Forming an LLC in Texas
An LLC (Limited Liability Company) is the most common business structure for immigrant entrepreneurs in the US. Personal asset protection, tax flexibility, and low administrative cost.
Why Texas
No state income tax — Texas charges no personal or corporate income tax Second-largest state economy in the US Large Hispanic community (>40% Hispanic population) No annual report fee — but must file franchise tax report even with $0 revenue (No Tax Due Report)
Key facts about Texas
| Item | Information |
|---|---|
| Formation fee (initial) | $300 |
| Annual fee | $0 (no annual report fee) — but a franchise tax report is required; the no-tax-due threshold is $2,650,000 for the current report year |
| Annual report deadline | Public Information Report + Franchise Tax Report due May 15 annually |
| Accepts foreign owners | ✅ Yes (includes ITIN holders) |
| Requires Registered Agent | ✅ Yes (must have physical address in Texas) |
| Operating Agreement required | ⚠️ Not by law but highly recommended |
| Approval time | 1-3 weeks (online faster) |
Steps to form an LLC in Texas
1. Choose a name
- Must end in “LLC”, “L.L.C.”, or “Limited Liability Company”
- Unique in Texas
- Cannot include restricted words (Bank, Insurance, Attorney, etc.) without authorization
2. Designate a Registered Agent
- Resident individual in Texas or authorized service with physical address in Texas
- If you don’t have an address in Texas, hire a commercial registered-agent service (yearly fee set by the provider)
3. File Articles of Organization
- Formation document registering the LLC with the state
- Fee: $300
- Filing: online (fastest), by mail, or in person
- Official platform: Texas Secretary of State
4. Create Operating Agreement
- INTERNAL document (not filed with state)
- Defines how the LLC operates: members, profit distribution, decision-making, exits
5. Get EIN (Employer Identification Number)
- LLC’s federal tax identification number
- FREE at irs.gov
- With SSN: instant online
- With ITIN: by mail (4-6 weeks) or fax (4 days)
- No SSN/ITIN: fax or mail (Form SS-4)
6. Open bank account
- Need: EIN, Operating Agreement, Articles of Organization, personal ID
- Foreign-owner friendly: Bluevine, Mercury, Relay, Wise Business, Capital One Spark
State comparison
| State | Formation Fee | Annual Fee | Privacy | Best for |
|---|---|---|---|---|
| California | $70 | $800+ | Low | Consumer market |
| Texas | $300 | $0 (depends) | Medium | No income tax + market |
| Florida | $125 | $138.75 | Low | Latin market + no tax |
| Delaware | $110 | $400 | High | Large corporations |
| Wyoming | $100 | $60+ | High | Cost + privacy |
| Nevada | $425 | $350 | High | Asset protection |
Related information
Last verified: 2026-09-02. General information — always verify with Texas Secretary of State before filing.
State services and resources in Texas
Where to register your LLC in Texas
The Texas Secretary of State, Business & Public Filings Division handles LLC registrations. Generally accepts filings:
- Online (fastest)
- By mail
- In person, where the office offers it
The steps that are the same in every state — EIN, business bank account, annual report, estimated taxes, ITIN ownership and the common errors — are maintained once, on the LLC formation hub.
Texas-specific resources
- Texas Secretary of State, Business & Public Filings Division — LLC filings and business search
- Texas Comptroller of Public Accounts — state business taxes
- SCORE (Service Corps of Retired Executives) — free small business mentoring
- SBA (Small Business Administration) — free counseling via SCORE and SBDC, open to everyone. ⚠️ SBA loans (7(a), 504, microloans) are closed to non-citizen owners since March/April 2026 — including green-card holders. See who can still use each SBA program and the CDFI lenders that do accept an ITIN.
Last verified: 2026-09-02.
General procedural information for educational purposes. Not legal, tax, or immigration advice. Laws and fees change — verify with the issuing agency before taking action. For case-specific guidance, consult a licensed immigration attorney or other appropriate professional.
Related procedural information
- ITIN — file business taxes without SSN — ITIN holders can form and operate LLCs
- ITIN-friendly business banking — checking accounts that open without an SSN
- USCIS forms — H-1B, L-1, E-2 investor visas — when LLC ownership supports a visa case
- State income tax obligations — business taxes vary by state
- Find an immigration attorney — for complex investor or work-visa cases tied to your LLC