Texas LLC or Delaware LLC?
If you run your business in Texas, here's what each route costs in state fees.
The short answer
For a business that operates in Texas, forming in Delaware costs about $2,560 more over five years in state fees alone — before paying for a registered agent in Delaware.
Form in Texas
Texas
Certificate of Formation (Form 205)$300
Public Information Report (Form 05-102, filed with the franchise tax report)$0
Franchise tax$0
Year one$300
Each year after$0
5-year total$300
Form in Delaware, register in Texas
Delaware
Certificate of Formation$110
Annual LLC tax payment (no separate report)$0
LLC annual tax$400 / yr
Texas (foreign registration)
Application for Registration of a Foreign Limited Liability Company (Form 304)$750
Public Information Report (Form 05-102, filed with the franchise tax report)$0
Franchise tax$0
Year one$1,260
Each year after$400
5-year total$2,860
What the fees don't show
- Forming in Delaware while operating in Texas means two sets of reports and two sets of deadlines, adding about $400 a year.
- You need a registered agent with a street address in Delaware. If you don't have one there, that's a paid service every year.
- Out-of-state formation makes the most sense when you raise outside investment, operate in many states, or have a specific legal reason — not as a default.
State fees only, from each state's official fee pages. Not legal or tax advice.
