How to Conduct a Texas Business Entity Search

As of November 2025, Texas had over 3 million active registered business entities, marking a record high. The number of registered businesses has nearly doubled since 2015, growing from 1.47 million to over 2.9 million by early 2025, reflecting a significant expansion in the state's economic and corporate growth. The state is home to over 3.5 million small businesses, with a high concentration of entrepreneurs. Texas hosts 54 Fortune 500 company headquarters.

Registering a business in Texas offers some significant advantages, including a business-friendly environment, no state corporate or personal income tax, and strong asset protection. Some benefits include pass-through taxation for LLCs, flexible management structures, lower operating costs, and no state-level annual renewal fees. Texas does not impose a state personal income tax or a state corporate income tax. While there is a franchise tax, many small businesses and sole proprietorships are exempt or fall below the threshold. With fewer licensing requirements and a strong, growing economy, Texas is frequently ranked among the top states for starting a business. Some companies may benefit from incentives such as the Texas Enterprise Fund (TEF), which provides grants for projects that create jobs.

Forming an LLC or corporation in Texas separates personal assets (like homes or personal savings) from business liabilities, protecting them from lawsuits or bankruptcy. Although the initial Texas LLC filing fee is $300, the state does not charge an annual renewal fee or franchise tax report fee for most small LLCs, saving money in the long run. Texas allows the creation of a "Series LLC", which enables entrepreneurs to organize different assets or business lines under a single umbrella entity, providing both protection and lower administrative costs.

The most common types of businesses in Texas center on major industries fueling the economy, including energy (oil/gas and renewable energy such as wind/solar), construction (IT and cybersecurity are rapid-growth areas), technology, real estate (fueled by population growth), healthcare (home health, daycare, and specialized medical services), and professional services (logistics, consulting, and finance).

Allowable Entity Types in Texas

In Texas, common business entity types include Limited Liability Companies (LLCs), Corporations (C or S Corporations), Partnerships (General, Limited, or Limited Liability), and Sole Proprietorships. These must be registered with the Texas Secretary of State (SOS) via a Certificate of Formation to obtain liability protection, except for sole proprietorships and general partnerships.

The most common business entity type in Texas is the sole proprietorship, which forms automatically without formal state registration, followed by the limited liability company, which is chosen for protecting personal assets. Sole proprietorships offer simplicity for single owners, while LLCs provide tax flexibility and limited liability, making them highly popular for new Texas businesses.

Why Search for a Texas Business Entity

Searching for a Texas business entity via the Texas Comptroller or SOSDirect verifies a company's legal status, confirms its right to transact business, identifies key personnel, and ensures name availability for new registrations. It is essential to conduct due diligence on investors, new partners, verify tax compliance, and find registered agents.

Reasons to Search for a Texas Business Entity

• Verify Business Existence & Status: Determine if a company is registered, active, and authorized to operate in Texas.

• Check Name Availability: Ensure a desired business name is not already in use by searching SOSDirect before filing formation documents.

• Check Franchise Tax Compliance: Access the Texas Comptroller's database to verify a business's "Franchise Tax Account Status", which indicates if they are in good standing to transact business.

• Locate Registered Agents/Officers: Find the registered agent's name and address to send legal documents or official notifications.

• Review Filing History: Examine the historical records and structure of an entity.

• Due Diligence: Research partners, vendors, or competitors to confirm their legal structure (LLC, Corporation, Partnership) and history.

• Access Public Records: Retrieve filed documents for legal, tax, or business planning purposes.

• Find Official Information: Get crucial details like the physical address, officers/members, and incorporation dates.

• Confirm Compliance: Ensure the business meets state requirements by reviewing its official records.

• Legal Compliance: To ensure your chosen name meets state requirements (e.g., includes "LLC") and to check if a name is already too similar, preventing future legal issues.

• Trademark Check: See if a name is already trademarked in the state.

• Identify Officers and Directors: You can search for the names of officers or directors associated with a business entity.

• Confirm a Business's Legal Structure: This search confirms the specific legal entity type, such as an LLC, corporation, or limited partnership, as it appears on file with the state.

• Research Competitors: It is a valuable tool for researching other businesses in the state for various purposes.

• Find Legal Information: The search can provide information on a business's past names, managers, and other public filings.

• Performing Due Diligence: To research potential partners, suppliers, or competitors, and to check the legitimacy of a company before investing.

• Market Analysis: To understand the competitive landscape by reviewing existing businesses in a particular industry.

• Track Your Own Business Registration: You can also use the search to find details about a business you already own, such as its registration number or filing history.

• Ensure Tax Compliance: A unique business name is crucial for tax purposes, as it ensures your business is correctly identified and associated with its tax obligations.

• Investigate Potential Partners or Competitors: Researching a company can help you understand its history, structure, and regulatory compliance before making a business decision and jeopardizing your own company.

• Name Reservations: To see if a preferred name is available to be reserved for a limited time, which can help secure a domain name and other branding elements while preparing to register the business formally.

• Before Investing: Conducting thorough due diligence when acquiring or investing in a business.

How to Search for Business Entities

Anyone looking to search for Texas businesses may use the resources available on the Secretary of State's website or the Texas Comptroller's website. On the Texas Secretary of State website, searches are typically completed using the SOSDirect Online Searches and Filings tool. However, the tool typically requires users to have an account on the system to use all its features.

On the other hand, the Franchise Tax Account Status Search tool on the Texas Comptroller of Public Accounts website is free for public use and does not require an account on the system.

To search for Texas business entities, visit the Texas Secretary of State's website and choose your search criteria from the options below:

• Tax ID: Enter the 11-digit Comptroller's Taxpayer Number or 9-digit FEIN.

• Entity Name: Use the business name registered with the state.

• File Number: Enter the unique number assigned by the Secretary of State.

What Information Can You Find with the Secretary of State?

To perform a business entity search, provide the entity's tax ID, name, or file number in the appropriate search field. After clicking the 'Search' button, the system will return a list of matching results, including the business name, taxpayer ID number, and zip code.

Additional information you can find on the Secretary of State's website includes:

• Certificate of Filing Verification: Verify your Texas business registration.

• Business Opportunity & Credit Searches: Look up various registration details online.

• Filing Status & UCC Tracker: Track business and UCC filings online.

• Notary & Apostilles: Resources for document authentication in Texas.

How to Access Detailed Information

To access more detailed information about a Texas business, click on the blue 'details' button beside a matching entity to access more information, such as:

• Texas Taxpayer Number

• Mailing Address

• Right to Transact Business in Texas

• State of Formation

• SOS Registration Status

• Effective SOS Registration Date

• Texas SOS File Number

• Registered Agent Name

• Registered Office Street Address

If further assistance is required in finding a Texas business entity, contact the Texas Secretary of State at:

Mailing Address:

Delivery Address:

What Business Entity Information is Not Public

In Texas, specific personal details of business owners, such as individual member names and home addresses, can be kept out of public records by using manager-managed structures, third-party registered agents, or trusts. The Secretary of State discloses Certificate of Formation details, but it does not mandate listing the owner names for manager-managed LLCs, which can remain private.

Information Not Publicly Disclosed in Texas

• Individual Member Names: If the LLC is structured as a "manager-managed" LLC, the specific members (owners) do not need to be listed in the public Certificate of Formation.

• Personal Address: By hiring a registered agent service, personal home addresses can be replaced with a professional or business address on public filings.

• Internal Operational Documents: Operating agreements, internal financial records, and meeting minutes are not filed with the state and are generally private.

• Initial Owners of a Trust-Owned LLC: If a trust acts as the manager/owner, the individual's name is not listed.

• Trade Secrets: Formulas, processes, methods, or other proprietary information that derives economic value from not being generally known to the public and is the subject of reasonable efforts to maintain its secrecy.

• Private Employee Medical Records: Medical and health insurance information.

• Customer and Employee Identifying Information: Identifying information like Social Security Numbers, driver's license numbers, and passport numbers.

• Revenue and Profit Numbers (unless a public company): Smaller companies that are not publicly traded can keep their financial data private.

• Bank and Credit Card Data: Bank and credit card numbers, as well as loan information.

How to Find EIN and UCC Records in Texas

To find EIN records in Texas, first check internal documents like the IRS confirmation letter, bank statements, or previous tax filings. If you lose your EIN, call the IRS Business & Specialty Tax Line at (800) 829-4933. You can search public records via the Texas Comptroller Franchise Tax Account Status or by requesting a Form W-9. For public companies, you can search using the SEC's EDGAR database.

You can also find EIN records using EntityCheck's EIN Lookup tool.

You can search for UCC records in Texas through the Texas Secretary of State SOSDirect portal, which provides online access to public filings. Users can search by debtor name or filing number to view filed documents, check filing status, or order certified copies.

Try searching for liens using EntityCheck's UCC Filings search tool.

How to Find DBA Records in Texas

To find DBA (Doing Business As) records in Texas, search the Texas Secretary of State (SOSDirect) for statewide filings, or search the county clerk's office records where the business operates for local filings. You can usually find statewide DBAs (usually for LLCs/corporations) online for a small fee, while sole proprietorships/partnerships are typically registered with local county clerks.

Quickly and easily find DBA records using EntityCheck.

EntityCheck Business Background Check Goes Further

An even more insightful way to search for Texas business entities and access additional information is to utilize EntityCheck's powerful search engine. Search quickly and easily by business name, EIN, owner, phone number, or email address. Along with the information above, you can dig deeper to find incredibly illuminating details such as:

• 
  UCC Filings:

  Discover Uniform Commercial Code (UCC) filings, showing creditors' attachment to business assets. These files provide insight into the organization's financial stability by examining its debt position and the associated risks. Also find lien details, creditor and debtor information, filing and expiration dates, and collateral and asset claims.

• 
  Court Cases:

  Evaluate a company's legal record to assess potential risks associated with its operations and identify any outstanding issues. Review bankruptcy filings, liens and judgments, federal court cases, litigation, and legal history of ongoing and past court cases.

• 
  Licenses:

  Verify business credentials, including licenses, permits, and government certifications, and the educational backgrounds of decision-makers to assess credibility.

• 
  Filing & Compliance:

  Review a company's DBAs (Doing Business As) and government Tax IDs.

• 
  Trademarks & Patents:

  Find out what intellectual properties a company controls and review the details of any trademarks and patents it holds.

• 
  Registered Individuals:

  Identify key decision-makers, registered agents, corporate officers, and leadership, even if this information is not readily available through official records.

Alternative Resources Beyond the SOS (Secretary of State) Search

Although the Texas Secretary of State is a great resource for finding business entity information, it's not the only one.

The following agencies may hold relevant information about Texas business entities:

• Texas Secretary of State (SOS): The Texas Secretary of State is a constitutional official appointed by the Governor who serves as the state's chief election officer, chief international protocol officer, and the keeper of official business records. Some of the office's duties include managing voter registration, certifying ballots, and incorporating businesses. The Secretary of the State acts as the chief election officer, maintaining statewide voter registration records, providing legal interpretations of election laws, and certifying ballots. The office also manages the Business and Public Filings Division, which approves the formation of LLCs, corporations, and other business entities. The SOS serves as the Governor's senior advisor on Texas Border and Mexican Affairs, facilitating cooperation with Mexican officials. It also acts as the chief international protocol officer for Texas, managing relationships and events with foreign diplomatic officials. The office also maintains official records, including state records and UCC filings, and oversees the commissioning of notaries public and runs VoteTexas.gov for voting information and the SOS Portal for business services.

• Texas Comptroller of Public Accounts: The Texas Comptroller of Public Accounts serves as the state's chief financial officer, treasurer, and tax collector, managing the state's checkbook. Responsibilities include collecting state taxes and fees, certifying the biennial revenue estimate for the state budget, managing state investments, and providing economic forecasting. The Texas Comptroller of Public Accounts is responsible for a broad range of fiscal and administrative duties, including collecting sales tax, fees, and other assessments, managing audits, and enforcing tax compliance. The office also serves as the state's accountant, managing state funds, paying bills, and issuing payroll for state employees. The Comptroller provides the legal revenue estimate that determines the amount of money the state legislature can spend for the upcoming two-year budget cycle, oversees the state treasury, and manages the Treasury Safekeeping Trust, which manages billions in assets. The office also publishes annual financial reports and provides data on the Texas economy. The agency manages the unclaimed property program, rural law enforcement grants, and various state purchasing initiatives.

• Texas Workforce Commission (TWC): The Texas Workforce Commission is the state agency responsible for managing workforce development, unemployment benefits, and childcare services in Texas. It connects job seekers with employers, provides vocational training, and oversees labor laws to support economic growth and economic opportunities for Texans. The office administers temporary income for eligible individuals who lose their jobs through no fault of their own, including processing claims and handling appeals. It also operates WorkInTexas.com, a job-matching website, and provides career services, including training for youth and adults. The Commission assists employers with recruitment, tax incentive programs, and compliance with labor regulations. It also helps individuals with disabilities prepare for, find, and maintain employment, and manages childcare assistance programs to help low-income families access childcare, allowing parents to work or attend training.

• Texas County Clerk's Offices: Texas County Clerk offices serve as the primary record-keepers, registrars, and custodians of public records for the county. They manage property records, issue marriage licenses, maintain birth/death certificates, act as the clerk for Commissioners Court, and manage records for county courts, including probate and misdemeanors. These offices are responsible for recording real estate deeds, liens, mortgages, assumed names (DBA), and plats. They also issue marriage licenses, file birth and death certificates, and serve as clerks for county courts-at-law and probate courts, managing records for criminal and civil cases and processing court fees. They serve as the local election authority, overseeing voter registration and tabulating results, and act as the clerk and records manager for the County Commissioners Court. They also maintain military discharge records (DD214) and livestock marks/brands.

• Texas Department of Licensing and Regulation (TDLR): The Texas Department of Licensing and Regulation regulates a wide range of industries, professions, and businesses in Texas to protect public health and safety. It issues licenses, permits, and registrations for over 39 programs, including electricians, barbers, and HVAC technicians; conducts inspections; investigates complaints; and enforces compliance with state laws. One of its primary duties is to issue professional and business licenses, with special assistance for military members, veterans, and their spouses. It also ensures compliance through inspections, investigations, and taking action against violators. The office maintains a public list of unlicensed individuals and handles complaints against licensees. It also sets and manages continuing education requirements for various professions to ensure competency and adopts rules and regulations governing authorized programs, as established by the Texas Legislature.

• Texas Real Estate Commission (TREC): The Texas Real Estate Commission's main function is to protect consumers in real estate transactions by regulating, licensing, and educating real estate professionals (brokers, agents, inspectors, and developers) and enforcing the Real Estate License Act. TREC protects the public interest through issuing licenses, investigating complaints, and standardizing practices. Its main function is to issue, renew, and regulate licenses for brokers, sales agents, and inspectors, ensuring they meet educational and ethical standards. It also investigates complaints against license holders and enforces laws and regulations (Chapters 1101 and 1102 of the Occupations Code) to protect consumers from unethical behavior. The agency establishes rules, codes of conduct, and minimum standards for the industry, serves as the primary regulatory body for real estate practices in Texas, and sets educational requirements for license applicants and license renewals. The office also oversees real estate practices, including residential service companies and timeshare developers.

• Public Utility Commission of Texas (PUCT): The Public Utility Commission of Texas regulates the state's electric, telecommunication, water, and sewer utilities to protect customers, foster competition, and ensure reliable infrastructure. It oversees ERCOT (the electric grid operator), licenses service providers, approves utility rates, and resolves consumer complaints. The PUCT oversees electric companies, regulates ERCOT, and licenses Retail Electricity Providers (REPs) to ensure competition. The commission monitors consumer complaints and provides customer assistance. It approves delivery rates for transmission and distribution service providers and sets standards for infrastructure. It also has jurisdiction over retail water and sewer utility regulation, including service area certifications. The PUCT implements new legislation, such as regulations on large-load interconnections for data centers or AI facilities.

• Texas Department of Insurance (TDI): The TDI's main function is to regulate the state's insurance industry, ensuring fair practices, a stable market, and consumer protection. TDI achieves this by licensing agents, enforcing insurance laws, investigating fraud, and handling consumer complaints. The TDI resolves complaints against companies and agents and provides information to help with insurance questions. It also ensures fair, reliable, and competitive insurance options for Texans and licenses agents, companies, and other entities selling insurance. The agency investigates violations of insurance laws and regulations, regulates workers' compensation, home, and auto insurance, and oversees the State Fire Marshal's office.

How to Find the Owner of a Business Entity in Texas

Finding the owner of a business entity in Texas may be straightforward in some cases, as such information is available on the entity's website. Also, if the registered agent of a business is the owner of the website, a search on the Texas Comptroller of Public Accounts website will reveal the identity of the entity's owner.

Additional Resources for Business Ownership Info

Other resources or sources through which you may find the owner of a business entity in Texas include:

• Local Chambers of Commerce: Local chambers of commerce are good sources for finding business owners in Texas, as they maintain directories of member businesses that often include details about the owners or key contacts.

• Better Business Bureau (BBB): The Better Business Bureau in Texas provides verified information on businesses, which sometimes includes the names of business owners or principals. In addition, BBB reports often include contact details of local businesses for further inquiries.

• Local Government Registry: You may find ownership information by searching local government registries that list directories of businesses within their jurisdictions.

• Business Licensing and Regulatory Agency: Contacting the licensing and regulatory agency associated with an entity may provide access to owner information.

• Public Records and Professional/Trade Associations: Business licenses, court records, and other public documents related to businesses in the state may contain ownership-related information. Likewise, industry-specific groups and professional associations often maintain directories that include details on their member businesses and may list key personnel.

• WHOIS Lookup: Perform a WHOIS search to find the owner of the business's domain name.

• Professional Networks: Check sites like LinkedIn, which may list owners and key personnel.

• The Business's Website: Many businesses have an "About Us" or "Leadership" page where the business owner may be mentioned. Note that some companies may refer to their owners as president, founder, or principal.

Types of Owners and Their Roles

Business owners in Texas operate under structures like sole proprietorships, general partnerships, LLCs (member-managed or manager-managed), and corporations. Common leadership titles include Founder, Owner, CEO, President, Managing Director, or Partner. Some leadership roles involve managing members, officers, or directors handling operations and strategy.

Types of Business Owners/Structures in Texas

• Sole Proprietor: A single owner, commonly seen in unincorporated small businesses, with unlimited personal liability.

• General Partner: Two or more individuals sharing ownership and liability.

• LLC Member: Owners of a Limited Liability Company, providing personal liability protection. They can be "member-managed" (owners run the business) or "manager-managed" (appointed managers run it).

• Shareholder/Stockholder: Owners of a corporation (C-Corp or S-Corp), who are protected from personal liability.

• Owner-Operator: A hands-on owner frequently wearing multiple hats (often called "Chief Everything Officer") to handle daily operations.

Common Leadership Roles and Titles in Texas

• Founder: The person who started the company.

• CEO (Chief Executive Officer): Focuses on long-term strategy and high-level decisions.

• Managing Member/Partner: A member designated to operate a Texas LLC.

• President/Principal: Senior leadership roles managing company operations.

• Director of Operations/General Manager: Roles tasked with running the daily business, common in manager-managed LLCs.

Different entity structures have various roles and types of ownership. Some individuals who have control over a company may not hold a traditional role within it. Leadership is a crucial factor to understand before working with a company.

Some of the more conventional roles within companies include:

• Shareholders (or Stockholders): They own the corporation by purchasing stock, which grants them voting rights to elect the Board of Directors and influence major corporate decisions.

• Directors: Directors set the strategic course for the corporation, make major decisions, and oversee the conduct of the officers.

• Officers: Officers, such as presidents (CEOs) and secretaries, manage the day-to-day operations of the business and are appointed and removed by the Board of Directors.

• Members: Members are the owners of the LLC. They can also serve as managers or delegate management to others. Members are typically protected from personal liability for the company's debts.

• Managers: Managers, whether members or non-members, are responsible for managing the business and affairs of the LLC.

• General Partners: They manage the business affairs as outlined in the partnership agreement. General partners are entirely liable for all business debts and obligations.

• Limited Partners: Limited partners have limited management rights. Their liability is typically limited to their investment in the business, providing them with some protection from business debts.

Red Flags to Look for When Searching Business Entities

When searching for business entities in Texas, some red flags indicating potential fraud or risk include a "not in good standing" or inactive status with the Secretary of State, mismatched registered agent information, or a recent formation date for an entity claiming long-term experience. Other warnings include promises of "guaranteed" high returns, lack of registration with the securities regulator, and vague, confusing, or nonexistent public records.

Some general red flags to look for include:

• No Professional Website: May indicate an unprofessional or less established business, though not always a red flag.

• Lack of Professional Affiliation: A business that is not affiliated with industry organizations may be less reputable or less established.

• Negative Customer Reviews: Consistent negative feedback can highlight issues with the business's products, services, or customer relations.

• Poor News Coverage: Negative press can signal significant problems, such as legal issues, financial troubles, or operational failures.

• High-Pressure Tactics: Sellers rushing the deal to avoid proper due diligence.

• Unprofessional Seller Behavior: Lack of transparency or evasive responses to questions.

Some more serious red flags to be aware of include:

Entity Status Problems

Entity status problems can indicate whether a company is legitimate or operating legally in Texas.

If a search on the Texas SOSDirect site shows an entity is not "in existence" or is listed as "Involuntary Dissolved" or "Not in Good Standing", it is a major red flag.

Involuntary termination due to non-compliance is the most common type of entity status violation in Texas, often triggered by failure to file franchise tax reports or to maintain a registered agent. Other common status-related issues include failure to maintain corporate records, commingling funds, and improper use of statutory language in Series LLC formations.

Inconsistent or Suspicious Information

Watch out for inconsistent or suspicious information, such as a company with no website, no verifiable contact information, or no online customer reviews, which may indicate a potential fly-by-night operation.

Registered agent names, addresses, or principal office locations that do not match those in contracts, invoices, or on websites are warning signs.

A business claiming to have been in operation for years but showing a very recent registration date (or no registration at all) should be treated with caution.

If a company uses a name other than the owner's actual surname but lacks a filed DBA with the county clerk or state, it may be operating illegally.

Ownership and Management Concerns

Be wary of companies with complex, layered ownership structures, particularly if they are designed to hide the true owners or obscure financial liabilities.

Ownership and management issues can also affect your business if you partner with an illegitimate company. A constantly high turnover rate can signal a toxic work environment or poor management.

If the business's success relies too heavily on the owner or a single employee, it poses a significant risk if they were to leave.

A declining customer base indicates potential issues with the business's products, services, or market position.

The most common employment lawsuits in Texas involve wage and hour violations, wrongful termination, discrimination, harassment, and retaliation. Due to Texas being an "at-will" state, many suits focus on illegal, rather than unfair, reasons for termination, such as discrimination based on race, gender, age, or disability under the Texas Labor Code.

Financial and Legal Warning Signs

Financial issues can quickly become your own if you are not careful. Check for inconsistent financial transactions, insufficient documentation, duplicate payments or invoices, or suspicious cash disbursements. They, too, can indicate fraud or potential criminal activity. Always be on the lookout for requests for unusual payment methods, such as wire transfers, credit cards, or payments to a personal bank account.

Additionally, watch for an unusually high number of transactions, especially around the end of a reporting period, which could be an attempt to inflate sales to defraud the government or the public. Too-good-to-be-true profits are also a concern. Unsubstantiated claims of high, guaranteed, or easy earnings.

Watch for businesses requesting payment in cash or via untraceable methods, or exhibiting unusual, high-volume transactions.

The most common business lawsuits in Texas include breach of contract, breach of fiduciary duty, employment disputes (discrimination/wage), intellectual property disputes, and partnership conflicts. These lawsuits typically arise from broken contracts, mismanagement of funds, or workplace disputes.

Compliance Gaps

The most common business compliance violations in Texas center on employment laws, specifically wage and hour issues (overtime pay), misclassification of employees as independent contractors (to avoid paying benefits and workers' compensation), and safety regulations. Other top violations include breaches of the Texas Deceptive Trade Practices Act (DTPA), such as false advertising, and improper payroll tax documentation.

Business Purpose and Industry Red Flags

According to the Texas State Securities Board, watch out for "guaranteed", high-return, or "no-risk" investments, which often signal fraudulent oil/gas, real estate, or promissory note schemes.

Connections & Affiliations

A company's connections and affiliations can tell quite a story. Sometimes one person runs multiple dissolved/failed companies. Look for recurring patterns of dissolution followed by new formation. That is a significant indicator of potential fraud. One thing to be cautious of is a company with ties to organized crime figures and politically exposed persons (PEPs). If the company makes a concerted effort to conceal its actual owner or person in charge, that should be a clear warning to stay away.

Some red flags in broader business records include the following:

Inconsistent Public Records

Company filings don't match what's listed in:

• Court records

• Tax records

• Property ownership filings

• For example, the registered address differs from the address listed in lawsuits or liens.

Poor Record-Keeping

• Missing meeting minutes (for corporations).

• No updated ownership/member list for LLCs.

• Lack of transparency in accounting records.

Regulatory Issues

• Fines, sanctions, or loss of licenses with state agencies.

• Businesses flagged by the Better Business Bureau or the Attorney General's office.

Unusual Patterns

• Very recent incorporation with sudden high activity.

• Foreign entities registered but not compliant with local laws.

• Shell-company indicators (multiple entities tied to the same registered agent at the same address).

Best Practices When Reviewing Business Entity Records

Utilize the best practices outlined below to maximize the benefits of your research. A business background check can take time, but it can yield a wealth of information that could help you avoid any costly mistakes.

• Cross-reference everything.

• Compare the UCC filing data with records from litigation and bankruptcy courts. Look for discrepancies between the documents.

• Check annual reports for consistency year-over-year.

• Research the owners of a company to detect possible bankruptcies, felonies, fraud, and other legal issues that could affect your business.

• Use business verification services or business background reports from EntityCheck.

• Keep in mind the context. For example, a single lien may not be alarming, but multiple filings, lawsuits, and frequent leadership turnover together signal real risk.

How to Register an Entity in Texas

Before registering a business entity in Texas, you must check whether your chosen name is available. You may check name availability in Texas using the following tools:

• Texas SOSDirect Search Tool

• Texas Comptroller Entity Search

To register a business entity in Texas, follow the steps below:

• Write a business plan.

• Choose your business location and structure.

• Register your business name and appoint a registered agent.

• Register for state and federal taxes.

• Determine license and permit requirements.

• Understand employer requirements if hiring staff.

Startup costs in Texas vary by entity type and business needs. Key expenses include:

• Filing Fees: LLC: $300, Corporation: $300, Partnership: $750, DBA: $25.

• Registered Agent Services: $50-$300 annually, depending on the provider.

• Licensing & Permits: $50 to several hundred, depending on business type.

• Insurance & Zoning: General liability insurance: $500-$2,000/year.

Texas business names must be unique, distinguishable in the SOSDirect database, and include proper entity designators (e.g., "LLC", "Incorporated"). Names cannot imply illegal activity, resemble government agencies, or include restricted words such as "bank" or "university" without prior approval. You can verify a name's availability via the Texas Secretary of State's website.

Texas Naming Rules

• Distinguishable Standard: As of June 1, 2018, names must be "distinguishable in the records" of the Secretary of State (SOS) from existing entities, reserved names, or registered series. A difference in a single key word often makes a name distinguishable.

• Entity Designators: LLCs must include "Limited Liability Company", "LLC", or a variation. Corporations must include "Corporation", "Incorporated", "Company", or an abbreviation.

• Restricted Words: Words such as "bank", "trust", "college", "university", "veteran", or "war" are restricted and require special approval or documentation.

• Language: Names can use characters from a foreign language, but they must be translated into English for filing, and the name must still be distinguishable.

• Name Reservations: You can reserve a name for 90 days for a $40 fee, which can be extended once.

• "DBA" / Assumed Name: If not using your exact legal entity name (e.g., a sole proprietorship or an LLC operating under a different name), you must file an assumed name certificate (DBA) with the county clerk or the SOS.

FAQs

1. How do I look up who owns an LLC in Texas (members vs. managers)?

   To look up who owns or manages a Texas LLC, search the Texas Comptroller's Public Information Report (PIR), which lists managers and members. You can access this data through SOSDirect, the Secretary of State's online database, or by ordering records, which usually requires a fee. The PIR is filed annually, so it may not always be up to date.

2. How can I find a corporation's officers and directors in the state?

   To find a corporation's officers and directors in Texas, search the Texas Comptroller of Public Accounts website for the Public Information Report (PIR), or use the Secretary of State's SOSDirect database. The PIR lists the names and addresses of officers, directors, managers, and members.

   You can also use EntityCheck to find a Texas company's directors, officers, executives, and other associates.

3. Are business owners' names public or private in Texas?

   Business owners' names are generally public record in Texas. Texas requires LLCs and corporations to list the names and addresses of members, managers, or officers in their Certificate of Formation and annual Public Information Reports filed with the Secretary of State.

4. Where do I search official business records in the state?

   Search official Texas business records through the Texas Secretary of State (SOSDirect) website for entity details, or the Texas Comptroller of Public Accounts for tax status. SOSDirect requires a $1 fee per search for detailed filings, while the Comptroller offers free franchise tax status checks.

5. How do I check if a business name is available or reserved in Texas?

   To check if a business name is available or reserved in Texas, use the Texas Secretary of State (SOS) SOSDirect online system to search the state's business entity registry. You can also perform a free search via the Texas Comptroller of Public Accounts taxable entity search. If available, you can reserve the name for 120 days by filing a form with the Secretary of State.

6. How can I view recent filings (Articles, amendments, mergers, annual/biennial reports) for a company in Texas?

   Recent filings for Texas companies, including articles of incorporation, amendments, mergers, and annual reports, can be viewed online primarily through the SOSDirect database, operated by the Texas Secretary of State. This service requires a user account and charges $1 per record viewed.

7. How do I get a Certificate of Good Standing/Existence in Texas?

   To get a Certificate of Good Standing (officially called a Certificate of Fact - Status) in Texas, you must order it from the Secretary of State through the SOSDirect online system. It confirms that the entity exists and is in good standing, and a copy usually costs $15.

8. How do I obtain certified copies of formation documents and amendments in the state?

   You can obtain certified copies of Texas formation documents and amendments from the Texas Secretary of State online via SOSDirect, the fastest method. Alternatively, you can submit a written request via email to corpcert@sos.texas.gov or order them by mail.

9. How do I search UCC (Uniform Commercial Code) liens against a company in Texas?

   To search for UCC liens against a company in Texas, use the Texas Secretary of State SOSDirect portal to access recorded financing statements, amendments, and other lien notices. You can search by "Debtor Name" (exact matches or variations) to identify active liens or secured creditors.

   You can also use EntityCheck to find Texas UCC Filings and liens.

10. What are the steps to register an LLC in Texas (forms, fees, timeline)?

    Registering an LLC in Texas requires filing Form 205 (Certificate of Formation) with the Secretary of State, which costs $300. You do this online via SOSDirect (3-5 business days) or by mail (approx. 10 business days). Some of the steps include naming the LLC, appointing a registered agent, and obtaining an EIN from the IRS.

11. What are the steps to incorporate (C-Corp/S-Corp) in Texas?

    Incorporating in Texas involves filing a Certificate of Formation (Form 201) with the Secretary of State, paying a $300 fee, appointing a registered agent, and adopting bylaws. You must also hold an initial meeting, issue stock, and obtain an EIN from the IRS. C-Corps are the default; S-Corps require filing Form 2553 with the IRS. Online filing is available via SOSDirect.

12. Do I need a registered agent in the state, and who can serve as one?

    Yes, every domestic or foreign filing entity, such as an LLC, corporation, or limited partnership, must maintain a registered agent and registered office in Texas to remain in good standing. The agent must receive legal documents, subpoenas, and notices, and must have a physical address in Texas. Your registered agent can be an individual, an entity, or yourself.

13. What annual reports, franchise/margin taxes, or license renewals are required in Texas?

    Texas requires most business entities (LLCs, corporations, partnerships) to file an annual Franchise Tax Report and a Public Information Report (PIR) (or Ownership Information Report) with the Texas Comptroller by May 15 each year. While Texas does not have a separate "annual report" filing, these reports serve that purpose. These businesses pay taxes only if the annual revenue exceeds the threshold (e.g., $2.47 million).

14. How long does state approval take in Texas, and are expedited options available?

    Texas business filings, such as LLC formation via SOSDirect, generally take 3-5 business days online or up to 10 by mail. Expedited options (Texas Express) offer same-day ($750, in-person), next-day ($500), or 2-3 business-day ($50) processing. Other state approvals, such as licenses or health services, vary significantly.

15. Do I need to foreign-qualify to do business in Texas if my company is formed elsewhere?

    Yes, if your company (LLC, Corporation, LP) was formed outside of Texas and is "transacting business" there, you must foreign-qualify by registering with the Texas Secretary of State. This generally means having a physical presence, employees, or conducting significant, ongoing business in the state.

16. What activities count as "doing business" in the state?

    "Doing business" in Texas, which typically requires foreign qualification (registration) with the Texas Secretary of State, generally involves having a physical presence, employees, or significant, ongoing business transactions within the state. Some activities include maintaining offices and warehouses in Texas and entering into contracts for work performed in Texas.

17. How do I file a DBA/fictitious business name in Texas, and is county/city filing required?

    To file a DBA ("Doing Business As" or assumed name) in Texas, you must file an Assumed Name Certificate with the county clerk in each county where you maintain a business premise or conduct business. Corporations, LLCs, or LLPs must file with the Texas Secretary of State, but local county filing is also necessary if the entity operates under a different name.

18. How do I change my company's name, address, officers, or members with the state?

    To change a company's name, officers, or members in Texas, you must file a Certificate of Amendment (Form 424) with the Secretary of State ($150 fee). To update the registered office/agent address, file a [Statement of Change (Form 401)] ($15 fee). You can make these changes online via SOSUpload, by mail, or by fax.

19. How do I reinstate or revive a company that's been administratively dissolved in Texas?

    To reinstate an administratively dissolved company in Texas, you must pay all outstanding franchise taxes, penalties, and interest, file all delinquent reports with the Texas Comptroller, and obtain a Tax Clearance Letter. Then, file a Certificate of Reinstatement (Form 801 or 811) with the Texas Secretary of State and pay a $75 filing fee.

20. Do I need to file Beneficial Ownership Information (BOI) with FinCEN, and how does that interact with Texas filings?

    As of March 2025, U.S. domestic entities, including those formed in Texas, are no longer required to file Beneficial Ownership Information (BOI) reports with FinCEN. Only foreign entities registered to do business in the U.S. must file. This new interim rule overrides previous requirements for U.S.-formed companies.