Understanding Costs
How much does it cost to start a business in Texas? The cost of starting a Texas business depends on its structure. The registration fee is $300 for corporations and LLCs and $750 for LPs.
For most people starting a business in Texas, the filing cost is $300. If you’re forming a nonprofit organization, you can reduce this fee to $25. Veteran-owned businesses also qualify for a reduced filing fee.
Can you start a business in Texas with no money? You can start a sole proprietorship or partnership in Texas with no filing fee.
Fees for Different Entities
- Corporations and LLCs: $300
- LPs (Limited Partnerships): $750
- LLPs (Limited Liability Partnerships): $200 for each partner who owns a share
- Nonprofit organization: $25
- Veteran-owned business: Reduced fee
- Foreign entities: $750 for Texas business formation
Legal Requirements
What are the requirements to start a business in Texas?
- Register your company name
- Obtain a license from the county where you do business
- Register with the SOS for legal entity formation
- May require additional licenses or permits at local or state level
Resources for Entrepreneurs in Houston
- Small Business Development Center (SBDC): Offers free consulting, workshops, and seminars
- SCORE Houston: Provides free mentoring and advice
Funding Your Business
When starting a small business in Houston, consider funding options:
- Bank loans and lines of credit
- Grants and scholarships
- Crowdfunding
- Angel investors
Houston Entrepreneurial Resources:
- Small Business Development Center (SBDC)
- SCORE Houston
- Small Business Administration office
Business Licensing in Texas
The cost of business licenses and permits varies by city. However, businesses are commonly required to have some type of permit or license, depending on the goods and services they sell.
Basic Steps for Launching Your Business in Texas:
- Develop your business idea
- Write a business plan
- Envision your business’s unique selling proposition
Texas Business Climate
Is Texas Good for Starting a Business?
- Beneficiary of the country’s second-largest population
- Rapidly rising metropolitan areas
- Support for small businesses through affordable licensing fees and lack of red tape
- Plenty of reasonably priced real estate
Texas’s economic attributes make it an ideal state for starting a business:
- Ranked high for business friendliness
- Strong workforce and access to capital
- Ninth largest economy in the world