Texas business
How to Start a Business in Texas
A practical map of the Texas business-startup process: choose a structure, register where required, obtain federal and state tax accounts, identify licenses and permits, and check local requirements before opening.
Updated September 1, 2026
Quick answer
Texas does not require a general statewide business license, but that does not mean every business is license-free. The setup path can involve a Secretary of State or county filing, an IRS EIN, Texas Comptroller tax registration, activity-specific permits or professional licenses, and city or county requirements.
01
Choose the business structure first
The filing path depends on whether the business operates as a sole proprietorship, partnership, corporation, LLC or another form. Texas.gov recommends choosing the structure before registration because liability, governance, taxes and filing obligations differ.
02
Register the business where the structure requires
Texas filing entities such as LLCs and corporations generally file formation documents with the Texas Secretary of State. Other names and structures can involve county-level assumed-name filings. Use the Secretary of State and local county clerk instructions for the structure you actually choose.
03
Handle federal and Texas tax registration
An employer identification number is issued by the IRS, not the State of Texas. Texas tax responsibilities are administered by the Comptroller. Sales-tax permits, franchise-tax obligations and other accounts depend on the entity and business activity.
04
Texas has no general business license, but specific permits may apply
The Governor's Business Permit Office states that Texas does not require a general business license. Specific occupations and activities can still require state licenses, permits, certifications or registrations, and local governments may impose additional requirements.
05
Check the local layer before opening
City and county rules can affect zoning, certificates of occupancy, food service, signage, health permits and other operating requirements. State formation does not substitute for local approval where a local rule applies.
Quick answers
Frequently asked questions
Does Texas require a general business license?+
No. The Governor's Business Permit Office says Texas does not require a general business license, although specific activities and professions can require licenses, permits or registrations.
Do I need an LLC to start a business in Texas?+
No single entity type is required for every Texas business. The appropriate structure depends on ownership, liability, tax and governance considerations.
Where do Texas LLCs file?+
Texas LLC formation documents are filed with the Texas Secretary of State. Separate federal, state-tax, licensing and local requirements may also apply.
Verify with the source
Official links used in this guide
TexasDefined explains the system and helps route you to the right place. Current fees, eligibility, deadlines, appointments, rules and transactions should be confirmed with the responsible official source.