LLC guide · Houston
How to start an LLC in Houston.
An LLC gives your Houston business a legal wall between the company and your personal life. Here is the honest reality of how it forms, what Texas costs, and what the city expects.
Forming an LLC for a Houston business.
Here is the honest structure: an LLC for a Houston business forms at the STATE level, not the city level. You file a Certificate of Formation with the Texas Secretary of State, list a registered agent with a physical Texas address (you can usually be your own if you live here), and pay the state's filing fee. There is no separate city of Houston LLC, the entity is a Texas LLC that happens to operate in Houston.
Texas has a real advantage worth knowing: there is no state personal income tax. That is one honest reason so many businesses and people keep moving here. The tradeoff is the state franchise tax, which applies to LLCs and corporations, but only once your annualized revenue crosses the state's no-tax-due threshold. Many small businesses fall under that threshold and owe no franchise tax, though most still have to file the report. Check the current threshold and rules with the Texas Comptroller, because the numbers are updated periodically and the official site always has the current figure.
On top of the state formation, Houston and Harris County have their own requirements. Houston does not issue a single general business license, but depending on what you do you may need city permits, a Harris County assumed name (DBA) filing, health permits for food, zoning-style deed-restriction checks, and specific state occupational licenses. Confirm what applies with the City of Houston, Harris County, and the relevant Texas licensing agency before you open the doors.
The steps, in order
- 1
Confirm an LLC is the right fit
An LLC gives you a legal wall between the business and your personal assets, with simpler paperwork than a corporation. It is the most common choice for a first Houston business.
- 2
Pick and clear your name
Search the Texas Secretary of State's registry to make sure the name is available in Texas, and grab the matching domain while you are there.
- 3
File the Articles of Organization with the Texas Secretary of State
This is the step that creates the LLC, and it happens at the state level. File directly with the Texas Secretary of State, name a registered agent with a physical Texas address, and pay the state's filing fee.
- 4
Get your free EIN and write an operating agreement
Grab the EIN from the IRS at no charge, then put a simple operating agreement in place (even as a single member) so ownership and rules are clear.
- 5
Register with Houston and open a business bank account
Handle the city's business tax registration and any local permits, then open a business bank account with your EIN and formation documents to keep the liability separation real.
Registering it is one step. Building it is the journey.
Inside the platform, the Checklist walks your Houston setup step by step, Kenny (your AI coach) keeps you moving, and everything from the business plan to the brand studio is waiting. Start free.
Start free →