{"id":18889,"date":"2023-12-23T00:33:18","date_gmt":"2023-12-23T00:33:18","guid":{"rendered":"https:\/\/www.growthink.com\/?page_id=18889"},"modified":"2025-09-25T10:45:59","modified_gmt":"2025-09-25T10:45:59","slug":"how-to-start-a-business-in-texas","status":"publish","type":"page","link":"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas","title":{"rendered":"How to Start a Business in Texas"},"content":{"rendered":"<style>\nul>li {\n        padding-bottom: 20px;\n    }\nol>li {\n        padding-bottom: 20px;\n    }\n<\/style>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter size-full wp-image-18890\" src=\"https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas.png\" alt=\"how to start a business in texas\" width=\"1200\" height=\"530\" srcset=\"https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas.png 1200w, https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas-300x133.png 300w, https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas-1024x452.png 1024w, https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas-768x339.png 768w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><\/p>\n<p>If you\u2019re starting a business in Texas, there are a few things you need to know. In this article, we\u2019ll cover some of the basics, including choosing a business entity, getting business licenses and permits, and establishing your accounting system. We\u2019ll also discuss how to protect your business idea and create a marketing plan. Read on for more information.<br \/>\n&nbsp;<\/p>\n<h2><strong>13 Steps To Starting a Business in Texas<\/strong><\/h2>\n<p>Before starting any new business, you should first <a href=\"https:\/\/www.growthink.com\/businessplan\/help-center\/how-to-do-market-research-for-your-business\" rel=\"noopener noreferrer\">conduct thorough market research<\/a> and <a href=\"https:\/\/www.growthink.com\/how-to-write-a-business-plan\" rel=\"noopener noreferrer\">write a business plan<\/a>. This plan will help you expand your business idea into an actionable strategy to determine if your idea is feasible. This will include determining an appropriate location, ample supply from a reliable vendor, a steady flow of customers, staffing availability, and financial plan to determine if your business can be a success. This way, there won\u2019t be any unnecessary surprises and you will be more likely to succeed if you have a clear path set out for yourself.<\/p>\n<p>Small business owners should also familiarize themselves with state laws and local ordinances that impact their new venture. These include <a href=\"https:\/\/comptroller.texas.gov\/taxes\/sales\/\" rel=\"noopener noreferrer\">sales tax<\/a>, <a href=\"https:\/\/www.twc.texas.gov\/services\/register-tax\" target=\"_blank\" rel=\"noopener\">unemployment tax<\/a>, and federal income tax, <a href=\"https:\/\/www.twc.texas.gov\/programs\/civil-rights\/employment-discrimination\" target=\"_blank\" rel=\"noopener\">employment laws<\/a>, and other <a href=\"https:\/\/gov.texas.gov\/business\/page\/start-a-business\" rel=\"noopener noreferrer\">processes required<\/a> to start a business in Texas. Knowing the rules before starting a new business in Texas can help prevent delays or penalties later on. Learn more from your county&#8217;s appraisal district or tax assessor-collector.<\/p>\n<p>Depending on the legal entity of your business, you may need to file with your local county clerk\u2019s office to register and file your desired business name if you are a sole proprietor, partnership, or LLC.<\/p>\n<p>However, if you plan on incorporating, you must register your business with the <a href=\"https:\/\/www.sos.state.tx.us\/corp\/businessstructure.shtml\" rel=\"noopener noreferrer\">Secretary of State\u2019s Office<\/a> which can be completed online.<\/p>\n<p>The State of Texas does not require small businesses to apply for a business license. However, there may be <a href=\"https:\/\/gov.texas.gov\/business\/page\/business-permits-office\" rel=\"noopener noreferrer\">other permits, licenses, and\/or certifications<\/a> required depending on what type of business you plan to operate.<\/p>\n<p>Once you\u2019ve determined your business feasible, registered with the state, and are familiar with the applicable laws, it\u2019s time to start building your business. Here are some tips to help you get started:<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>1. Choose a Business Structure<\/strong><\/h3>\n<p>There are several business entities to choose from in Texas, each with its own set of advantages and disadvantages. The most common types of businesses in Texas are:<\/p>\n<ul>\n<li>Sole Proprietorship<\/li>\n<li>Partnership<\/li>\n<li><a href=\"https:\/\/www.growthink.com\/businessplan\/help-center\/advantages-disadvantages-of-forming-an-llc\" rel=\"noopener noreferrer\">Limited Liability Company (LLCs)<\/a><\/li>\n<li>Corporation<\/li>\n<\/ul>\n<p>When choosing a business structure, it\u2019s important to consider what type of liability protection you need. For example, if you\u2019re starting a small business, you may not need as much protection as someone starting a larger company. You should also factor in your tax situation and how much paperwork you\u2019re willing to deal with.