McNair Center for Entrepreneurship and Innovation
| McNair Center for Entrepreneurship and Innovation | |
|---|---|
|
James A. Baker III Institute for Public Policy | |
| Primary Information | |
| Copyright © 2016 edegan.com. All Rights Reserved. |
The Baker Institute's McNair Center for Entrepreneurship and Innovation has a mandate to conduct policy-relevant research and advocate for entrepreneurs and innovators. The center develops academic papers intended for publication in peer-reviewed journals, as well as policy reports, issue briefs, white papers, Op. Eds., wiki pages and blog articles. In this work the center develops our understanding of entrepreneurship and innovation as phenomena that create economic growth, and conveys this understanding to academics, policy-makers, entrepreneurs, students and the public. The McNair Center also takes an active role in helping entrepreneurs and developing entrepreneurship ecosystems.
Contents
McNair Center Pages
The following are the publicly available, informational and educational wiki pages published by the McNair Center. These pages help the center to fulfill its duty as an intellectual community resource on entrepreneurship and innovation.
- Entrepreneurship Resources at Rice: A guide to the many resources available for Rice students, faculty and alumni who wish to engage in entrepreneurship and/or innovation.
- Innovation Policy: This page represents the Center's research focused on patent law, innovation reform, and the intersections between invention and regulation.
- Small Business Research: Data collected on the growth of small business, the practices used in maintaining small business, and the government's interaction with small business is complied here.
- Understanding High-Tech, High-Growth Entrepreneurship Ecosystems: An educational tour through the complex landmarks of the modern high-tech entrepreneurial ecosystem.
- How to Start a Company in Texas: A detailed set of step-by-step instructions on how to
This page is a part of the McNair Center's Guide to Small Business in Houston.
This is an overview on how to create a business in Texas. For more comprehensive guidance and assistance, consult the Texas Small Business Handbook.
Basic Process
Step 1: Business Structure and Name
Determine the legal structure of the business and properly file the business name with the state and/or county.
- Search for existing trademarks - Free
- Reserve a name for 120 days:
- Prepare a certificate of formation:
- Download the form - $300
- Or file online at SOSDirect ($300) and prepare the following necessary information:
- The name and type of entity being formed;
- The names and addresses of directors and registered agents;
- The number and value of initial authorized shares;
- The business purpose for which the entity is being formed;
- The name and address of the organizer (i.e., the person responsible for incorporating the company);
- The effectiveness of the filing, which means when you want the document and the entity to become effective; and
- The signature of the organizer.
| Business Type | Filing Fee ($) | State Franchise Tax |
| Sole Proprietorship | 0 | Yes |
| For-Profit Corporation | 300 | Yes |
| Professional Corporation | 300 | Yes |
| Professional Association | 0 | Yes |
| General Partnership | 0 | No |
| Limited Partnership | 750 | Yes |
| Limited Liability Partnership | 200 | Yes |
| Limited Liability Company | 300 | Yes |
Step 2: Tax Responsibilities
Determine the potential tax responsibilities of the new business on the federal, state, and local level.
- Apply for a Employer Identification Number (EIN) (alternatively called Federal Tax Identification Number)
- Texas requires that an EIN for businesses, which is used for tax purposes.
- Federal Taxes
- The Internal Revenue Service will identify and determine your tax liability.
- State Taxes
- The state of Texas imposes a state sales tax on "all retail sales, leases and rentals of goods, and services that are expressly enumerated as taxable under the Texas Tax Code." Additionally, any taxable business chartered, organized, or doing business is subject to a state franchise tax. That said, most small businesses are exempt from this kind of tax.
- Local Taxes
- Business Inventory Taxes will be collected at the local level, although many municipalities do not tax items that fall under “Goods in Transit Exemption” or the “Freeport Exemption.”
- Other Taxes
- The Texas Workforce Commission will collect Unemployment Insurance tax from most businesses.
Step 3: Licensing and Permits
Determine necessary licenses, permits, certifications, registrations, and/or authorizations for a specific business on the federal, state, and local level.
- Create bylaws. While Texas does not set out any concrete requirements for a corporation's bylaws, the bylaws usually contain information about internal rules and procedures, responsibilities of officers, the size of the board, how shareholder meetings will be held.[1]
- There is no general "business" license in the state of Texas.
- There are different licensing procedures for various professions.
- The Texas Department of Licensing and Registration has a full list of the specific professions that need additional accreditation.
- You should also contact the local government of the city you are choosing to operate in to find out if there are any specific licensing needed to conduct business.
Step 4: Federal and State Employer Requirements
Determine federal and state employer requirements. There are various laws relating to employment of personnel.
Small business owners must fulfill requirements related to:
- Americans with Disabilities Act requirements
- Equal Employment requirements
- Safety requirements
- Wage and Labor requirements
- New Hire Reporting
- Workers' Compensation Insurance reporting
- Labor Posters placement
- Other relevant requirements
Common Forms and Fees for Texas Small Businesses
| Filing Type | Additional Form(s) | Filing Fee ($) |
| Certificate of fact | 15 | |
| Expedited processing of a request for a certified copy or certificate of status or fact | 10 | |
| Certificate of formation for an entity (except nonprofit corporation, cooperative association, PA or LP). | 201,203, 205, 206 | 300 |
| Certificate of formation for a nonprofit corporation | 202 | 25 |
| Certificate of formation for a cooperative association corporation | 25 | |
| Certificate of formation for a limited liability partnership or LLLP | 701, 703 | 750 |
| Name reservation (120 days) or renewal | 501 | 40 |
| Registration of trademark | 901 | 50 (per class) |
| Expedited processing of a document submitted for filing (except trademark documents) | 25 |
For a comprehensive list of all forms used to register a business or nonprofit, please see the SoS's compiled list.
For a comprehensive list of all forms used to trademark corporations, please see the SoS's compilation of trademark forms.
For a comprehensive list of report forms, please see the SoS's compiled list.
The SoS has also created a Business Formation FAQ.
Payment Methods
Fees may be paid by:
- Check (personal or firm checks accepted) or money order payable to the Secretary of State through a U.S. Bank or financial institution
- Credit card (Credit card payments are subject to an additional statutory convenience fee of 2.7% of amount charged.)
- LegalEaseSM debit card
- Prefunded SOS client account
- Cash (for in-person submissions only)
McNair Center Topic Areas
A topic area is defined by the McNair Center as an ongoing, research-driven, and materials-producing focus of effort. Some of the current topic areas include the McNair Center's focus on Small Business and the McNair Center's research on Entrepreneurial Ecosystems.
McNair Center Projects
Projects are smaller, deliverable-based productions stemming from an above topic area.
Imported Wiki
If you are searching for the old McNair Center wiki, it is currently being imported and refined to this new location. Most everything from the old wiki is still being cataloged.
