Texas is the second most populated state with 8.74% of the USA’s total population. The sales tax in Texas is only 6.25%. On top of that, it is also among the 7 states in the US which don’t charge a personal income tax. This makes it one of the most business-friendly destinations to set up a new business. For start-ups selecting a business name is very crucial. What should you keep in mind while naming your business? Well, doing a Texas business entity search can prove to be very advantageous before naming your new business in Texas.
Also, for small start-ups, forming an LLC in Texas can benefit the owner in many ways. One such benefit is pass-through taxation, which means the net income of your LLC is passed through your personal tax return. This indeed proves to be beneficial. Also, Texas LLC allows you to keep your personal and business assets separate.
Texas Business Entity Search
Texas business entity search is a tool to search about businesses and their details. The Texas secretary of state allows this search from their database. This database is created with the names of all the businesses that are officially registered. It could also be used to search whether the desired name for your LLC is already taken or not. Business entity search plays a crucial role in finalizing a business name. It helps to pick a unique, presentable, and searchable name that also represents your business. This way you can make sure that your enterprise stands out and is not being confused with another business name.
Texas LLC Naming Guidelines
Your LLC name should be formed under the following rules and regulations imposed by the Texas Comptroller of Public Accounts.
- The word limited liability company or it’s abbreviationS LLC must be present at the end of your name.
- Your LLC name should not reflect that the business is created to serve war veterans or their families. That’s why you are restricted from using words like a veteran, war, world war, disabled, Spanish, legion, and foreign.
- Your LLC should not imply a lottery business. That’s why you cannot use lotto and lottery words in your LLC name.
- You are prohibited from using words like FBI, state department, treasury, etc. to avoid your business being confused with any Texas government agencies.
- The name you are choosing must be different from all the other existing companies in the state of Texas. This can be ensured by doing a Texas business entity search. This also includes Texas reserved names.
Texas Business Entity Search Method
If you don’t know “what are the possible ways for a Texas business entity search?” then no need to worry. Just follow the procedure mentioned below. We’ve explained step by step, how it is done.
There are three possible ways for conducting the Texas Secretary of State business search.
- Entity name search
- Tax ID search
- File Number search
1. Search By Name
This is done by visiting the Texas SOS business search page on the official Texas Comptroller of Accounts website page.
- Once you open the following link, you can search your preferred name in the “Entity Name” search box.
- You will be redirected to a page listing all the entities that contain that word in their entity name.
- You can also click the “details” button on the left to know more about any specific companies. This will display details like their Texas taxpayers number, registration date, Texas business right status, file number, and so on.
2. Search By Tax ID
If you know the EIN or TIN number of a specific business in your state then you can know more about them by searching these numbers in the “Tax ID” search box.
- This way, you will only get one accurate result of the entity that owns that Tax ID number.
- To know the entity status, registration date, and SOS file number, click on the Details button.
3. Search By File Number
A file number is a unique number assigned by the Texas Secretary of State to every business. This works exactly similar to searching through a Tax ID number.
- Simply search the File number of any particular business in your state in the “File Number” box.
- Just like a Tax ID number, the File number is also unique and will give you a single accurate result about any particular business in your state.
- You can click on the Details button if you want to know more about that company.
Reserve Your Texas LLC Name
If you are not sure about using a name then you can reserve it by filing a Texas name reservation application. The Texas SOS will reserve the name for 120 days with a filing fee of $40. The reservation will expire after 120 days. You can renew the reservation during the 30 day period prior to the expiration of your current reservation.
Register Your Texas LLC Name
The above steps for the Texas business entity search will help you to decide on a name. Further, you should go and register the name with Texas SOS. Only after registering your name, you can move forward with the other steps like filing the Certificate of formation. The filing fee for the same is $300. But if you are still not sure then you can always choose to reserve a name.
Revise your Texas LLC Name
Texas SOS also allows you to revise your entity name if for any particular reason you think that the name needs a change. For this, you need to file the Certificate of Amendment. The filing fee is $150 unless your entity is a non-profit crop. or Co-op association then the fee is $25. After filling the form, mail it to the Texas SOS.
Domain and Trademark
One of the most important aspects when forming your business is selecting a domain name. Your domain name that appears in the URL should match your business name. And if not, it is suggested to find a name that is nearly the same. In addition, Trademark can prove to be very beneficial. You can trademark your business name, logo, symbol, etc. Your trademark suggests that it can be illegal for anyone to use that name, logo, or symbol. This comes in handy when you want to expand your business to other states as well. To trademark your own LLC name in texas you’ll have to file the trade or service mark Application Form on the Texas Secretary of State business search website. The filing cost is $50 and the trademark will last for five years.
Frequently Asked Questions
No, You can’t name your LLC after some other business name. If your LLC’s name is matching some other company then the state will not register your company name.
Yes. You can do this by visiting the Texas Secretary of State Business Search website and filling the trade or service mark application form as mentioned above.
The tax file number is assigned to all businesses in texas which can be used to perform the Texas SOS business search.
TIN means Tax File number and EIN means Employer’s Identification number. These numbers are assigned to all businesses in texas and can be used to perform the Texas business entity search.
Yes, you can easily sell your trademark. Trademark is intellectual property. You can sell or buy it. 1. Can I name my LLC the same as another business name?
2. Can I trademark my LLC name in texas?
3. What is the Tax file number for a business entity search?
4. What is the TIN and EIN number for business entity search?
5. Can I sell my business trademark?