Business Organization in Texas

Prior to forming a business organization, it is important to review the advantages and disadvantages of each entity type before selecting the business structure for your venture.

Some of the considerations may include issues of liability, management or governing of the business, tax treatment, transferability of ownership interests and formality of operation.

Forming an LLC or Corporation in Texas

Seeking legal counsel at the formation stage is imperative.

A desk seen from above with a calendar, a phone, a computer and coffee for business organizationChoosing the appropriate business structure and forming the entity correctly in the beginning stages of developing your business may save you a great deal in the long run.  Correcting mistakes of business formation may be costly and time consuming.

There are many types of business organizations.  The following are some of the most frequently created and operated:

  • Limited Liability Corporation or LLC (it is recommended using an LLC rather than forming a Sole Proprietorship)
  • Corporation
  • Partnership
  • Limited Partnership

 Assumed Name Certificates, also known as DBA (Doing Business As)

Brown wooden desk with glasses and a pen next to document DBA for business organizationsEach person or entity that provides services or conducts business under a name that is not the same as their legal name or the business entity name must file an Assumed Name Certificate. This is a mandatory requirement in Texas.


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