<\/p>\n<p>While you can always switch your business structure in the future, it\u2019s best to choose one that best fits your company\u2019s needs right now. In Texas, if you are a sole proprietorship, partnership, or Limited Liability Company, you only need to register with the local county clerk\u2019s office based on your business\u2019s location. If you are incorporating, you can apply through the <a href=\"https:\/\/www.sos.state.tx.us\/corp\/businessstructure.shtml\" rel=\"noopener noreferrer\">Secretary of State\u2019s Office<\/a>.  <\/p>\n<p>&nbsp;<\/p>\n<h3><strong>2. Choose a Business Location<\/strong><\/h3>\n<p>Ideally, you\u2019ll want to choose a location where the business will thrive. It\u2019s easier to make sales if your business is near places with high levels of foot traffic or near other businesses.<\/p>\n<p>You should also think about how accessible your new business will be for customers and employees. Ideally, you want to choose a location that is accessible by foot and has nearby parking, but this can depend on your type of business.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>3. Licenses and Permits<\/strong><\/h3>\n<p>In Texas, most businesses will need to obtain some type of license or permit from the state and\/or county. The types of professional and occupational licenses and permits your business needs will depend on several factors, including:<\/p>\n<ul>\n<li>where you\u2019re located<\/li>\n<li>the products or services your company offers<\/li>\n<li>how many employees you have<\/li>\n<\/ul>\n<p>You can find information on obtaining certain permits online through each of the following Texas agencies:<\/p>\n<ul>\n<li>Texas Sales Tax Permit from the <a href=\"https:\/\/comptroller.texas.gov\/taxes\/permit\/\" rel=\"noopener noreferrer\">Texas Comptroller of Public Accounts<\/a><\/li>\n<li>Business Registration &amp; License \u2013 Texas Secretary of State <a href=\"https:\/\/www.sos.state.tx.us\/corp\/forms_boc.shtml\" rel=\"noopener noreferrer\">website<\/a><\/li>\n<\/ul>\n<p>Depending on the type of business, you may also need an Occupational License from the <a href=\"https:\/\/www.tdlr.texas.gov\/services.htm\" rel=\"noopener noreferrer\">Texas Department of Licensing and Regulation<\/a>.<\/p>\n<p>You may also need local permits depending on where your business is located.<\/p>\n<p>If you plan on operating an online business, the tax information provided for <a href=\"https:\/\/comptroller.texas.gov\/taxes\/sales\/marketplace-providers-sellers.php\" rel=\"noopener noreferrer\">Marketplace Sellers<\/a> will be helpful.<\/p>\n<p>You will also need the following federal documentation for your business:<\/p>\n<ul>\n<li>Federal Employer Identification Number (FEIN) \u2013 <a href=\"https:\/\/www.irs.gov\/businesses\/small-businesses-self-employed\/get-an-employer-identification-number\" rel=\"noopener noreferrer\">IRS<\/a><\/li>\n<\/ul>\n<p>Once you\u2019ve been issued a general business license or permit, it\u2019s important to keep it up to date, so keep track of any required renewal dates.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>4. Open a Business Bank Account<\/strong><\/h3>\n<p>A business banking account is a must for any new business in Texas. It helps you keep your personal and business expenses organized and makes it easier to track expenses and income. There are several banks in Texas that offer business accounts, so be sure to do the research and find the one that\u2019s best suited for your needs.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>5. Learn About Intellectual Property Ownership<\/strong><\/h3>\n<p>Although most people don\u2019t realize it, businesses own trademarks, copyrights, trade dress rights, and patents. To protect yourself from competitors stealing your original business idea, consider filing a patent or trademark application.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>6. Protect Your Business Idea<\/strong><\/h3>\n<p>One of the best ways to protect your business is by getting a non-disclosure agreement (NDA). This prevents anyone else from stealing your idea by legally requiring them to keep it confidential. It\u2019s also a good way to have all potential investors sign an agreement that they won\u2019t share any information about your company without written consent. In addition, you should file for copyright as soon as possible. By doing this, you\u2019ll be able to prove you created the artwork or article first in case someone copies it later on.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>7. Get Business Insurance<\/strong><\/h3>\n<p>One of the best ways to protect your business is to get business liability insurance. Liability insurance can help cover costs related to lawsuits, including legal fees and court costs as well as providing personal liability protection for the business owner.