We understand the various elements of business formation and can help you choose the business model that will optimize your potential for success. Whether you are forming an LLC, S Corp or Sole Proprietorship, we will walk you through the steps and provide valuable legal advice to ensure your business achieves long-term viability.

LLC

When forming an LLC in Texas, we will assist you with the following steps:

  • Naming Your LLC: We will ensure your name is distinguishable from other businesses and check for availability. We will also ensure you use the proper designators to indicate your business is an LLC.
  • Appointing a Registered Agent: We will advise on the appointment of an agent for service of process in Texas.
  • Filing a Certificate of Formation: We will assist in filing a Certificate of Formation for a Limited Liability Company (Form 205) with the Secretary of State.
  • Preparing an Operating Agreement: Although this is not required, we always advise that you have an internal document outlining the rights and responsibilities of the members and managers. This will preserve your limited liability by showing that your LLC is a separate business entity. Without an operating agreement, how you operate will be governed by state LLC law.
  • Compliance with Tax and Regulatory Requirements: We will ensure you are in compliance with all tax and regulatory requirements, including:
  • Employer Identification Number (EIN)
  • Business Licenses
  • Comptroller of Public Accounts
  • Annual Reports: Although Texas does not require LLCs to file annual reports with the Secretary of State, they must file annual franchise tax reports. We can assist in this complicated procedure.

S Corp

S Corporations protect the personal property of company owners in the case of lawsuits against the corporation. As well, the income and losses of the business are passed to shareholders for individual taxation purposes. For these reasons, S Corporations can prove to be the best business structure if you are setting up a small business.

To form your S Corp, we can assist with:

  • Naming: We can pre-screen for your corporate name and then ensure your name is setup using the proper designators, such as Corporation, Corp., Incorporated, or Inc.
  • Form 201: We will help you complete your Form 201.
  • S Corporation Requirements: We will ensure you meet the requirements to achieve S Corporation status, including the development of bylaws outlining:
  • Where and when your company meetings will be held
  • The appointment of directors
  • Duration of service for your directors
  • The responsibility and compensation for company officers
  • Acquiring your Employer Identification Number (EIN, which you require in order to file form 2553 with the IRS)

Sole Proprietorship

A sole proprietorship does not require legal documents to be filed with the Texas state government. However, we can assist you with the steps required, including:

  • Choosing a Business Name: State law requires you to choose a name that is distinguishable from other companies on record. We can help run a search before you register your legal name.
  • Obtain Licenses, Permits, and Zoning Clearance: We can assist with all of the business licenses or professional licenses based on the type of business you are establishing.
  • Obtain an Employer Identification Number (EIN): If you do not have employees, you will not require an EIN.

When you are choosing the type of business you wish to create, we will advise you on the pros and cons of each. We will then help you set up your business properly.