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How to Start a Company in Texas (view source)
Revision as of 18:12, 15 January 2016
, 18:12, 15 January 2016no edit summary
# Name your corporation. Texas law requires that your corporation have a business name. Once you come up with a name, you should trademark it in order to protect its value. To trademark a name you will visit the federal government's Patent and Trademark Office website, fill out the required forms, and file them online with the applicable fees.[http://www.uspto.gov/] The name you choose must meet the following requirements:
#* The name must include one of the following words or an abbreviation thereof: "company," "corporation," "incorporated," or "limited."
#* The name cannot be deceptively similar to the name of another existing or registered business entity in Texas or a name that has been reserved by a business entity in Texas.<ref>[http://www.statutes.legis.state.tx.us/DocViewer.aspx?DocKey=BO%2fBO.5&Phrases=Directors&HighlightType=1&ExactPhrase=False&QueryText=Directors</ref> ]
#* You may reserve a name for 120 days by filling out an Application for Reservation (Form 501) or Renewal of Reservation of an Entity Name (Form 505) and paying a $40 fee. You can reserve a name online at [http://www.sos.state.tx.us/corp/sosda/index.shtml http://www.sos.state.tx.us/corp/sosda/index.shtml] or by completing Form 501 located at [http://www.sos.state.tx.us/corp/forms/501_boc.pdf http://www.sos.state.tx.us/corp/forms/501_boc.pdf].
# Appoint directors. Directors (or the board of directors) are the people responsible for managing the business of the corporation. Talk with possible candidates and ask if they would be willing to act as a director. If you find one or more directors, you will use their names and other personal information when you prepare your certificate of formation.
#*Texas requires that corporations have one or more directors.
#*There is no minimum age requirement for directors.
#*Texas law does not require directors to be residents of Texas or shareholders of the corporation. However, the corporation’s bylaws or certificate of formation may require it.<ref>[http://www.dmlp.org/legal-guide/forming-corporation-texas</ref> ] # Choose a registered agent. Texas requires corporations to maintain a registered agent in the state. A registered agent is an individual Texas resident, a domestic entity, or a foreign entity that has qualified or registered to transact business in Texas and who is responsible for receiving and forwarding service of process or official notices addressed to a corporation. entity.<ref>[http://www.sos.state.tx.us/corp/registeredagents.shtml</ref>]
#* Find someone who is willing to take on this duty and let them know you will be using their name.
# Prepare a certificate of formation. In order to incorporate in Texas, your business must prepare a certificate of formation (Form 201). You can download the form at [http://www.sos.state.tx.us/corp/forms/201_boc.pdf http://www.sos.state.tx.us/corp/forms/201_boc.pdf]. If you are going to file online, you do not need to download Form 201 but you will need to prepare all the necessary information. The form must include the following:
