretary of State's Texas Express page lists three paid tiers on top of the filing fee: standard expedited service at $50 per document (typically within 2 to 3 business days), next-day service at $500, and same-day service at $750 for filings received by noon. Expedited service does not guarantee that a document will be filed; each one is still reviewed.

If you want a draft checked before you file, the filing options page describes preclearance for $50 per filing instrument.

After filing: franchise tax and the Public Information Report

Texas has no Secretary of State annual report for LLCs. Instead, an LLC is a taxable entity for the Texas franchise tax, administered by the Texas Comptroller of Public Accounts:

• Due date. The annual franchise tax report is due May 15. If May 15 falls on a weekend or holiday, it is due the next business day.
• No tax due threshold. For report years 2026 and 2027, the threshold is $2,650,000 of annualized total revenue. Since the 2024 report year, an entity at or below the threshold does not file a No Tax Due Report.
• Public Information Report. The Comptroller's PIR filing page says every Texas LLC must file Form 05-102, the Public Information Report, each year on the franchise tax due date, even if no franchise tax report is required. Failing to file it can cost the LLC its right to transact business in Texas.
• First report. The Comptroller's franchise tax FAQ explains that a Texas LLC becomes subject to the tax on its Secretary of State registration date. Its example: an entity registered on December 20, 2023, filed its first annual report in 2024.

Changes to the registered agent or registered office are filed with the Secretary of State, not on the PIR.

Other first steps

• EIN. An Employer Identification Number comes from the IRS, and applying is free. Beware of websites that charge for one. See what an EIN is.
• Operating agreement. Form 205 does not ask for the LLC's internal operating agreement; it records only the managers or initial members. Many owners still put their arrangements in writing.
• Licenses and permits. The Office of the Governor's start a business page notes that Texas has no general business license, but specific activities may need state, local or federal licenses. It links the Texas Business Licenses & Permits Guide and the Business Permit Office.

Texas LLC state fees at a glance

The minimum state cost to form a Texas LLC is the $300 filing fee. Credit card convenience fees and any optional services come on top.

Do it yourself or use a formation service

You can form a Texas LLC yourself. Form 205 is a short form, SOSPortal walks you through it, and doing it yourself costs only the state fees above. The main things to get right are a name that passes the distinguishability review and a registered agent who has agreed to serve.

A formation service prepares and files the certificate for you and can act as your registered agent, which helps if you do not live in Texas or do not want your own address as the registered office. The certificate still lists each manager or initial member with an address. It charges its own fees on top of the state's, so compare what is included. Either way, put the May 15 franchise tax deadline in your calendar.