<\/p>\n<p>Professional liability insurance may also cover injuries that happen on your property or that are caused by products you offer. For example, if one of your clients gets hurt while trying on clothing in your dressing room, they could sue the store for personal injury.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>8. Establish Your Accounting and Tax Filing System<\/strong><\/h3>\n<p>The best way to keep track of your personal and business finances is by setting up a system that works for you from the start. This may include using software like QuickBooks or hiring an accountant to help you stay organized and pay the appropriate state and federal business taxes. Whatever system you choose, be sure to track all income and expenses so you can make sound financial decisions for your company.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>9. Create a Marketing Plan<\/strong><\/h3>\n<p>One of the most important aspects of any business is creating a marketing plan. Without one, it\u2019s difficult to reach your target audience and generate new leads. Your marketing plan should outline your goals, strategies, and budget for business promotions.<\/p>\n<p>Consider what type of advertising you want to do (business website, online ads, print, etc.), how often you\u2019ll send out communications, and who your target market is. Having a solid <a href=\"https:\/\/www.growthink.com\/marketing-plan\" rel=\"noopener noreferrer\">marketing plan<\/a> in place will help you make the most of your marketing dollars and grow your business.<\/p>\n<p>In order to make more money sooner than later, consider marketing your products or services online. By doing so, you\u2019ll reach thousands of people at once who are interested in what you have to offer.<\/p>\n<p>There are many different ways to market your business, so find the ones that work best for you and stick with them. Don\u2019t be afraid to experiment until you find a marketing strategy that brings in new customers on a regular basis.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>10. Obtain Funding For Your New Texas Business<\/strong><\/h3>\n<p>Unless you have a lot of money saved up, you\u2019ll likely need to obtain some type of funding in order to start your business. There are a variety of business funding options available, including small business loans, small business grants, and crowdfunding.<\/p>\n<p>There are a few things you should do before applying for funding:<\/p>\n<ul>\n<li>Know what your business is worth. You can get this information by hiring a business valuation specialist or using an online tool like the<\/li>\n<li>Have a solid business plan and <a href=\"https:\/\/www.growthink.com\/business-plan-financial-projections\" rel=\"noopener noreferrer\">financial projections<\/a>. Funding providers will want to see how you plan on using their money and how you expect your business to grow.<\/li>\n<li>Research different funding options and find one that best suits your needs. Don\u2019t be afraid to ask for help from friends or family members who may have experience with funding.<\/li>\n<\/ul>\n<p>If you\u2019re not sure where to start, the Small Business Administration (SBA) can be a great resource. They offer a variety of small business resources and programs, including loans and grants. Our collection of <a href=\"https:\/\/www.growthink.com\/businessplan\/help-center\/business-plan-examples\" rel=\"noopener noreferrer\">sample business plan<\/a> can help you determine the best type of business to start.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>11. Recruit and Hire Employees<\/strong><\/h3>\n<p>Understand the employment laws and regulations required for running a business in Texas from the <a href=\"https:\/\/www.twc.texas.gov\/employer-resources\" rel=\"noopener noreferrer\">Texas Workforce Commission<\/a>.<\/p>\n<p>When it comes time to expand your business and hire new employees, remember that you\u2019re in a fortunate position. You have the opportunity to bring new people on board who can help contribute to your company\u2019s success. By setting some clear guidelines and expectations, you can make the process smoother for both you and your new employees.<\/p>\n<p>Be sure to create a job description for each position and post it online or in local newspapers. You should also have a list of qualifications that potential employees must meet. When interviewing candidates, be sure to ask questions that will help you determine if they are a good fit for your company.<\/p>\n<p>It\u2019s also important to have an employee handbook that outlines the company\u2019s policies and procedures. This will help new employees get up to speed quickly and understand how your company operates.<\/p>\n<p>As your business grows, you may find yourself in need of more employees. If so, consider hiring recent college graduates or individuals who are transitioning to the workforce. They may be looking for a lower-paying job while they search for other opportunities, which will allow you to offer them less money than someone with more experience.