Texas added more residents and more businesses over the past decade than any state. The combination of no state income tax, business-friendly regulation, and massive corporate relocations (Tesla, Oracle, HP Enterprise, Charles Schwab, CBRE, plus many more) has made Texas the country's pre-eminent growth market. The five major metros each have distinct economies and distinct customer bases. The TDPSA privacy law is one of the strictest in the country in scope. Here's the 2026 playbook.
Part 1 — Legal Business Registration Steps in Texas
Texas business formations are filed with the Texas Secretary of State, Business and Public Filings Division via SOSDirect or SOSUpload at sos.texas.gov.
File your formation documents
- Domestic LLC Certificate of Formation (Form 205): filing fee is currently $300.
- Domestic for-profit corporation Certificate of Formation (Form 201): filing fee is currently $300 — verify on the SOS fee schedule.
- Registered agent: Required.
Annual filings — Texas's combined Franchise Tax + Public Information Report
Texas doesn't require a traditional annual report with the Secretary of State. Instead, every Texas LLC, corporation, and limited partnership must file annually with the Texas Comptroller of Public Accounts:
- Texas Franchise Tax Report (Form 05-158 or 05-169): The franchise tax (called the "margin tax") is calculated on margin. The no-tax-due threshold was $2.47 million for reports due in 2024 and 2025 and is adjusted every two years in annualized total revenue — businesses under that threshold owe no franchise tax but historically had to file a No Tax Due Report. Recent legislation eliminated the No Tax Due Report filing requirement for entities below the threshold, but a Public Information Report is still required.
- Public Information Report (PIR): Required of every taxable Texas entity each year, due May 15.
Sales tax
The Comptroller also handles sales/use tax (Sales Tax Permit). Texas's state sales tax is 6.25%, with local rates capped to bring combined rates to a maximum of 8.25%.
Local licensing
Texas doesn't require a general statewide business license. Cities and counties require occupational and industry-specific permits (food service, construction, etc.).
Part 2 — Texas Web Compliance: TDPSA, ADA, and More
Texas Data Privacy and Security Act (TDPSA)
Texas enacted the Texas Data Privacy and Security Act in 2023, with the substantive obligations taking effect July 1, 2024. The TDPSA's applicability is unusually broad — it applies to controllers that conduct business in Texas or produce products/services consumed by Texas residents, that process or engage in the sale of personal data, and that are not small businesses as defined by the federal SBA. There are no numeric consumer-threshold tests in the TDPSA, which means many out-of-state and in-state businesses are pulled into scope based purely on size and presence in Texas.
Obligations track the standard pattern: privacy notice, consumer rights (access, correct, delete, portable), opt-out signals (UOOM/GPC recognition required), sensitive-data opt-in, and DPIAs. The TDPSA includes a specific requirement that businesses selling sensitive personal data post a notice that reads: "NOTICE: We may sell your sensitive personal data." Enforcement is by the Texas Attorney General with a 30-day cure period.
Website accessibility
Title III of the ADA applies. Texas is a moderate ADA-website-lawsuit jurisdiction with filings concentrated in the Western and Southern Districts of Texas (Austin, San Antonio, Houston). Build to WCAG 2.1 Level AA.
Part 3 — Strategic Web Design for Texas Industries
Texas's economy concentrates around energy, oil and gas, and energy services (Houston's global energy capital position, the Permian Basin's oil production, the Texas wind and solar industries — Texas is also the country's #1 wind power state), technology, semiconductors, and aerospace (Austin's tech, the Samsung Taylor fab, the Dallas-Fort Worth aerospace cluster, SpaceX in South Texas), and healthcare, finance, and logistics (the Texas Medical Center in Houston — the world's largest, Dallas's banking and insurance footprint, the I-35 logistics corridor).
Service businesses, agencies, B2B
For Texas agencies, consultancies, energy-services firms, fintech-adjacent providers, and B2B professionals, prioritize speed, clarity, and proof. Use one focused page per service and per service area, put reviews, certifications, and case studies near the top, make the phone number tappable on mobile, and build to WCAG 2.1 AA from day one. Any well-maintained platform can do this; measure the result with Google PageSpeed Insights rather than trusting a vendor's speed claims.
DTC, food, and Texas-made brands
For Texas BBQ brands, craft beverage (Texas wine and craft beer scenes are booming), Western lifestyle apparel, and DTC food and product brands, focus on the fundamentals that drive online sales: fast product pages, accurate sales-tax collection, transparent shipping costs and delivery times, an easy returns process, and accessible checkout forms. If you ship food, alcohol, or regulated products, confirm the shipping rules for every destination state before you launch.
Part 4 — Funding Your Digital Transition in Texas
- Texas Economic Development & Tourism Office (Governor's Office): Multiple programs including the Texas Enterprise Fund, Spaceport Trust Fund, Skills Development Fund (technology training).
- Texas Capital Fund and Product Development & Small Business Incubator Fund: Capital for qualifying Texas-headquartered companies.
- GO TEXAN program: Marketing support and grant opportunities for Texas food, beverage, and agricultural products.
- Texas SBDC Network: Free advising statewide.
- Local economic-development programs: Greater Houston Partnership, Dallas Regional Chamber, Austin Chamber of Commerce, San Antonio Chamber.
- USDA Rural Development: Texas's enormous rural footprint means widespread eligibility for rural-development grants.
Part 5 — Local SEO Blueprint for Texas Businesses
- Optimize Google Business Profile with accurate hours and 10+ photos.
- Get listed on Travel Texas, Visit Houston, Visit Dallas, Visit Austin, Visit San Antonio, Visit Fort Worth, plus chamber directories.
- Implement
LocalBusinessschema with proper sub-type andareaServedmatching your metro suburbs (Plano, Frisco, The Woodlands, Round Rock, Sugar Land, Katy). - Target neighborhood-level intent. Texas metros search by neighborhood — "BBQ Deep Ellum," "real estate Cedar Park," "dentist The Heights."
- Build evergreen content around SXSW, F1 Austin, college football (UT, A&M, TCU, Baylor, Tech), Houston Rodeo, State Fair of Texas.
- Earn reviews aggressively via automated post-service requests.
Before you launch your Texas website
Run through the free website compliance checklist, then confirm which state privacy laws and accessibility rules apply to your business.
Comparing southwest/south-central options? See our Oklahoma, Arkansas, Louisiana, New Mexico, and Arizona guides, or browse the full 50-state index.
Frequently asked questions
What laws apply to business websites in Texas?
The main ones are the Texas Data Privacy and Security Act (TDPSA) for businesses that are not small businesses under SBA standards, the Texas data-breach notification law, the Deceptive Trade Practices Act for advertising claims, and the federal ADA for accessibility. Our Texas website laws guide covers each in more detail.
Does the TDPSA apply to small businesses?
Most of the TDPSA does not apply to businesses that qualify as small businesses under U.S. Small Business Administration size standards. However, even small businesses may not sell sensitive personal data without the consumer's prior consent.
How much does it cost to form a Texas LLC?
The Texas Secretary of State currently charges $300 to file a Certificate of Formation for an LLC (Form 205). Every year after that, the entity files a franchise tax report or information report and a Public Information Report with the Texas Comptroller.
Does Texas require a general business license?
No. Texas has no statewide general business license, but cities and counties may require permits, and many occupations and industries need state licenses. A sales tax permit from the Comptroller is required if you sell taxable goods or services.