Client contracts
- Sign contracts in the LLC's name, and sign as a member or manager — not personally — to protect your liability shield.
- Cover scope, deliverables, fees, payment terms, late fees, and who owns the work product (intellectual property).
- Include limitation of liability, confidentiality, termination, and how disputes will be resolved.
- Licensed professions (such as accounting, engineering, law, and architecture) generally must form a professional LLC (PLLC).
Professional insurance
- Professional liability (errors and omissions) covers claims that your work or advice caused a client financial loss. Many clients require it.
- General liability covers injuries or property damage, such as at a client's office.
- Cyber liability matters if you handle client data or systems.
- Workers' comp is optional in Texas, but non-subscribers with employees must file DWC Form-005 each year.
Invoicing
- General business consulting isn't subject to Texas sales tax.
- Some services are taxable in Texas, including data processing (80% of the charge is taxed), information services, and security services.
- If your services are taxable, get a sales tax permit and add tax to invoices.
- Every Texas LLC files a franchise tax report each May, even if no tax is owed.
- Put your LLC name, invoice number, dates, services, amounts, and any sales tax (as a separate line) on each invoice.
- Keep invoices and tax records organized — states can audit several years back.
These are Texas state and federal requirements. Cities and counties often add their own. Requirements and fees change — confirm with the agency before you apply. This is general information, not legal or tax advice.
Other Texas Business Types
Texas Construction & Trades: Licenses and Permits
Construction / Trades license, permit, tax, and insurance requirements for Texas LLCs, as bullet points with official links.
Texas Food Business: Licenses and Permits
Food Business license, permit, tax, and insurance requirements for Texas LLCs, as bullet points with official links.
Texas Transportation Business: Licenses and Permits
Transportation license, permit, tax, and insurance requirements for Texas LLCs, as bullet points with official links.
Texas Ecommerce Business: Licenses and Permits
Ecommerce license, permit, tax, and insurance requirements for Texas LLCs, as bullet points with official links.