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>12. Stay Organized<\/strong><\/h3>\n<p>As a new business owner, it\u2019s important to stay organized from day one. This includes creating a filing system for all of your important documents, setting up a schedule for yourself, and tracking your expenses and income.<\/p>\n<p>The better organized you are, the easier it will be to keep track of your business\u2019 progress. Not to mention, it will make tax time much less stressful come April.<\/p>\n<p>&nbsp;<\/p>\n<h3><strong>13. Open for Business<\/strong><\/h3>\n<p>Now that you\u2019ve learned the basics of starting a successful business in Texas, it\u2019s time to take the plunge and open your doors for business. Be sure to keep these tips in mind as you get started and you\u2019ll be on your way to success.<\/p>\n<p>For more information on starting a business in Texas, visit the Texas Secretary of State <a href=\"https:\/\/www.sos.state.tx.us\/corp\/index.shtml\" rel=\"noopener noreferrer\">website<\/a> or the Texas Economic Development Corporation <a href=\"https:\/\/businessintexas.com\/\" rel=\"noopener noreferrer\">website<\/a>.<\/p>\n<p>&nbsp;<\/p>\n<div class=\"bluepost\" style=\"margin: 0 auto; width:fit-content;\">\n<h2>How to Finish Your Business Plan in 1 Day!<\/h2>\n<p>Don&#8217;t you wish there was a faster, easier way to finish your business plan?<\/p>\n<p>With <a href=\"https:\/\/businessplantemplate.growthink.com\/plan\/?utm_source=how-to-start-a-business-in-texas&#038;utm_medium=bluebox&#038;utm_campaign=seo\" target=\"_blank\" rel=\"noopener noreferrer\">Growthink&#8217;s Ultimate Business Plan Template<\/a> you can finish your plan in just 8 hours or less!<\/p>\n<p><a href=\"https:\/\/businessplantemplate.growthink.com\/plan\/?utm_source=how-to-start-a-business-in-texas&#038;utm_medium=bluebox&#038;utm_campaign=seo\" target=\"_blank\" rel=\"noopener noreferrer\">Click here to finish your business plan today.<\/a>\n<\/div>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you\u2019re starting a business in Texas, there are a few things you need to know. In this article, we\u2019ll cover some of the basics, including choosing a business entity, getting business licenses and permits, and establishing your accounting system. We\u2019ll also discuss how to protect your business idea and create a marketing plan. Read [&hellip;]<\/p>\n","protected":false},"author":29265,"featured_media":18890,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"om_disable_all_campaigns":false,"_lmt_disableupdate":"no","_lmt_disable":"","footnotes":""},"class_list":["post-18889","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.7 (Yoast SEO v26.7) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to Start a Business in Texas: Your Step-by-Step Guide<\/title>\n<meta name=\"description\" content=\"Learn how to start a business in Texas with our step-by-step guide. Get practical tips &amp; essential resources to make your venture a success.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to Start a Business in Texas\" \/>\n<meta property=\"og:description\" content=\"Learn how to start a business in Texas with our step-by-step guide. Get practical tips &amp; essential resources to make your venture a success.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas\" \/>\n<meta property=\"og:site_name\" content=\"Growthink\" \/>\n<meta property=\"article:modified_time\" content=\"2025-09-25T10:45:59+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas.png?_t=1758797160\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"530\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"9 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas\"},\"author\":{\"name\":\"Dave Lavinsky\",\"@id\":\"https:\/\/www.growthink.com\/#\/schema\/person\/ba4f0e0bde913a174cf69d8f076099a0\"},\"headline\":\"How to Start a Business in Texas\",\"datePublished\":\"2023-12-23T00:33:18+00:00\",\"dateModified\":\"2025-09-25T10:45:59+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas\"},\"wordCount\":1977,\"publisher\":{\"@id\":\"https:\/\/www.growthink.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas.png\",\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas\",\"url\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas\",\"name\":\"How to Start a Business in Texas: Your Step-by-Step Guide\",\"isPartOf\":{\"@id\":\"https:\/\/www.growthink.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.growthink.com\/how-to-start-a-business-in-texas#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.growthink.com\/wp-content\/uploads\/how-to-start-a-business-in-texas.png\",\"datePublished\":\"2023-12-23T00:33:18+00:00\",\"dateModified\":\"2025-09-25T10:45:59+00:00\",\"description\":\"Learn how to start a business in Texas with our step-by-step guide. 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