Texas Corporations Laws

Incorporating a business is an exciting step for a company that has the potential to grow. It is important that companies hoping to incorporate take the necessary steps to ensure that the corporation paperwork is properly filed with the state. Texas corporate laws require businesses to file a certificate of formation with the secretary of state that contains very specific information about your business. This is a quick summary of the corporations laws in Texas.

Forming a Corporation Under Texas Corporate Laws

Before filling out the paperwork to form a corporation, there are a couple steps that every company should investigate. Understanding the pros and cons of incorporation can help you figure out if creating a corporation or perhaps another business structure under Texas laws is the right move. If you do believe that incorporation will benefit your company, make sure to check the availability of the corporate name that you seek to use.

The following table outlines the specifics of Texas corporate laws.

Code Sections

Texas Statutes - Title 2: Corporations

Formation

Under Texas corporate laws, in order to form a corporation the proper paperwork must be delivered to the secretary of state in person or by mail, courier, facsimile or electronic transmission. Any person having the capacity to contract for the person or for another may be an organizer of a filing entity. Each organizer of a filing entity must sign the certificate of formation.

Certificate of Formation

The certificate of formation must state:

  • the name of the filing entity;

  • the type of filing entity;

  • the purpose or purposes for which the filing entity is formed, which may be stated to be or include any lawful purpose for that type of entity;

  • the period of duration, if the entity is not formed to exist perpetually and is intended to have a specific period of duration;

  • the street address of the initial registered office of the filing entity and the name of the initial registered agent;

  • the name and address of each organizer, unless the entity is formed under a plan of conversion or merger.

Corporation Name

The name of a corporation or foreign corporation must contain the word "company," "corporation," "incorporated," "limited," or an abbreviation of one of those words.

Purpose

A corporation's purpose can be any lawful purpose or purposes, unless otherwise provided by this section of Texas corporate laws.

Fees

In order to file forms with the secretary of state, organizers must pay filing fees. These fees are posted online and are subject to change.

If you would like legal assistance with forming a corporation, you can contact a Texas business organization attorney. You can also visit FindLaw's sections on corporate laws for more articles and information on this topic.

Next Steps: Search for a Local Attorney

Contact a qualified attorney.