A Texas LLC is not a partnership or a corporation. It is a distinct type of entity that has the powers of both a corporation and a partnership. Depending on how the Texas LLC is structured, it may be likened to a general partnership with limited liability, or to a limited partnership where all the owners are free to participate in management and all have limited liability, or to an “S” corporation without the ownership and tax restrictions imposed by the Internal Revenue Code. Unlike the partnership, where the key element is the individual, the essence of the limited liability company is the entity, requiring for its creation more formal requirements.
The owners of an LLC are called “members.” A member can be an individual, partnership, corporation, trust, and any other legal or commercial entity. Generally, the liability of the members is limited to their investment and they may enjoy the pass-through tax treatment afforded to partners in a partnership. As a result of federal tax classification rules, an LLC can achieve both structural flexibility and favorable tax treatment. Another important reason to form a Texas LLC is to limit risk. This entity concept is called limited liability, and it applies to all Texas LLC’s. Business owners decide to form a Texas LLC so they can separate their personal assets from the business assets. In order to limit their personal risk of running a Texas LLC, the managing member or members must make sure to keep their personal and business assets separate.
A limited liability company is operated by the Managing Member or by its Members. The Texas LLC Operating Agreement and By-Laws are very important documents that you put together yourself. They are not turned into the Texas Secretary of State’s office. An Operating Agreement allows you to structure the finances and how your Texas LLC will function with the other Members. The Operating Agreement and By-Laws will state how Members will divide profits, make business decisions, and handle the exit and arrival of Members.
A Series LLC is slightly different than the traditional LLC. The primary difference between these two types is that the Series LLC has special language put into the certificate of formation and the operating agreement that enables it to create an unlimited number of “series” or sub-LLCs within the structure of a single LLC. Each series is an independent LLC under the main Texas Series LLC.
The main one is liability protection. The debts, liabilities, expenses, and obligations from each of the individual series are enforceable only against the assets of that series. They are not enforceable against the assets of the LLC generally or any other series and vice versa.
The Texas Series LLC provides a means of insulating the assets of one series from the liabilities and obligations of the LLC and the other series which is a significant advantage over a traditional LLC in which all assets would be available to satisfy the liabilities and obligations of the LLC. The Texas Series LLC can be the perfect entity choice for a real estate investor or someone that has multiple large assets or lines of business.
The cost is the same for us to set up an initial Texas Series LLC as a regular Texas LLC.
A Texas limited liability company is created by filing a Certificate of Formation with the Texas Secretary of State. The Texas Secretary of State provides a form that meets minimum state law requirements. Online filing of the Certificate of Formation is provided through SOSDirect within the Texas Secretary of State’s website.
The State filing fee is $300.
Our service provides the easiest and most affordable way to form a Texas LLC (limited liability company) to get you up and running as quickly as possible. We are a local, Texas-based incorporation service that provides unlimited customer support during the process and after the process so long as we continue to represent as your Texas registered agent on file. So just click the large red button below to get started setting up your Texas LLC. If you have any questions with the form or the process please call us or use the contact form. Our form is far less complicated and intimidating than trying to complete the one yourself on the Texas Secretary of State’s website.
Once you submit our online form with your payment, the first thing we do is research your LLC name with Texas Secretary of State to make sure it will be approved. Second, we prepare the Texas LLC formation papers and submit them over to The Texas Secretary of State’s office for approval. Once the approved copies come back to us we proceed to contact the IRS to acquire your federal employer identification number. Finally, we email you the approved LLC formation papers along with your EIN number confirmation in a “.pdf” file. You use those documents to go open your business bank account and start operating your business.
Texas LLC Formation one-time $375 includes:
Processing usually takes 2-3 business days to complete!
Click the red button below or on the right hand side of the page will take you to a secured sign up form to get started!
Assumed Name Certificates:
These are DBA’s placed under your Texas corporation and we process them for $75/each.
Texas Comptroller of Public Accounts office filing requirement by May 15th of every year:
Texas Franchise Tax Return
We provide this as a separate service for only $75/return.
You can use the link below to review the Texas Secretary of State’s business filing web page to
see other valuable information about forming a Texas LLC: