They say one of the ways to become rich is to become an entrepreneur. Do you believe that? People are always on the lookout for new business opportunities to venture in. From transport business, food business to retail business, the possibilities are endless. You just have to know your strengths and create an opportunity for it.
Texas might be the place you’re looking for if you want to start a business. This state is the second biggest in the United States with approximately 25 million people. Houston is the largest city in Texas had 2.24 million people. Texas produces more crude oil than any other state.
Businesses in Texas
Texas is home to over a dozen successful companies on the Fortune 100, “Best companies to work for” list. Business statistics tell that Texas is also home to 2.4 million businesses. Austin was recently identified as the best place to start a business in America.
Some of the major companies in Texas are Exxon Mobil, AT&T, Texas Instruments, American Airlines Group, GameStop, Alliance Data Systems, and Tenet Healthcare.
Starting a business in Texas
Before you can start to do anything, you need a plan. The same way with business, it starts with a great business idea. Then, decide how you are going to fund it and create a simple business plan. Details on how to start a business in Texas are as follows:
- Decide on the business structure
In Texas, there are 3 basic options to choose from: a DBA, a Corporation or an LLC. A DBA or “Doing Business As” is not really a separate structure, but just a different name that an individual or partners use as their business name. A Corporation is a separate legal entity that has a broader structure because it has stockholders, directors, and officers. This option is quite preferred for companies that intend to raise funding. An LLC or “Limited Liability Company” is a newer type of business that is both a separate entity but provides very easy management and taxation.
- Choose a business name
After deciding on the business structure, pick a business name. The name should have a nice “ring” to it. However, remember that your business name should be unique in all terms so you will not encounter problems in the future.
- Register the business
Each state has its own requirement for registering a business. Texas has also its own set of guidelines depending on your business structure.
- Secure a Federal Employer Identification Number (FEIN)
This is like your Social Security Number for your company. It’s part of the requirements for Corporations and LLC’s.
- Open company accounts
Company accounts in the form of bank and credit cards. You should do this to separate business and personal expenses. Opening a business credit card is one way to begin building your company credit profile which might help you in securing loans in the future.
- Business permits and licenses
Register your state taxes and permits to your local government authorities. This step is important because this will authorize you to do business in your city or state.